Container shipping rates are showing signs of easing, at least temporarily. On the Shanghai-to-Los Angeles trade route, the rate for a 40-foot container fell nearly $1,000 last week to $11,173, an 8.2 percent drop from the prior week, according to Bloomberg. 

Ocean freight, however, remains more expensive than it was pre-pandemic, and air cargo rates remain elevated. And, as Bloomberg put it, it’s anyone’s guess if these latest declines in global shipping costs mark the beginning of a plateau, a seasonal turn lower or the start of a steeper correction. 

Judah Levine, of Hong Kong-based Freightos says that, among other signals, “the price drop also shows that the peak of peak season is behind us.” 

Regardless, shippers and ports remain in a logjam on the U.S. West coast, with 60 vessels waiting to offload over the weekend. The average wait time is 11 days or longer, compared to an eight-day wait back in April.

Container shipping rates are showing signs of easing, at least temporarily. On the Shanghai-to-Los Angeles trade route, the rate for a 40-foot container fell nearly $1,000 last week to $11,173, an 8.2 percent drop from the prior week, according to Bloomberg. Ocean freight, however, remains more expensive than it was pre-pandemic, and air cargo rates remain elevated. And, as Bloomberg put it, it’s anyone’s guess if these latest declines in global shipping costs mark the beginning of a plateau, a seasonal turn lower or the start of a steeper correction. Judah Levine, of Hong Kong-based Freightos says that, among other signals, “the price drop also shows that the peak of peak season is behind us.” Regardless, shippers and ports remain in a logjam on the U.S. West coast, with 60 vessels waiting to offload over the weekend. The average wait time is 11 days or longer, compared to an eight-day wait back in April.

Shipping container rates easing

The American Farm Bureau Federation and the National Society for Minorities in Agriculture, Natural Resources, and Related Sciences announced an agreement to increase minority involvement in agriculture. The groups signed a memorandum of understanding for collaboration on projects. 

The projects include written content for each organization's publications, providing leadership training and expertise, and cross-promoting programs and events. AFBF President Zippy Duvall says, "We believe the partnership we're forming today will benefit both of our organizations and all of agriculture." 

Dr. Olga Bolden-Tiller, President of the National Society of MANRRS, adds the partnership will ensure "all of the voices of the agricultural community are heard as we work together to develop a well-trained workforce." 

The partnership is a continuation of AFBF's goal to expand coalitions and alliances to increase the effectiveness of its grassroots organization. Other partnerships include FFA and 4-H, which foster the growth of young people interested in pursuing careers in agriculture.

The American Farm Bureau Federation and the National Society for Minorities in Agriculture, Natural Resources, and Related Sciences announced an agreement to increase minority involvement in agriculture. The groups signed a memorandum of understanding for collaboration on projects. The projects include written content for each organization's publications, providing leadership training and expertise, and cross-promoting programs and events. AFBF President Zippy Duvall says, "We believe the partnership we're forming today will benefit both of our organizations and all of agriculture." Dr. Olga Bolden-Tiller, President of the National Society of MANRRS, adds the partnership will ensure "all of the voices of the agricultural community are heard as we work together to develop a well-trained workforce." The partnership is a continuation of AFBF's goal to expand coalitions and alliances to increase the effectiveness of its grassroots organization. Other partnerships include FFA and 4-H, which foster the growth of young people interested in pursuing careers in agriculture.

AFBF forms partnership with MANRRS

A quarterly report from CoBank suggests that while the U.S. economy is still very much in the grips of the pandemic. Supply chains are arguably in the most dire condition since the start of the pandemic, as lead times for manufacturing inputs recently reached record highs. 

Persistent supply chain disruptions and labor shortages are adding significant costs to businesses and consumers. A CoBank researcher suggests, “Supply chain snarls are likely to persist well into 2022, and so will elevated inflation.” 

Rapidly rising input costs and product shortages are hitting agriculture, as commodity prices have flattened, and inflation compresses margins. However, robust exports have kept much of agriculture in the black. 

CoBank says corn, soybean and wheat prices declined from their third-quarter highs, but will likely rebound due to tight supplies and improving demand. Returning demand from foodservice led to strength to U.S. meat and poultry. However, inflation is expected to test consumers' appetite for meat during the fourth quarter.

A quarterly report from CoBank suggests that while the U.S. economy is still very much in the grips of the pandemic. Supply chains are arguably in the most dire condition since the start of the pandemic, as lead times for manufacturing inputs recently reached record highs. Persistent supply chain disruptions and labor shortages are adding significant costs to businesses and consumers. A CoBank researcher suggests, “Supply chain snarls are likely to persist well into 2022, and so will elevated inflation.” Rapidly rising input costs and product shortages are hitting agriculture, as commodity prices have flattened, and inflation compresses margins. However, robust exports have kept much of agriculture in the black. CoBank says corn, soybean and wheat prices declined from their third-quarter highs, but will likely rebound due to tight supplies and improving demand. Returning demand from foodservice led to strength to U.S. meat and poultry. However, inflation is expected to test consumers' appetite for meat during the fourth quarter.

Supply chain issues to persists into 2022

Oil prices reached a seven-year high last week, pushing fuel prices higher. The national average price of gas jumped 5.2 cents to $3.25 a gallon, and the price of diesel increased 10.4 cents to $3.45 a gallon, according to GasBuddy. 

Gas prices were pushed to their highest since 2014, all on OPEC’s decision not to raise production more than it already agreed to in July. 

GasBuddy’s Patrick De Haan says, “The OPEC decision caused an immediate reaction in oil prices, and amidst what is turning into a global energy crunch, motorists are now spending over $400 million more on gasoline every single day than they were just a year ago.” 

De Haan adds the problems continue to relate to a surge in demand as the global economy recovers, combined with deep cuts to production from early in the pandemic. With OPEC last week deciding against an additional rise in oil production to meet rising demand, supply will likely remain tight.

