23.05.2014

UK - Aphid threat to spring vegetable crops

Aphids are starting to fly earlier and in greater numbers than normal this season, putting spring-sown crops at the biggest risk of damage.Crops such as potatoes, peas and beans, and other field vegetables are expected to be the most under threat after a mild winter and warm spring.“This year spring crops are more at risk than autumn-sown ones,” said Richard Harrington, head of the insect survey team at Rothamsted Research.This big aphid year is likely to lead to damage from direct feeding and virus spread, especially on vegetable crops rather than cereals.Dr Harrington added that last winter was the fourth mildest since Rothamsted aphid suction trap records began in 1965, which helped to aid aphid survival through the winter.However, the early aphid flying season is not expected to lead to a big risk of damage to cereal crops this summer.This is because the mild winter and warm spring will have also encouraged aphid’s natural predators, such as ladybirds and parasitic wasps, which are building up numbers for when cereals ears appear and when the crop is most at risk.“We do not see such as big risk this year to cereal crops,” he said at a cereal aphids briefing organised by Bayer CropScience.The risk to cereal crops is usually bigger after a harsh winter as predators often starve in the absence of aphids, while these aphids can recover in numbers more quickly than their predators.Although a mild winter encourages aphid-borne barley yellow dwarf virus (BYDV) in cereals, Dr Harrington said two successive mild winters with a wet summer sandwiched between are the ideal conditions for BYDV infection.Therefore, the cold winter of 2012-13 has limited the severity of BYDV this season to well below the big disease year in 2012.But if this summer is wet – which encourages a green bridge between crops to aid aphid survival – and this is followed by a mild winter, then BYDV may well be a problem for harvest 2015 crops.Will Foss, agronomist at distributor Agrii, said the BYDV risk is higher on early drilled cereal crops in warm sheltered areas and in a prolonged mild autumn.The disease can cut winter barley yields by up to 75% and winter wheat yields by up to 30% with infection largely coming from disease-carrying aphids in the autumn, he added.An insecticide cereal seed dressing, such as Redigo Deter, will give control for six to 12 weeks depending on the seed rate and drilling date, and then control can be topped up by use of a pyrethroid spray.This seed dressing product contains the neonicotinoid insecticide clothianidin for aphid control and the azole fungicide prothioconazole for seed-borne disease control.Mr Foss said if this neonicotinoid was lost as a cereal seed dressing, as these chemicals have been banned by the European Union for use on oilseed rape seed, then it would be a real problem and growers would be very reliant on pyrethroids.Aphid resistance to pyrethroids was first detected in the English grain aphid (Sitobion avenae) in the summer of 2011, and resistance could spread to other cereal aphids such as the rose-grain aphid and the bird cherry-oat aphid.Rothamsted’s Stephen Foster advised cereal growers to avoid cutting pyrethroid dose rates to try and keep their effectiveness high.“Growers should not reduce rates. Keep rates up for the best resistance management strategy,” said Dr Foster, who leads work on aphid resistance at Rothamsted.Source - http://www.fwi.co.uk/

