Drought
The following information was released by the Nebraska Corn Board:While the drought is having a profound impact on crop production, thanks to ethanol production there is a larger and more flexible corn supply than was available during previous droughts of this magnitude.Today’s USDA report confirms what we already knew that the drought’s impact on supply and price will be felt by corn consumers around the world, stated Iowa Renewable Fuels Association (IRFA) Executive Director Monte Shaw. Yet, the ag sector has seen droughts before, and it will survive again. This is a time when all of agriculture should pull together. Unfortunately, national livestock trade associations have chosen to politicize the on-going drought as part of their multi-year effort to return corn prices to $2 per bushel.* (see below) At times like this, it is important to look past the rhetoric to the facts. And the fact is that ethanol production provides a benefit to Midwestern livestock producers in many ways.
Lawmakers and activist groups are calling on the U.S. government to lower the ethanol quota in the face of a possible domestic and international food crisis.
The U.S. Department of Agriculture says the United States’ cattle herd has shrunk to its smallest size in 60 years, mostly because of a severe drought that has ravaged the southern plains. Beef prices have gone up 17 percent as a result. In the pastures near Hallsburg,Texas, ranchers are hanging on desperately, hoping for rain.
Low cattle supplies in 2012 are expected to drive up beef prices for the second year in a row, stretching consumers still coping with high unemployment and only modest wage increases.
The nation’s cattle inventory, scorched by a record-breaking drought in Texas, has plummeted to a 60-year low, triggering concerns that beef prices will spiral higher for consumers.
The drought in California is depriving the state of water needed to produce everything from milk, beef, wine and more.
As if a sharp fall in the price of milk, New Zealand’s biggest export, wasn’t bad enough, the country is now bracing for a summer drought that could further hurt farmers and raise the risk of recession.
State’s dairy revenue losses alone are projected to total $250 million.
Can a proposed Federal Order overcome California’s worsening drought, rising costs and the lure of profitable nut crops? Drought, rising costs and competition from nut crops all cloud California’s dairy future.
Continued drought and water management problems will extend the suffering in rural areas, state Farm Bureau president says.
Today’s manual snow survey makes it likely that California’s drought will run through a fourth consecutive year.
Despite drought and record forage prices, California boosts milk output.
While eyeing record-high milk prices, California’s dairies prepare for limited forage and water supplies.
Drought might have hurt the dairy industry in the Panhandle over the past few years, but a Texas A&M AgriLife Extension Service specialist said signs are indicating the industry is growing once more.
Administrative Law Judge Jeffrey Boldt ruled that the Department of Natural Resources failed to consider the accumulated effects of groundwater use when the agency reviewed an application for a high-capacity well for a $35 million dairy farm.
The revised, $7.5 billion bond measure includes $2.7 billion for much-needed water storage projects.
How drought-gripped dairymen responsibly use water while producing the milk and dairy products that feed a growing population.
Continued water shortages mean unplanted and under-irrigated crops ahead for the state’s farmers.
The state’s producers react to record milk prices and softening corn costs.
That could represent a 20% reduction in planted acres.
Hay market expert Seth Hoyt says dairies are back in the driver’s seat.
Read AgWeb’s full coverage from this year’s conference.
Still, 13% of Missouri dairy farmers left the business. And the state reported 5% fewer beef cows.
Normal feed losses are 8%, and can be even higher without proper management.
But several factors suggest U.S. will remain a significant player in the global market.
‘Even the producers in the 24,000 lb./cow category are not meeting full costs and must find family living costs from some other source.’ --Robert Tigner, University of Nebraska Extension.
Herbicide restrictions may prohibit their use as feed.
The percentage increases are dramatic—up 12% over a year ago and up 15% over July.
Aflatoxin is a known carcinogen for both humans and livestock. The Food and Drug Administration prohibits the sale of milk with more than 0.5 parts per billion.
Drought, soaring feed costs, shrinking credit lines and red ink box in U.S. dairies.