Oil prices reached a seven-year high last week, pushing fuel prices higher. The national average price of gas jumped 5.2 cents to $3.25 a gallon, and the price of diesel increased 10.4 cents to $3.45 a gallon, according to GasBuddy. Gas prices were pushed to their highest since 2014, all on OPEC’s decision not to raise production more than it already agreed to in July. GasBuddy’s Patrick De Haan says, “The OPEC decision caused an immediate reaction in oil prices, and amidst what is turning into a global energy crunch, motorists are now spending over $400 million more on gasoline every single day than they were just a year ago.” De Haan adds the problems continue to relate to a surge in demand as the global economy recovers, combined with deep cuts to production from early in the pandemic. With OPEC last week deciding against an additional rise in oil production to meet rising demand, supply will likely remain tight.

Oil prices reach 7 year high, gas prices surge

The Biden Administration’s requirement that all federal employees, including the employees of the Farm Service Agency, be vaccinated against COVID-19 will not cause FSA offices to close or farmers to receive a less-than-usual level of service. 

The Hagstrom Report says Ag Secretary Tom Vilsack made that statement last week during a House Agriculture Committee hearing. Representative Vicki Hartzler of Missouri mentioned to the secretary that she’s afraid the reluctance of some employees to get the vaccine might cause FSA offices to close, or at worst, have to provide a lower level of service than farmers have come to expect. 

She asked Vilsack if he had considered exemptions to the vaccine requirement, to which the secretary said there are exemptions for both religious and health reasons. Vilsack also said during the hearing that, “We will do what we need to do to keep offices open. I don’t anticipate we will see a significant number of closed offices.” 

Vilsack made the comments while testifying at a hearing on the state of the livestock industry, where he presented testimony on USDA’s efforts ranging from developing an African Swine Fever vaccine to the assistance available for producers and companies affected by COVID-19.

The Biden Administration’s requirement that all federal employees, including the employees of the Farm Service Agency, be vaccinated against COVID-19 will not cause FSA offices to close or farmers to receive a less-than-usual level of service. The Hagstrom Report says Ag Secretary Tom Vilsack made that statement last week during a House Agriculture Committee hearing. Representative Vicki Hartzler of Missouri mentioned to the secretary that she’s afraid the reluctance of some employees to get the vaccine might cause FSA offices to close, or at worst, have to provide a lower level of service than farmers have come to expect. She asked Vilsack if he had considered exemptions to the vaccine requirement, to which the secretary said there are exemptions for both religious and health reasons. Vilsack also said during the hearing that, “We will do what we need to do to keep offices open. I don’t anticipate we will see a significant number of closed offices.” Vilsack made the comments while testifying at a hearing on the state of the livestock industry, where he presented testimony on USDA’s efforts ranging from developing an African Swine Fever vaccine to the assistance available for producers and companies affected by COVID-19.

Vaccine requirement won’t close FSA Offices

Ag Secretary Tom Vilsack says the USDA is working on a proposal for a waiver system for hog plants forced by a federal court to slow down their processing lines. 

Waivers that would allow plants to speed up processing lines again could renew concerns about worker safety but boost profits for pork companies and farmers. Vilsack didn’t specify what those waivers would do or how they would get implemented. A federal judge ruled earlier this year against the Trump administration rule that allowed pork plants to run slaughter lines without speed limits, as long as they prevented contamination and minimized bacteria. 

Reuters says the United Food and Commercial Workers Union had challenged the 2019 rule because of worker safety issues. The Biden administration’s USDA didn’t appeal the ruling. However, the agency is now looking at ways to allow more adequate processing speeds but doing so without endangering worker health and safety. 

Vilsack told a Congressional hearing that USDA is working with the pork industry and workers’ representatives on the issue. Seaboard Foods sped up its plant in Oklahoma last year, becoming the first company to operate under the 2019 rule. Before the rule change, six other U.S. pork plants had bypassed previous speed limits with special USDA permission.

Ag Secretary Tom Vilsack says the USDA is working on a proposal for a waiver system for hog plants forced by a federal court to slow down their processing lines. Waivers that would allow plants to speed up processing lines again could renew concerns about worker safety but boost profits for pork companies and farmers. Vilsack didn’t specify what those waivers would do or how they would get implemented. A federal judge ruled earlier this year against the Trump administration rule that allowed pork plants to run slaughter lines without speed limits, as long as they prevented contamination and minimized bacteria. Reuters says the United Food and Commercial Workers Union had challenged the 2019 rule because of worker safety issues. The Biden administration’s USDA didn’t appeal the ruling. However, the agency is now looking at ways to allow more adequate processing speeds but doing so without endangering worker health and safety. Vilsack told a Congressional hearing that USDA is working with the pork industry and workers’ representatives on the issue. Seaboard Foods sped up its plant in Oklahoma last year, becoming the first company to operate under the 2019 rule. Before the rule change, six other U.S. pork plants had bypassed previous speed limits with special USDA permission.

USDA considering waivers for slower pork plant processing lines

The numbers for the most recent marketing year that ended on August 31 show there is good news for U.S. ethanol exports. U.S. ethanol exports reached the fifth-highest total on record despite the market challenges brought on by COVID-19. 

Exports were down eight percent from the previous marketing year, reflecting the challenges that COVID restrictions had on fuel demand and trade. The first half of the year’s exports occurred before the widespread stay-at-home orders were issued that drastically lowered fuel demand around the world.

 “The lingering effects of COVID-19 stay-at-home orders were reflected in the global ethanol trade in the most recent marketing year,” says Brian Healy, director of global ethanol market development for the U.S. Grains Council. “Looking forward, more aggressive blend rates that have already been set, or will need to be set, to meet emissions reduction goals, will support increased global ethanol demand and trade.” 