23.05.2014

USA - OSU advises farmers to control for crop disease

Recent weather conditions and the forecast of cooler temperatures is cause for concern as wheat in Ohio is coming to its critical growth stage. Growers have been advised by a a wheat expert from Ohio State University’s (OSU) College of Food, Agricultural, and Environmental Sciences, to control their fields for disease development indications.The rainy weather helps to create conditions favourable for foliar disease to develop, producing spores and new infections, said Pierce Paul, an Ohio State University Extension wheat researcher.The amount of moisture experienced recently favours significant foliar diseases that impact wheat crops near critical growing stages, said Paul, who is also a plant pathologist with the Ohio Agricultural Research and Development Center.OSU Extension and OARDC are the outreach and research arms, respectively, of the college.Foliar diseases such as Septoria blotch and powdery mildew are what growers should be on the lookout for, Paul said.Although inspecting for foliar disease is critical for healthy yields, this year is even more significant as winter wheat production is forecast to be down 9% from last year to 1.4 billion bushels, according to the US Department of Agriculture's National Agricultural Statistics Service. The agency said as of May 1, US wheat yield is forecast at 43.1 bushels per acre, down 4.3 bushels from last year.While earlier fungicide applications will provide adequate control of Septoria and powdery mildew, growers should first inspect their fields to see how susceptible their crops are to the diseases, Paul said."Growers should walk their fields and look for disease, especially if the variety they are working with is susceptible," he said. "They should look for Septoria and powdery mildew on the lower leaves."Septoria blotch will appear as dark, irregularly shaped lesions with black dots in the center. At this early stage, powdery mildew appears a fluffy white powdery growth on the surface of the leaves and lower stems."As most of the major foliar diseases usually develop and reach the flag leaf after the wheat growth stage known as Feekes 8-9, Paul said, the greatest benefits from foliar fungicide applications are obtained when they are made between Feekes 8 and 10 and cultivars are susceptible.Source - http://www.allaboutfeed.net/

22.05.2014

India - Karnataka: Crop insurance scheme

HDFC ERGO General Insurance Company Ltd, a joint venture of HDFC Ltd and ERGO International AG, has been authorised by the Karnataka Government to implement its weather-based crop insurance scheme. The scheme will be implemented for kharif 2014-15 for pomegranate, onion, cotton, chilli, grapes and banana in Yadgir, Bellari, Bijapur and Bagalkot districts.Source - http://www.thehindubusinessline.com/

22.05.2014

USA - Farmer And Ranchers Work Through Rainfall, Frost

Farmers trying to seed crops and ranchers trying to move cattle in South Dakota had to deal not only with rainfall over the past week but also frost in some areas.The Agriculture Department says in its weekly crop report that the cool conditions have slowed rangeland growth and delayed the movement of cattle to summer pastures.About one-third of the state's soybean crop and three-fourths of the corn crop is planted, both ahead of the average pace. Spring wheat seeding still lags a bit behind the average, at 83 percent done. Sunflower seeding is just getting underway.The Yankton Daily Press & Dakotan reports that Bon Homme and Hutchinson counties have lifted burn bans because of the recent rainfall.Source - http://www.chadrad.com/

22.05.2014

Crop losses must be reported in timely manner

When bad weather prevents planting or frost and extreme temperatures damage crops, producers must timely report their crop losses to the Farm Service Agency, according to Susan Blachowiak county director for the Dodge County FSA.“When wet conditions or a natural disaster prevents planting, producers must report the acreage to FSA within 15 days of the final planting date of the crop,” Blachowiak said.Final planting dates vary among counties and by crop. In Dodge County, the final planting date for corn grain is May 31, corn silage June 5 and soybeans June 15.The reporting requirement applies to all crops, covered or not by crop insurance, or by FSA’s non-insured assistance program. The reporting will provide FSA with a historical record of a crop should disaster assistance programs become available at a later date.Additionally, a notice of loss application must be completed for the crop losses or damage. Producers who have their crops insured through a private crop insurance company should contact their insurance agent. It is a requirement to report failed acres before destroying the crop and to have FSA complete a field verification unless it is covered by crop insurance and the insurance loss adjuster has completed a field visit. For crops covered under a NAP policy, producers should report their losses to the local FSA office within 15 calendar days after the disaster conditions occurred, or when damage to the crop became apparent.Source - http://www.wiscnews.com/

