NATIONAL AG NEWS SPONSORED BY THE AMERICAN FARM BUREAU FEDERATION
National Ag News for November 29, 2022
Farm Share of U.S. Food Dollar Reached Historic Low in 2021
U.S. farm establishments received 14.5 cents per dollar spent on domestically produced food in 2021—a decrease of 1.0 cent from a revised 15.5 cents in 2020. The figure is the lowest recorded farm share value in nearly three decades, according to USDA’s Economic Research Service. The remaining portion of the food dollar—known as the marketing share—covers the costs of getting domestically produced food from farms to points of purchase, including costs related to packaging, transporting, processing, and selling to consumers. One contributor to the 2021 decline in farm share was a shift to food-away-from-home spending. Farm establishments typically receive a smaller share of food-away-from-home spending because of the large amount of value added by outlets such as restaurants. As a result, the farm share generally decreases when food-away-from-home spending increases faster year-over-year than food-at-home spending. Food-away-from-home spending increased markedly in 2021 after a sharp decrease early in the COVID-19 pandemic.
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USDA Kicks off Spain Trade Mission Delegation
The Department of Agriculture’s Foreign Agricultural Service Associate Administrator Clay Hamilton arrived Monday in Madrid to launch a USDA agribusiness trade mission to Spain. More than 70 participants, representing various sectors of U.S. food and agriculture, including businesses, trade associations, and state government, join this trade mission to explore export opportunities for U.S. agricultural products to Spain. Hamilton says, “Spanish consumers and food processors are increasingly interested in sustainably produced goods, which gives U.S. producers a marketing edge over other export suppliers.” Hamilton notes that USDA sees the demand for consumer-ready products steadily increasing, presenting an opportunity for U.S. exports. Trade mission participants will have an opportunity to connect with potential customers and learn the mechanics of exporting to Spain. In addition, importers from the neighboring Portugal have also been invited to participate, allowing the U.S. exporters to learn about opportunities in that country as well.
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USDA Breaks Ground on New Soil Research Buildings in Auburn, Alabama
The Department of Agriculture’s Agricultural Research Service broke ground Monday on a new research facility housing the National Soil Dynamics Laboratory. The facility at Auburn University’s College of Agriculture will include two new buildings at Auburn University’s Research Park. Dr. Simon Liu, ARS acting administrator, says, “With these new buildings and the continuing cooperation with our research partners at Auburn University, we believe that the National Soil Dynamics Laboratory will continue to have a substantial positive impact on agriculture all over the world.” The National Soil Dynamics Laboratory and Auburn University scientists are considered national leaders in developing economical and environmentally sound crop management systems for production agriculture in the Southeast. The partners are leading the way in the new national focus on soil and water quality to maintain the productivity of our nation’s farms, according to Dr. Allen Torbert, supervisory research soil scientist and research leader for the National Soil Dynamics Laboratory.
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New Board Members Announced for FFA Foundation Sponsors’ Board
The National FFA Foundation announced its new chair for the Sponsors’ Board during the 95th National FFA Convention & Expo in Indianapolis this fall. David Hollinrake, global head of strategy and portfolio management for Syngenta, was named chair for the upcoming year. Hollinrake grew up on a farm in Illinois and has been involved with agriculture his entire life. Mary Snapp, vice president of strategic initiatives for Microsoft, was named chair-elect. Hollinrake says, “I am honored to play a role in helping create the next generation of leaders. The National FFA Sponsors’ Board comprises top corporate executives who wish to support agricultural education and the National FFA Organization. During their service, sponsors’ board members are integral to advising National FFA on opportunities to improve programs and secure funding for the continued development of the next generation of leaders who will change the world. Seven other new board members were announced. The members will serve on the board for three years.
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Case IH, Farm Journal to Host Christmas Comeback in Kentucky
Case IH and Farm Journal will celebrate a “Christmas Comeback” for residents of Mayfield, Kentucky. The event comes as the one-year anniversary of a tornado that damaged the town and rural areas on December 10, 2021. Case IH and Farm Journal want the people of Mayfield to know that they haven’t been forgotten. Residents and others impacted by the storm are invited to a “Christmas Comeback” celebration with friends, family and the ag community. The community will enjoy singing Christmas carols with American Idol finalist Alex Miller and other holiday activities. Traci Rodemeyer of Case IH says, “With great partners, generous volunteers and lots of teamwork, our goal is to bring light and smiles this holiday season.” The “Christmas Comeback” is a holiday celebration, but also a celebration of the resilience and commitment of the people of Mayfield who continue to rebuild their community. The event is set for Friday, December 2, 2022, at H&R AgriPower in Mayfield from 5:00-7:30 p.m.
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Gas and Diesel Prices Fall Over Thanksgiving
For the third straight week, the nation’s average gas price declined, falling 12.4 cents from a week ago to $3.52 per gallon. The national average is down 22.7 cents from a month ago and 14.1 cents per gallon higher than a year ago. The national average price of diesel fell 7.9 cents in the last week and stands at $5.20 per gallon. GasBuddy’s Patrick De Haan says, “All the metrics look very positive for motorists as this week is likely to continue seeing falling gasoline prices, with many areas falling to the lowest level since Russia’s invasion of Ukraine in February.” The national average could fall under $3 per gallon by Christmas, according to De Haan. The bears have run rampant through oil markets, with prices continuing to come under heavy selling pressure as China sees protests for its zero-Covid policies, shutdowns of major cities, and U.S. demand facing seasonal pressure. U.S. retail gasoline demand fell last five percent as motorists pre-filled up and celebrated Thanksgiving.
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