The USGC says Canada was the top export market for U.S. ethanol over the previous marketing year as fuel demand recovered after being down approximately 14 percent during the previous marketing year. India and South Korea round out the top three market destinations for U.S. ethanol exports.

The numbers for the most recent marketing year that ended on August 31 show there is good news for U.S. ethanol exports. U.S. ethanol exports reached the fifth-highest total on record despite the market challenges brought on by COVID-19. Exports were down eight percent from the previous marketing year, reflecting the challenges that COVID restrictions had on fuel demand and trade. The first half of the year’s exports occurred before the widespread stay-at-home orders were issued that drastically lowered fuel demand around the world. “The lingering effects of COVID-19 stay-at-home orders were reflected in the global ethanol trade in the most recent marketing year,” says Brian Healy, director of global ethanol market development for the U.S. Grains Council. “Looking forward, more aggressive blend rates that have already been set, or will need to be set, to meet emissions reduction goals, will support increased global ethanol demand and trade.” The USGC says Canada was the top export market for U.S. ethanol over the previous marketing year as fuel demand recovered after being down approximately 14 percent during the previous marketing year. India and South Korea round out the top three market destinations for U.S. ethanol exports.

Ethanol export numbers good despite COVID-19

The Environmental Protection Agency announced Thursday the appointment of Rod Snyder to become EPA’s Agriculture Advisor. Snyder will lead outreach and engagement efforts with the agricultural community for EPA, working to advance the Biden-Harris environmental agenda for farmers and rural communities. 

Snyder is nationally recognized for his leadership at the intersection of agricultural and environmental policy, and joins the agency after serving as president of Field to Market: The Alliance for Sustainable Agriculture. 

House Agriculture Committee Chair David Scott says of the appointment, “I know that he will be a valuable member of the Administrator’s senior leadership team.” American Farm Bureau Federation President Zippy Duvall adds he is confident Snyder “will be a strong advocate” for engagement and collaboration. 

Before his time at Field to Market, Snyder worked for the National Corn Growers Association and CropLife America. In 2015, Snyder co-founded the Sustainable Agriculture Summit, which has grown to be the largest and most prominent annual sustainable agriculture conference in North America.

The Environmental Protection Agency announced Thursday the appointment of Rod Snyder to become EPA’s Agriculture Advisor. Snyder will lead outreach and engagement efforts with the agricultural community for EPA, working to advance the Biden-Harris environmental agenda for farmers and rural communities. Snyder is nationally recognized for his leadership at the intersection of agricultural and environmental policy, and joins the agency after serving as president of Field to Market: The Alliance for Sustainable Agriculture. House Agriculture Committee Chair David Scott says of the appointment, “I know that he will be a valuable member of the Administrator’s senior leadership team.” American Farm Bureau Federation President Zippy Duvall adds he is confident Snyder “will be a strong advocate” for engagement and collaboration. Before his time at Field to Market, Snyder worked for the National Corn Growers Association and CropLife America. In 2015, Snyder co-founded the Sustainable Agriculture Summit, which has grown to be the largest and most prominent annual sustainable agriculture conference in North America.

EPA announces appointment of Rod Snyder as EPA Agriculture Advisor

The Department of Agriculture will invest $248 million in ten new school feeding projects expected to benefit more than a million children worldwide. Deputy Secretary of Agriculture Jewel Bronaugh&nbsp; announced the investment Thursday. 

USDA’s 2021 commitment, through the Foreign Agricultural Service’s McGovern-Dole International Food for Education and Child Nutrition Program, includes both direct financial support and the donation of U.S.-grown commodities to be used in school meals. The ten new projects USDA is funding in 2021 are in addition to 40 projects already underway in 30 countries.

 Some of this year’s funding will go towards local procurement of agricultural commodities to supplement donated U.S. commodities, helping increase dietary diversity and build connections between project schools and local farmers. Through the McGovern-Dole Program, FAS works with development organizations and governments in developing countries to reduce hunger and improve literacy and primary education. 

Since the program was established in 2002, it’s helped 31 million children in 51 countries.

The Department of Agriculture will invest $248 million in ten new school feeding projects expected to benefit more than a million children worldwide. Deputy Secretary of Agriculture Jewel Bronaugh&nbsp; announced the investment Thursday. USDA’s 2021 commitment, through the Foreign Agricultural Service’s McGovern-Dole International Food for Education and Child Nutrition Program, includes both direct financial support and the donation of U.S.-grown commodities to be used in school meals. The ten new projects USDA is funding in 2021 are in addition to 40 projects already underway in 30 countries. Some of this year’s funding will go towards local procurement of agricultural commodities to supplement donated U.S. commodities, helping increase dietary diversity and build connections between project schools and local farmers. Through the McGovern-Dole Program, FAS works with development organizations and governments in developing countries to reduce hunger and improve literacy and primary education. Since the program was established in 2002, it’s helped 31 million children in 51 countries.

USDA awards $248 Million for International School Feeding Projects

U.S. beef exports soared to another new value record in August, topping the $1 billion mark for the first time. The U.S. Meat Export Federation reports pork exports posted another strong month in August as well, remaining ahead of the record pace established in 2020. 

Led by record shipments to China and the largest exports of the year to Japan, August beef exports totaled 132,500 metric tons. Export volume was up 21 percent from a year ago, while export value climbed 55 percent to $1.04 billion. For January through August, beef exports increased 18 percent from a year ago to 955,400 metric tons, with value up 34 percent to $6.6 billion. 

Pork exports totaled 225,800 metric tons in August, up four percent from a year ago, and value increased 20 percent to $633.9 million. For January through August, exports were 1.5 percent above last year at just over two million metric tons, while value climbed ten percent to $5.62 billion.