22.05.2014

USDA To Pilot Crop Insurance Options for Diversified Farms

As the linchpin of the farm safety net, crop insurance has continued to grow as producers look for protection against unpredictable weather. But fruit and vegetable growers, or farmers with diversified operations, have in the past had few insurance options designed for them.On Wednesday, USDA Secretary Tom Vilsack announced that would change with the roll out of the new Whole-Farm Revenue Protection program, which is scheduled to pilot in selected counties.Whole-Farm insurance allows farmers to insure all crops on their farm at once, rather than insuring commodity by commodity, USDA said."Providing farmers the option to insure their whole farm at once gives farmers more flexibility, promotes crop diversity, and helps support the production of healthy fruits and vegetables," Vilsack said in a released statement. "More flexibility also empowers farmers and ranchers to make a broader range of decisions with their land, helping them succeed and strengthening our agriculture economy."Traditionally, many fruit and vegetable crops have not had crop insurance programs designed for them, which USDA says makes it less attractive for a farmer that primarily plants wheat or corn to use another part of his or her land for growing fruits, vegetables or other specialty crops.Whole-Farm insurance detailsIntroduced with the passage of the 2014 Farm Bill, the new Whole-Farm option is intended for broad adoption among specialty crop, organic, and diversified growers.The policy offers coverage levels from 50% to 85% and recognizes farm diversification through qualification for the highest coverage levels, along with premium rate discounts for multiple crop diversification.It's available to farms with production and revenue history, including five years of historic farm tax records.The policy also includes a Market Readiness Feature, as outlined in the farm bill, which allows costs such as washing, trimming, and packaging to be left in the insured revenue instead of having to adjust those amounts out of the insured amount, USDA said.The new Whole-Farm Revenue Protection policy combines Adjusted Gross Revenue and AGR-Lite along with several improvements to target diversified farms and farms selling two to five commodities, including specialty crops, to wholesale markets.As part of the pilot, Whole-Farm Revenue Protection will be available where AGR and AGR-Lite are currently offered, and will expand to other counties as data are available for underwriting and actuarial ratemaking.Source - http://farmfutures.com/

22.05.2014

India - Drought conditions affect Darjeeling tea production

A sustained drought-like condition in Darjeeling has affected the premium first flush, which fetches a high price for tea crop, major growers said."The severe lack of rainfall in several parts of Darjeeling has affected the first flush which happens the period between March to April," Chairman and Managing Director of Andrew Yule Kallol Datta told PTI.He said the first flush accounted almost 10 per cent of the entire tea crop in Darjeeling and most of the producers had missed out on that.Datta said though there were rains now, the drought-like conditions had caused nearly 30 per cent loss in tea production but there was a possibility of a recovery during the period between July to September.Chairman of Darjeeling Tea Association (DTA) S S Bagaria said one-third of the area under tea cultivation in Darjeeling was still reeling under drought-like conditions."The Mirik Valley area is still having lack of rainfall. The bushes are drying and there is a shortage of leaves. This makes the economics of the gardens in the area unviable," Bagaria said.He said that so far, crop loss in the premium tea producing region was down by 40 per cent from the last year.To add to the woes there was a long summer last year in the European Union which resulted in a huge carry-over stock, he said.During the summer, tea consumption in the EU declines considerably as people prefer other drinks.However, producers were of the view that the crop loss is unlikely to have any impact on the price level.The entire Darjeeling area produces nine million kg of orthodox tea which is generally exported.Source - http://www.business-standard.com/

