NATIONAL AG NEWS SPONSORED BY THE AMERICAN FARM BUREAU FEDERATION
National Ag News for September 13, 2023
USDA Releases September WASDE Report
USDA released the September World Agricultural Supply and Demand Estimates report Tuesday. This month’s corn outlook calls for slightly larger supplies and ending stocks. Projected beginning stocks for 2023/24 are five million bushels lower, and corn production is forecast at 15.1 billion bushels, up 23 million from last month. The national average yield is forecast at 173.8 bushels per acre, down 1.3 bushels. Ending stocks are up 19 million bushels to 2.2 billion. The season-average corn price is unchanged at $4.90 per bushel. Soybean supply and use changes for 2023/24 include lower beginning stocks, production, crush, exports, and ending stocks. The soybean yield of 50.1 bushels per acre is down 0.8 bushels from last month. Ending stocks are projected at 220 million bushels, down 25 million from last month. The season-average soybean price is forecast at $12.90 per bushel, up $0.20 from last month. The wheat outlook for supply and use is unchanged this month. The projected 2023/24 season-average farm price is also unchanged at $7.50 per bushel.
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Crop Production Report Shows Higher Corn Production
Corn production is up, while soybean and cotton production is down from 2022, according to USDA’s Crop Production report issued Tuesday. Corn production is up ten percent from last year, forecast at 15.1 billion bushels. Soybean growers are expected to decrease their production three percent from 2022, forecast at 4.15 billion bushels. Finally, cotton production is down nine percent from 2022 at 13.1 million 480-pound bales. Planted and harvested acreage estimates for corn, cotton, and soybeans were reviewed based on all available data, including the latest certified acreage data from the Farm Service Agency. As a result, area planted to corn is estimated at 94.9 million acres, up one percent from the previous estimate, area planted to soybeans is estimated at 83.6 million acres, up slightly, and area planted to cotton is estimated at 10.2 million acres, down eight percent from the previous estimate. USDA surveyed more than 7,000 producers across the country and conducted objective yield surveys for the report.
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Basil Gooden Nominated as USDA Rural Development Undersecretary
President Joe Biden this week nominated Dr. Basil Gooden to serve as USDA Undersecretary for Rural Development. If confirmed by the Senate, Gooden would fill the undersecretary position left vacant by Xochitl Torres Small, who was confirmed in July 2023 as Deputy Secretary of Agriculture. Agriculture Secretary Tom Vilsack responded, “Dr. Basil Gooden is a widely-respected, accomplished champion for affordable housing, community advancement, and economic development.” One of USDA’s seven mission areas, Rural Development helps to expand economic opportunities, create jobs and improve the quality of life for millions of Americans in rural areas. Gooden recently served as a Visiting Scholar in the Sustainable Food Access Core of the Institute for Inclusion, Inquiry and Innovation at Virginia Commonwealth University. From 2016-2018, he served as the 3rd Secretary of Agriculture and Forestry for the Commonwealth of Virginia. Before that, Gooden served as the Virginia State Director for Rural Development at USDA.
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USDA Announces Awards to Support One Health Initiatives
USDA’s Animal and Plant Health Inspection Service is awarding 36 research awards totaling more than $56 million to support One Health surveillance and coordination. One Health is a collaborative, multisectoral, and transdisciplinary approach – working at the local, regional, national, and global levels – to achieve optimal health outcomes. It recognizes the interconnection between animals, people, plants and their shared environment. The announcement includes eight Agriculture and Food Research Initiative projects from USDA’s National Institute of Food and Agriculture, one National Science Foundation Ecology and Evolution of Infectious Diseases program project, and 27 projects identified through the USDA APHIS SARS-CoV-2 in animals funding opportunities. The awards will help APHIS accomplish its goal of building an early warning system to potentially prevent or limit the next zoonotic disease outbreak. APHIS Acting Administrator Dr. Michael Watson says, “This important work will strengthen our foundation to protect humans and animals for years to come.”
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FFAR Renews ESMC Partnership to Grow Market Program
The Foundation for Food & Agriculture Research Tuesday announced the renewal of its partnership with Ecosystem Services Market Consortium, or ESMC. The foundation awarded $10.3 million in 2019 to ESMC to support its research arm, matched by ESMC for a total of $20.6 million. That research resulted in Eco-Harvest, launched in May 2022. Eco-Harvest is an ecosystem services market program that financially rewards participating producers for using regenerative agriculture practices that generate beneficial environmental outcomes. Eco-Harvest program regions include the corn and soy belt, Northern Great Plains, Southern Great Plains, Southeast and Great Lakes regions for corn, soy, wheat, oats and alfalfa cropping systems. FFAR announced an investment of $5.15 million for additional research, and ESMC is matching the award for a total $10.3 million. ESRC will conduct the research, development, demonstration and deployment activities that facilitate Eco-Harvest participating in all major U.S. agricultural regions. FFAR’s Dr. LaKisha Odom says, “These practices are critical in protecting farmers’ livelihoods and the environment, while increasing productivity.”
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CHS Intends to Return $730 Million to Owners
CHS Inc., the nation’s leading agribusiness cooperative, has announced it intends to return $730 million in cash patronage and equity redemptions to its owners in calendar year 2024. The CHS Board of Directors determines the total amount of cash to be returned to CHS owners at the close of each fiscal year. Based on business done with CHS in fiscal year 2023, which ended on August 31, 2023, the CHS Board has elected to return $365 million in cash patronage and $365 million through equity redemptions to CHS owners. CHS owners are member cooperatives and farmer-owners in hundreds of communities across rural America. The cash returns earmarked for distribution in 2024 will combine with the previous year’s cash returns for more than $1.7 billion shared with owners over two years and more than $3.2 billion returned to owners over the past ten years. Final financial results for fiscal year 2023 are expected to be announced in November 2023.
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