U.S. beef exports soared to another new value record in August, topping the $1 billion mark for the first time. The U.S. Meat Export Federation reports pork exports posted another strong month in August as well, remaining ahead of the record pace established in 2020. Led by record shipments to China and the largest exports of the year to Japan, August beef exports totaled 132,500 metric tons. Export volume was up 21 percent from a year ago, while export value climbed 55 percent to $1.04 billion. For January through August, beef exports increased 18 percent from a year ago to 955,400 metric tons, with value up 34 percent to $6.6 billion. Pork exports totaled 225,800 metric tons in August, up four percent from a year ago, and value increased 20 percent to $633.9 million. For January through August, exports were 1.5 percent above last year at just over two million metric tons, while value climbed ten percent to $5.62 billion.

August beef exports top $1 Billion; Pork exports remain on record pace

Texas A&amp;M University has completed a comprehensive report on the U.S. cattle and beef markets in response to a bipartisan request from the House Agriculture Committee. 

Among its key findings is that proposals increasing government intervention and mandates will cost livestock producers billions of dollars. 

The House Agriculture Committee holds its fourth hearing of the year on cattle markets Thursday. North American Meat Institute President and CEO Julie Anna Potts says the report aligns with testimony in each of the hearings that “supply and demand have the most influence on the price of cattle.” 

The analysis is a 180-page book that looks at mandates included in proposed legislation to require minimum negotiated cash market purchases. Researchers claim the short-term impact of similar policy is a $2.5 billion negative impact in the first year and a cumulative negative impact of $16 billion over ten years, inflated to 2021 dollars.

Texas A&amp;M University has completed a comprehensive report on the U.S. cattle and beef markets in response to a bipartisan request from the House Agriculture Committee. Among its key findings is that proposals increasing government intervention and mandates will cost livestock producers billions of dollars. The House Agriculture Committee holds its fourth hearing of the year on cattle markets Thursday. North American Meat Institute President and CEO Julie Anna Potts says the report aligns with testimony in each of the hearings that “supply and demand have the most influence on the price of cattle.” The analysis is a 180-page book that looks at mandates included in proposed legislation to require minimum negotiated cash market purchases. Researchers claim the short-term impact of similar policy is a $2.5 billion negative impact in the first year and a cumulative negative impact of $16 billion over ten years, inflated to 2021 dollars.

Report: Government interference in cattle markets has consequences

The Department of Agriculture is rolling out a new insurance option specifically for agricultural producers with small farms who sell locally. The new Micro Farm policy, announced Wednesday, simplifies record keeping and covers post-production costs like washing and value-added products. 

USDA’s Risk Management Agency created the new policy based on research directed by the 2018 Farm Bill, and it includes feedback from producers who grow for their local communities. 

The policy will be available beginning with the 2022 crop year. The new policy is offered through Whole-Farm Revenue Protection, and it has distinct provisions that can provide more access to the program. 

The Micro Farm policy is available to producers who have a farm operation that earns an average allowable revenue of $100,000 or less, or for carryover products, an average allowable revenue of $125,000 or less. RMA's research showed that 85 percent of producers who sell locally made less than $75,000 in gross sales.

The Department of Agriculture is rolling out a new insurance option specifically for agricultural producers with small farms who sell locally. The new Micro Farm policy, announced Wednesday, simplifies record keeping and covers post-production costs like washing and value-added products. USDA’s Risk Management Agency created the new policy based on research directed by the 2018 Farm Bill, and it includes feedback from producers who grow for their local communities. The policy will be available beginning with the 2022 crop year. The new policy is offered through Whole-Farm Revenue Protection, and it has distinct provisions that can provide more access to the program. The Micro Farm policy is available to producers who have a farm operation that earns an average allowable revenue of $100,000 or less, or for carryover products, an average allowable revenue of $125,000 or less. RMA's research showed that 85 percent of producers who sell locally made less than $75,000 in gross sales.

USDA introduces new insurance policy for farmers who sell locally

The total value of agriculture exports may reach an all-time high in fiscal year 2022, October through September. 

USDA's Economic Research Service says higher shipments of major categories of commodities, including grains and feeds, oilseeds, and livestock, poultry, and dairy products, are primarily driving the increase. 

Total U.S. agricultural export values are projected to reach $177.5 billion in fiscal year 2022, up from $173.5 billion in fiscal year 2021.&nbsp;&nbsp;

Grains and feeds export values are projected up from their five-year average, reflecting higher international demand for corn, wheat, and feeds. Oilseeds are projected to reach a record $43.5 billion in fiscal year 2022. 

International demand for soybeans coupled with higher prices is projected to drive export values to a record high for fiscal year 2021 before increasing further in fiscal year 2022. Livestock, poultry, and dairy exports, which have averaged $29.5 billion from 2015 to 2020, are forecast to rise to $36.8 billion in fiscal year 2022.

The total value of agriculture exports may reach an all-time high in fiscal year 2022, October through September. USDA's Economic Research Service says higher shipments of major categories of commodities, including grains and feeds, oilseeds, and livestock, poultry, and dairy products, are primarily driving the increase. Total U.S. agricultural export values are projected to reach $177.5 billion in fiscal year 2022, up from $173.5 billion in fiscal year 2021.&nbsp;&nbsp;Grains and feeds export values are projected up from their five-year average, reflecting higher international demand for corn, wheat, and feeds. Oilseeds are projected to reach a record $43.5 billion in fiscal year 2022. International demand for soybeans coupled with higher prices is projected to drive export values to a record high for fiscal year 2021 before increasing further in fiscal year 2022. Livestock, poultry, and dairy exports, which have averaged $29.5 billion from 2015 to 2020, are forecast to rise to $36.8 billion in fiscal year 2022.

Exports projected to reach new high in fiscal year 2022

Lawmakers Tuesday introduced the Foreign Adversary Risk Management or FARM Act. The legislation seeks to combat foreign interference in America's agriculture supply chain through reforms to the Committee on Foreign Investment in the United States. 