22.05.2014

India - No sign of crop insurance coverage for weather hit tea sector

Weather hit tea sector in India is yet to have any positive hope form the policy makers on its long pending demand of coverage under Agriculture Crop Insurance schemes, though another major plantation crop coffee is cover."A major portion of Indian tea belt in Eastern India is experiencing unprecedented heat wave and shortage of rainfall severely hampering the yield and causing long standing damage to the plantations."If not addressed properly now, this will become disastrous for this labour intensive industry leaving massive socio economic impact," Bijoy Gopal Chakroborty, President Confederation of Indian Small Tea Growers' Association ( CISTA). Small tea growers in India contribute over 30 per cent of nation green leaf yield.As per latest meteorological database, the national level shortfall in rain for the last week was for 3per cent only. But, the nation is suffering from 71per cent less rainfall against its long term average for the period beginning first January.Keeping pace with that, the usual heavy rainfall zone in India comprising Assam and Sub Himalayan West Bengal that hosts around 50per cent of nation's plantation area, are also suffering from shortage of rainfall.During pre Monsoon season from 1st March, the shortfall here is for 30per cent, "That is alarming," said S Seal, a planter from Terai region in West Bengal. The obvious outcome is drastic fall in output in the tune of around 40per cent to 60 per cent.Interestingly, "Despite being highly dependent on the climatic whims, tea is not covered under schemes of Agriculture Insurance Co. of India Ltd (AICIL). Our repeated request could not yield any positive result," said Chakroborty.AICIL started working on this with Indian Tea Board (ITB) years back. "We have taken joint steps and asked meteorology department for long duration weather data for every tea producing region," said, ITB Director (Development) G Boriah earlier.But, things remained in papers only. When asked, none in ITB or AICIL could show any definite ray of hope for the initiation of the schemes.Source - http://economictimes.indiatimes.com/

21.05.2014

Thailand Second Rice Crop Affected by Severe Drought

Thailand's 2013-14 second rice crop (January - July), which has almost reached harvesting stage, is severely affected by the ongoing drought conditions in the country.While officials of Royal Rain Department (RRD) have conducted artificial rain making operation in the rice producing provinces of Nakhon Ratchasima, Buriram, Surin, Srisaket, Roi Et, Mahasarakham and Khon Kaen in the Northeastern region of Thailand, not much impact could be seen in water availability, say farmers. RRD officials said a total of 130 cloud seeding flights have been operated since last month and noted that the operation would continue till the end of May 2014.Farmers say water released from local reservoirs by provincial authorities was also insufficient and the rice plants have been withering in extreme heat.USDA Post estimates that production for the 2013-14 second crop may decline about 6% to 5.7 million tons from 6 million tons the previous year. However, the total year’s crop is estimated up about 1.5% from last year thanks to the 4% y/y increase in production in the main crop, harvested last autumn. The main crop production accounts for about 70% of production and rose to about 14.8 million tons in 2013-14, up from about 14.17 million tons in 2013-13. The outlook will now be on the 2014-15 main crop to be planted later this summer.Source - http://oryza.com/

21.05.2014

USA - Slow planting prompts insurance deadline extension requests

With a wet, late planting season, farmers are approaching planting deadlines for full crop insurance compensation on various crops. Sen. Heidi Heitkamp, D-N.D., is asking the U.S. Department of Agriculture to consider delaying the final crop insurance planting deadline for corn this year and other crops in future years.As of May 19, the National Agricultural Statistics Service pegged corn planting progress at a mere 17 percent in North Dakota and 53 percent in Minnesota, and a more normal 73 percent in South Dakota.Spokesman Todd Duetz sidestepped a question about whether it is realistic to change the corn planting date from May 25 for this year, but said Heitkamp is hopeful that USDA would give it “full consideration,” and noted that asking for the relief underlines the need for action in future years for other crops. Heitkamp wants USDA to consider pushing back final planting dates for early spring crops in 2015 and subsequent years.Doug Hagel, regional director for the federal Risk Management Agency, based in Billings, Mont., says the contracts with reinsurers are submitted in the summer of the previous year and finalized on Nov. 30 each year.“After that period, you can’t change anything without having some impact with the producers — you don’t want to do that — or with the insurance companies who are carrying the risk,” he says.Hagel acknowledges it is more plausible to talk about changing policies for future years, which is based on research and statistics from universities and the Agricultural Research Service, among others. He acknowledges farmers can still plant during their late planting period, but face a reduced coverage, which offsets the risk.He adds farmers also typically plant shorter-season varieties during late planting, which tends to reduce yields.“But the new varieties are changing, getting better — getting out of the ground quicker and moving faster” in development, Hagel says.He says sugar beet cooperatives in the region have been talking with RMA about changing planting deadlines for future years from the current May 31 to June 10.Source - http://www.agweek.com/