Texas Republican Representative Ronny Jackson and Texas Democrat Filemon Vela introduced the legislation in the House. Senator Tommy Tuberville, an Alabama Republican, introduced companion legislation in the Senate. 

The bill would add the Agriculture Secretary to the Committee on Foreign Investment, an interagency committee authorized to review certain foreign investment transactions, and designate agriculture as critical infrastructure. 

Texas Farm Bureau President Russell Boening welcomed the legislation, commenting, “As Texas has experienced a surge of foreign investors buying agricultural land, it is critical that proper oversight is provided to ensure our national security.” 

Foreign investment in the U.S. agriculture industry has grown rapidly, as foreign investors currently control at least 28.3 million acres of agricultural land valued at $52.2 billion.

Lawmakers Tuesday introduced the Foreign Adversary Risk Management or FARM Act. The legislation seeks to combat foreign interference in America's agriculture supply chain through reforms to the Committee on Foreign Investment in the United States. Texas Republican Representative Ronny Jackson and Texas Democrat Filemon Vela introduced the legislation in the House. Senator Tommy Tuberville, an Alabama Republican, introduced companion legislation in the Senate. The bill would add the Agriculture Secretary to the Committee on Foreign Investment, an interagency committee authorized to review certain foreign investment transactions, and designate agriculture as critical infrastructure. Texas Farm Bureau President Russell Boening welcomed the legislation, commenting, “As Texas has experienced a surge of foreign investors buying agricultural land, it is critical that proper oversight is provided to ensure our national security.” Foreign investment in the U.S. agriculture industry has grown rapidly, as foreign investors currently control at least 28.3 million acres of agricultural land valued at $52.2 billion.

FARM Act seeks oversite on Foreign Ag Farmland Investments

Sentiment among agricultural producers weakened in September as the Ag Economy Barometer declined 14 points to a reading of 124. This is the weakest farmer sentiment reading since July 2020, when the index stood at 118. 

Producers were less optimistic about current and future conditions on their farms and the agricultural sector than a month earlier. 

There was a sharp rise in farmers' expectations regarding farm input price inflation with more than one-third of respondents expecting input prices to rise by more than 12 percent in the upcoming year. 

Farmer optimism about future growth in agricultural exports continues to wane, and that, combined with concerns about a squeeze on operating margins, could be contributing to weakness in farmer sentiment. 

Farmers do, however, remain bullish about farmland values. The Purdue University-CME Group Ag Economy Barometer sentiment index is calculated each month from 400 U.S. agricultural producers’ responses to a telephone survey.

Sentiment among agricultural producers weakened in September as the Ag Economy Barometer declined 14 points to a reading of 124. This is the weakest farmer sentiment reading since July 2020, when the index stood at 118. Producers were less optimistic about current and future conditions on their farms and the agricultural sector than a month earlier. There was a sharp rise in farmers' expectations regarding farm input price inflation with more than one-third of respondents expecting input prices to rise by more than 12 percent in the upcoming year. Farmer optimism about future growth in agricultural exports continues to wane, and that, combined with concerns about a squeeze on operating margins, could be contributing to weakness in farmer sentiment. Farmers do, however, remain bullish about farmland values. The Purdue University-CME Group Ag Economy Barometer sentiment index is calculated each month from 400 U.S. agricultural producers’ responses to a telephone survey.

September Ag Economy Barometer reveals decline

Barchart, an agricultural data service and technology provider, released its October 2021 Yield and Production forecasts for U.S. and Canadian field crops.&nbsp;&nbsp;

The latest report indicates a decrease in U.S. crop production for corn, soybeans, and hard red winter wheat and a decrease in Canadian production forecasts for spring wheat and soybeans.&nbsp;&nbsp;

U.S. corn production is forecasted at 15.3 bushels with a yield of 182.3 bushels per acre, compared to last month's 183.4 and USDA’s forecast of 15.0 billion bushels of production and a yield of 176.3 bushels per acre. 

Barchart pegs U.S. soybean production at 4.4 billion bushels on an average yield of 51.3 bushels per acre compared to last month's 51.6, similar to USDA’s forecast with a slightly higher yield. 

The company projects U.S. Hard Red Winter Wheat yields at 45.5 bushels per acre. Meanwhile, Canadian Spring Wheat production is pegged at 746.5 million bushels, and soybeans at 223.1 million bushels, with a 40.0 bushels per acre yield.

Barchart, an agricultural data service and technology provider, released its October 2021 Yield and Production forecasts for U.S. and Canadian field crops.&nbsp;&nbsp;The latest report indicates a decrease in U.S. crop production for corn, soybeans, and hard red winter wheat and a decrease in Canadian production forecasts for spring wheat and soybeans.&nbsp;&nbsp;U.S. corn production is forecasted at 15.3 bushels with a yield of 182.3 bushels per acre, compared to last month's 183.4 and USDA’s forecast of 15.0 billion bushels of production and a yield of 176.3 bushels per acre. Barchart pegs U.S. soybean production at 4.4 billion bushels on an average yield of 51.3 bushels per acre compared to last month's 51.6, similar to USDA’s forecast with a slightly higher yield. The company projects U.S. Hard Red Winter Wheat yields at 45.5 bushels per acre. Meanwhile, Canadian Spring Wheat production is pegged at 746.5 million bushels, and soybeans at 223.1 million bushels, with a 40.0 bushels per acre yield.

Barchart cuts crop production forecasts and yield

The Biden Administration has completed a months-long review of the U.S. trade relationship with China. Pointing out that the previous administration’s unilateral approach alienated allies and trading partners while hurting large sections of the economy, the administration says it took a more deliberate, long-term look at the relationship. 

The administration announced the four steps it will take to realign America’s trade policies towards China around U.S. priorities. First, they plan to discuss with China its performance under the Phase One Trade Agreement, pointing out that China made commitments that benefit certain industries like agriculture and must be followed through. 

Second, while pursuing Phase One enforcement, the U.S. will restart the targeted tariff exclusions process to mitigate the effects of certain Section 301 tariffs that raised costs on Americans. Third, the administration still has concerns with China that weren’t included in Phase One, such as concerns that relate to its state-centered and non-market practices that distort economic competition. 

The final step is consulting and coordinating with allies and partners who share American interested in ensuring the terms of global competition are fair, work collectively to set rules for trade and technology in the 21st century, and strengthen the global market for America’s workers and businesses.

The Biden Administration has completed a months-long review of the U.S. trade relationship with China. Pointing out that the previous administration’s unilateral approach alienated allies and trading partners while hurting large sections of the economy, the administration says it took a more deliberate, long-term look at the relationship. The administration announced the four steps it will take to realign America’s trade policies towards China around U.S. priorities. First, they plan to discuss with China its performance under the Phase One Trade Agreement, pointing out that China made commitments that benefit certain industries like agriculture and must be followed through. Second, while pursuing Phase One enforcement, the U.S. will restart the targeted tariff exclusions process to mitigate the effects of certain Section 301 tariffs that raised costs on Americans. Third, the administration still has concerns with China that weren’t included in Phase One, such as concerns that relate to its state-centered and non-market practices that distort economic competition. The final step is consulting and coordinating with allies and partners who share American interested in ensuring the terms of global competition are fair, work collectively to set rules for trade and technology in the 21st century, and strengthen the global market for America’s workers and businesses.

U.S. Trade Rep Tai completes review, offers steps forward on China

Growth Energy filed a petition in the United States Supreme Court asking the Court to review a D.C. Circuit Court opinion in the case of the American Fuel &amp; Petrochemical Manufacturers vs. the EPA. In that case, the D.C. Circuit Court vacated a 2019 EPA rule allowing year-round sales of a 15 percent ethanol fuel blend. 

The court’s decision overturned the EPA’s interpretation of a provision of the Clean Air Act that extended a waiver of limits on Reid Vapor Pressure (RVP), a measure of fuel volatility, to E15. Growth Energy argues that the decision did not give proper deference to EPA, contradicted Congressional intent in promoting renewable fuels, and would suppress the expansion of higher-blend renewable fuels in the future. 

“In 2019, EPA paved the way for the sale of E15 year-round,” says Growth Energy CEO Emily Skor. “Its decision was not only a win for the biofuels industry, our ag partners, and rural America but the environment and all drivers nationwide.” 

Skor also says low-carbon biofuels like ethanol burn cleaner and reduce greenhouse gas emissions by 46 percent compared to regular gasoline. “We’re asking the Supreme Court to review this decision because it is not in line with important court precedent on statutory interpretation and because of its detrimental environmental impacts,” Skor adds.

Growth Energy filed a petition in the United States Supreme Court asking the Court to review a D.C. Circuit Court opinion in the case of the American Fuel &amp; Petrochemical Manufacturers vs. the EPA. In that case, the D.C. Circuit Court vacated a 2019 EPA rule allowing year-round sales of a 15 percent ethanol fuel blend. The court’s decision overturned the EPA’s interpretation of a provision of the Clean Air Act that extended a waiver of limits on Reid Vapor Pressure (RVP), a measure of fuel volatility, to E15. Growth Energy argues that the decision did not give proper deference to EPA, contradicted Congressional intent in promoting renewable fuels, and would suppress the expansion of higher-blend renewable fuels in the future. “In 2019, EPA paved the way for the sale of E15 year-round,” says Growth Energy CEO Emily Skor. “Its decision was not only a win for the biofuels industry, our ag partners, and rural America but the environment and all drivers nationwide.” Skor also says low-carbon biofuels like ethanol burn cleaner and reduce greenhouse gas emissions by 46 percent compared to regular gasoline. “We’re asking the Supreme Court to review this decision because it is not in line with important court precedent on statutory interpretation and because of its detrimental environmental impacts,” Skor adds.

Growth Energy takes RVP to the Supreme Court

Growers across rural America are reporting unprecedented tar spot infestation this harvest season. When conditions are right, the disease can cause significant yield loss in susceptible corn hybrids. Tar Spot was first detected in the U.S. in 2015 in Illinois and Indiana, and it’s quickly spread through the Corn Belt and caused significant losses. 

Efforts to combat the disease has been hindered by the difficulty of growing the fungus that causes tar spot in a lab. The National Corn Growers Association has two Action Teams, both ready with support from state checkoff dollars and focused on aiding the fight against Tar Spot. 

2021 growers can monitor this year’s reported incidences of tar spot spread on the corn.ipmpipe.org website. If growers see Tar Spot in their fields, they’re encouraged to use the reporting form on the website. 

The Corn Protection Network’s publication recommends several best management practices, including managing residue of the affected crop to reduce inoculum from overwintering; rotating to other crops to reduce the primary tar spot inoculum; avoiding highly susceptible hybrids, as well as investigating effective fungicides. &nbsp;

Growers across rural America are reporting unprecedented tar spot infestation this harvest season. When conditions are right, the disease can cause significant yield loss in susceptible corn hybrids. Tar Spot was first detected in the U.S. in 2015 in Illinois and Indiana, and it’s quickly spread through the Corn Belt and caused significant losses. Efforts to combat the disease has been hindered by the difficulty of growing the fungus that causes tar spot in a lab. The National Corn Growers Association has two Action Teams, both ready with support from state checkoff dollars and focused on aiding the fight against Tar Spot. 2021 growers can monitor this year’s reported incidences of tar spot spread on the corn.ipmpipe.org website. If growers see Tar Spot in their fields, they’re encouraged to use the reporting form on the website. The Corn Protection Network’s publication recommends several best management practices, including managing residue of the affected crop to reduce inoculum from overwintering; rotating to other crops to reduce the primary tar spot inoculum; avoiding highly susceptible hybrids, as well as investigating effective fungicides. &nbsp;

Research and resources to fight Tar Spot

The Senate voted 50-45 to approve the nomination of Tracy Stone-Manning as Director of the Bureau of Land Management. The Montana resident takes over a department that manages about 12 percent of the total landmass in the U.S. The Montana Free Press says her nomination was supported by Montana Democrat Jon Tester. 