21.05.2014

USA - Frost and freeze damage to crops

Early morning temperatures from May 14-16th have been below 32° F for much of the state, with some portions of the state reaching as low as 23° F. Crop damage will be a concern in a few instances.The crop, crop growth stage, air temperature, near surface air temperature, soil temperature, length of freezing conditions, and local topography among other factors all influence the extent of crop damage that may occur during an early morning freeze event. Corn emergence is behind average as well as growth of spring small grains and pulse crops, which will minimize the impact of these freezing temperatures. Freeze damage to emerged soybeans would be a large concern, but very few acres of soybeans have emerged and those acres that have emerged in the southern part of the state did not see as low of temperatures. Alfalfa, on the other hand, may be more susceptible than the aforementioned, annuals.South Dakota and Montana have the largest amount of acres dedicated to alfalfa and alfalfa mixtures in the U.S and therefore the biggest concern is the nearly 1.8 million acres of alfalfa and alfalfa mixtures in the state that will be impacted by these early morning freezing temperatures.For established alfalfa stands, the following guidelines serve as a general rule of thumb (S. Barnhart, 2005 and direct communication with Vance Owens, SDSU):Light Freeze (27 - 31° F): Alfalfa plants will outgrow the damage. Loss of several sets of trifoliolate leaves down the stem and some slight curling of the stem may be observed. Buds or growing points will continue to grow as normal. A majority of the terminal buds should still look green and alive 2 to 3 days after the freeze event.Moderate Freeze (26-27° F): Upper part of the stem and terminal buds can be killed. Regrowth must occur from lower axillary buds on the stem or from new crown buds. Growth and first cutting will be delayed.Hard Freeze (26° F and colder): Leaf, buds, and stem tissue will be killed and plants will regrow from crown buds. First cutting will be delayed significantly.In newly seeded alfalfa:Under normal conditions, alfalfa seedling populations will naturally thin down by the end of the establishment year with a target range of 25 to 35 plants per square foot in the establishment year. In the first full production year the following spring, 12 to 20 plants per square foot is sufficient.New seeded alfalfa or seedlings between the 2 and 5 trifoliolate leaf stage are very susceptible to being killed if exposed to 26° F at 4 or more hours. Companion crops can help seedlings survive under colder or longer periods of exposure. Seedlings from emergence to the 2 trifoliolate leaf stage are more cold tolerant (D. Undersander et al., 2011). When seedlings lose all trifoliolates and look discolored, they will not likely regrow.Re-seeding with the drill into thin and damaged areas may be warranted on new seedings. The presence of a companion crop like oats could be too competitive for interseeded alfalfa seedlings. In this case, replanting the areas without the surviving stand may need to occur.Source - http://www.tristateneighbor.com/