However, ten Republicans on the Senate Committee on Energy and Natural Resources signed a letter to President Biden, asking him to withdraw her nomination. The letter centered on Stone-Manning’s role in an investigation into a tree-spiking incident in the Clearwater National Forest in 1989 that eventually resulted in the indictment of four men. 

Wyoming Republican Senator John Barrasso says Biden’s nominee lied to the energy committee about her involvement in the tree-spiking incident, calling her a “dangerous choice” to put in charge of America’s public lands. 

Barrasso also pointed out that her nomination was opposed by a long list of policy leaders and organizations, including two former BLM directors, logging groups, and sportsmen’s groups. The final vote on her nomination fell along party lines, with Democrats voting in favor and Republicans opposed.

The Senate voted 50-45 to approve the nomination of Tracy Stone-Manning as Director of the Bureau of Land Management. The Montana resident takes over a department that manages about 12 percent of the total landmass in the U.S. The Montana Free Press says her nomination was supported by Montana Democrat Jon Tester. However, ten Republicans on the Senate Committee on Energy and Natural Resources signed a letter to President Biden, asking him to withdraw her nomination. The letter centered on Stone-Manning’s role in an investigation into a tree-spiking incident in the Clearwater National Forest in 1989 that eventually resulted in the indictment of four men. Wyoming Republican Senator John Barrasso says Biden’s nominee lied to the energy committee about her involvement in the tree-spiking incident, calling her a “dangerous choice” to put in charge of America’s public lands. Barrasso also pointed out that her nomination was opposed by a long list of policy leaders and organizations, including two former BLM directors, logging groups, and sportsmen’s groups. The final vote on her nomination fell along party lines, with Democrats voting in favor and Republicans opposed.

Senate confirms new Director of the Bureau of Land Management

U.S. Trade Representative Katherine Tai will reveal the Biden administration’s long-awaited strategy for moving forward with the U.S.-China trade relationship. Tai will discuss the troubled relationship during a speech at a Washington think tank. 

Since she first took office in March, Tai has been working through a complete review of Washington’s trade policy with China. Tariffs on hundreds of billions of dollars worth of Chinese goods were implemented by the Trump administration and kept in place by Biden. 

However, Reuters says the administration hasn’t talked a lot about how it will deal with what it calls “China’s non-market trade and subsidy practices.” Monday is the beginning of the final three months of the Phase One trade deal that China reached with the Trump administration early in 2019. 

That agreement eased a tariff war between the two biggest economies in the world. Administration officials say China hasn’t met its Phase One commitments, and they intend to hold the Asian nation to its international trade commitments. 

Trade industry experts estimate that China’s purchases of U.S. exports through August are running at about 62 percent of the Phase 1 targets. Tai has asked Congress for new trade laws to counteract Chinese subsidies for high-technology sectors.

U.S. Trade Representative Katherine Tai will reveal the Biden administration’s long-awaited strategy for moving forward with the U.S.-China trade relationship. Tai will discuss the troubled relationship during a speech at a Washington think tank. Since she first took office in March, Tai has been working through a complete review of Washington’s trade policy with China. Tariffs on hundreds of billions of dollars worth of Chinese goods were implemented by the Trump administration and kept in place by Biden. However, Reuters says the administration hasn’t talked a lot about how it will deal with what it calls “China’s non-market trade and subsidy practices.” Monday is the beginning of the final three months of the Phase One trade deal that China reached with the Trump administration early in 2019. That agreement eased a tariff war between the two biggest economies in the world. Administration officials say China hasn’t met its Phase One commitments, and they intend to hold the Asian nation to its international trade commitments. Trade industry experts estimate that China’s purchases of U.S. exports through August are running at about 62 percent of the Phase 1 targets. Tai has asked Congress for new trade laws to counteract Chinese subsidies for high-technology sectors.

Biden Administration to unveil China trade strategy 

The Senate and the House passed a Continuing Resolution to fund federal agencies through December 3. The CR provides $10 billion in much-needed disaster relief for losses incurred by farmers and ranchers in 2020 and 2021. It also extends Livestock Mandatory Reporting through December 3 of this year. 

National Farmers Union President Rob Larew says this is good news for family farmers and ranchers. “In addition to keeping federal programs funded, the CR includes critical relief to help farmers and ranchers recover from disasters,” he says. 

“This year, America’s family farmers and ranchers have faced hot, dry weather in much of the country, conditions that have led to severe losses of crops and livestock and put their livelihoods in jeopardy.” Larew also says they welcome the short-term extension of the Livestock Mandatory Program, an important tool for price discovery in livestock markets. 

“LMR ultimately needs to be improved and permanently extended, and we look forward to working with Congress to institute reforms that can help address consolidation in livestock markets.” 

Georgia Representative Sanford Bishop says, “This support is crucial to our farmers, ranchers, and producers for helping them recover from disaster ensures the fruits of their labor can provide affordable, nutritious food, textiles, and other vital materials across the country.” The CR was signed by President Biden.

The Senate and the House passed a Continuing Resolution to fund federal agencies through December 3. The CR provides $10 billion in much-needed disaster relief for losses incurred by farmers and ranchers in 2020 and 2021. It also extends Livestock Mandatory Reporting through December 3 of this year. National Farmers Union President Rob Larew says this is good news for family farmers and ranchers. “In addition to keeping federal programs funded, the CR includes critical relief to help farmers and ranchers recover from disasters,” he says. “This year, America’s family farmers and ranchers have faced hot, dry weather in much of the country, conditions that have led to severe losses of crops and livestock and put their livelihoods in jeopardy.” Larew also says they welcome the short-term extension of the Livestock Mandatory Program, an important tool for price discovery in livestock markets. “LMR ultimately needs to be improved and permanently extended, and we look forward to working with Congress to institute reforms that can help address consolidation in livestock markets.” Georgia Representative Sanford Bishop says, “This support is crucial to our farmers, ranchers, and producers for helping them recover from disaster ensures the fruits of their labor can provide affordable, nutritious food, textiles, and other vital materials across the country.” The CR was signed by President Biden.

Continuing Resolution provides much needed disaster assistance for agriculture

USDA's Agricultural Research Service announced Thursday that one of its vaccine candidates can prevent and protect against African swine fever. Specifically, the vaccine shows effectiveness against the current Asian and European strains of the virus. 

The findings also show that a commercial partner can replicate experimental-level results and prevent the spread of the virus. The onset of immunity was revealed in approximately one-third of the swine by the second week post-vaccination, with full protection in all swine achieved by the fourth week. 

The announcement follows a previous announcement this week that USDA is providing $500 million in funding for preparation and prevention regarding African swine fever. To date, ARS has successfully engineered and patented five ASF experimental vaccines and has fully executed seven licenses with pharmaceutical companies to develop the vaccines. 

A commercial vaccine for ASF virus will be an important part of controlling ASF in outbreak areas. All U.S. vaccine candidates have to go through the APHIS regulatory approval process for use in U.S. swine.

USDA's Agricultural Research Service announced Thursday that one of its vaccine candidates can prevent and protect against African swine fever. Specifically, the vaccine shows effectiveness against the current Asian and European strains of the virus. The findings also show that a commercial partner can replicate experimental-level results and prevent the spread of the virus. The onset of immunity was revealed in approximately one-third of the swine by the second week post-vaccination, with full protection in all swine achieved by the fourth week. The announcement follows a previous announcement this week that USDA is providing $500 million in funding for preparation and prevention regarding African swine fever. To date, ARS has successfully engineered and patented five ASF experimental vaccines and has fully executed seven licenses with pharmaceutical companies to develop the vaccines. A commercial vaccine for ASF virus will be an important part of controlling ASF in outbreak areas. All U.S. vaccine candidates have to go through the APHIS regulatory approval process for use in U.S. swine.

USDA announces ASF vaccine candidate

The National Restaurant Association this week sent results from a new survey to Congress, warning provisions of the Build Back Better Act could harm the rebuilding restaurant industry. 

Sean Kennedy of the National Restaurant Association says, while they support parts of the Build Back Better Act, “the legislation is too large and too expensive” for small businesses to take on. 

The national survey of restaurant operators indicated that deteriorating business conditions are impacting operators’ outlook, who believe the recovery from the pandemic will be prolonged well into 2022. 

Further, costs are up as 81 percent of operators report paying more for food, and others report higher labor and occupancy costs, while 85 percent report smaller profit margins than before the pandemic. 

The association opposed several tax changes included in the Build Back Better Act, that significantly increase tax obligations on small business operators. The association also urged Congress to replenish the Restaurant Revitalization Fund.

The National Restaurant Association this week sent results from a new survey to Congress, warning provisions of the Build Back Better Act could harm the rebuilding restaurant industry. Sean Kennedy of the National Restaurant Association says, while they support parts of the Build Back Better Act, “the legislation is too large and too expensive” for small businesses to take on. The national survey of restaurant operators indicated that deteriorating business conditions are impacting operators’ outlook, who believe the recovery from the pandemic will be prolonged well into 2022. Further, costs are up as 81 percent of operators report paying more for food, and others report higher labor and occupancy costs, while 85 percent report smaller profit margins than before the pandemic. The association opposed several tax changes included in the Build Back Better Act, that significantly increase tax obligations on small business operators. The association also urged Congress to replenish the Restaurant Revitalization Fund.

Restaurants to Congress: recovery is moving in reverse

A study from USDA's Economic Research Service shows the role meatpacking plants played in the spread of COVID-19. In what ERS describes as a working paper, the study outlined 49 U.S. nonmetro counties in which 20 percent or more of employment is in meatpacking, defined as meatpacking-dependent counties. 

This represents 41 percent of all nonmetro counties with employment in a single manufacturing industry. Meatpacking-dependent counties observed nearly ten times more COVID-19 cases in early May of 2020, compared to other manufacturing-dependent counties. 

By the beginning of July, the difference completely disappeared, driven by a reduction of cases in meatpacking-dependent counties. The study found evidence of large differences between meatpacking communities and a comparison group during the initial industry outbreak, which disappeared after implementing workplace safety precautions. 

While the study cannot verify that the implemented safety precautions were singlehandedly responsible for the change, it provides evidence that improved working conditions reduced COVID-19 spread.

A study from USDA's Economic Research Service shows the role meatpacking plants played in the spread of COVID-19. In what ERS describes as a working paper, the study outlined 49 U.S. nonmetro counties in which 20 percent or more of employment is in meatpacking, defined as meatpacking-dependent counties. This represents 41 percent of all nonmetro counties with employment in a single manufacturing industry. Meatpacking-dependent counties observed nearly ten times more COVID-19 cases in early May of 2020, compared to other manufacturing-dependent counties. By the beginning of July, the difference completely disappeared, driven by a reduction of cases in meatpacking-dependent counties. The study found evidence of large differences between meatpacking communities and a comparison group during the initial industry outbreak, which disappeared after implementing workplace safety precautions. While the study cannot verify that the implemented safety precautions were singlehandedly responsible for the change, it provides evidence that improved working conditions reduced COVID-19 spread.