21.05.2014

Philippines - El Niño damage to crops: P503M

Crops valued at a total of P823.29 million have so far been lost to the early effects of a looming El Niño phenomenon, according to the Department of Agriculture (DA).Based on a preliminary assessment by the DA’s field units, corn farms were most affected by the dry spell, with P583.6 million worth of losses, involving 28,105 hectares with foregone harvest equivalent to 45,729 metric tons of corn.The dry spell has also taken its toll on rice farms and vegetable farms at P221.28 million and P18.41 million, respectively.Some 12,200 tons of palay from 4,618 hectares of farms have been lost, as well as 1,190 tons of vegetables from 242 hectares of land.According to the DA, the most affected region was Cagayan Valley, which accounted for losses worth P426.5 million.The Cordilleras reported P216.95 million, Mimaropa, P168.85 million, and Bicol, P10.96 million.Agriculture officials said the DA is providing affected farmers with seeds and other production inputs as well as promoting water-saving measures among rice farmers and pushing for the adoption of modern farming and fishery technologies to mitigate the effects of the anticipated long dry spell.“The DA will need an initial budget of P1.61 billion (for all these efforts),” Roy Abaya, officer in charge of the DA’s field operations service, said in a briefing.Abaya said that of the total amount, P764.3 million is already available while the remainder is still being requested from the Department of Budget and Management.Nearly half of the total, or P729.9 million, is intended for stocking and distribution of inputs, P340 million for the construction of small-scale irrigation facilities and P199.9 million for crop insurance.A total of P159.8 million is earmarked for the repair and rehabilitation of irrigation systems and P41.8 million is meant for cloud-seeding operations.“We are calling on rice farmers to use water-saving technologies such as controlled irrigation. We also urge them to implement crop-shifting and closely monitor the incidence of pests and diseases,” Agriculture Secretary Proceso J. Alcala said.He said government interventions include introducing farmers to drought-tolerant rice varieties such as the “super green rice” and the plating of alternative crops like sorghum, cassava and sweet potato.“Aside from these, the (DA) has installed efficient and innovative agri-fishery technologies such as the construction of dike peripheral, deepening of fishponds to allow tidal intrusion and the use of aqua species that are tolerant to saline water,” he said.Source - http://newsinfo.inquirer.net/

21.05.2014

USA - Kansas wheat crop continues to suffer

The latest wheat report is in and with just about a month until harvest time, over half of the crop is in ‘poor condition’.“The wheat crop has been slowly deteriorating since March,” said KSN’s Agriculture Expert John Jenkinson. “Now, we’ve seen above average temperatures and very low humidity and it’s putting the final nail in the coffin of this wheat crop.”Normally Kansas farmers abandon about 10% of their wheat crops each year, this year they’re expected to give up on about 25%.On a good year wheat farmer Gary Millershaski can get 35 bushels an acre or more. This year he’s hoping for 5.“I was surprised that it shot up as many heads as it did,” he said. “I’m going to have just enough wheat that I’m going to cut everything.”If farmers like Millershaski can’t get enough from harvesting their crop to make it cost effective, they’ll claim it on insurance.A poor wheat crop means smaller profits for the farmers, but it also means each one of the plants is producing fewer kernels. So, when it’s time to plant next season’s wheat crop later this year the seeds will be in short supply.“I would encourage anybody who doesn’t have their seed wheat supplies [to place an order],” Millershaski said.Even though rain at this point wouldn’t be enough to revive this year’s crop, farmers need it soon to re-hydrate the dry soil.“Farmers are really backed into a corner,” Jenkinson said, “If we don’t get good rains this summer, next year’s wheat crop is already in jeopardy.”Source - http://ksn.com/

21.05.2014

India - Paddy cultivation in kharif season down as farmers switch to vegetables

Area of paddy cultivated in kharif season in Dakshina Kannada decreased by more than 17 per cent and in rabi by more than 15 per cent in the past decade and a half, according to the Department of Agriculture.Officials attributed this to farmers switching over to horticulture crops and converting the area under the food crop for various other activities.The district had 38,291 hectares under paddy in the 1999 kharif season. It came down to 31,646 hectares, a decrease by 6,645 hectares (17.35 per cent), in 2013 kharif season.The food crop under rabi season declined from 25,195 hectares in 1999-2000 to 21,201 hectares in 2012-13, a decline of 15.85 per cent.“Now the challenge is to save the existing area under paddy by increasing productivity and reducing production cost,” said H. Kempe Gowda, Joint Director of Agriculture, Dakshina Kannada.He said that now the department was recommending seed treatment, soil treatment and mechanised transplanting to increase productivity and reduce production cost.Mr. Gowda said that rice blast, is the main disease which affected the crop, coming in the way of productivity. Sowing the seeds after mixing it with carbon dizem powder and spraying it after transplanting helped in controlling the disease for over two months. It could save about half the crop.He said that heavy rains in Dakshina Kannada resulted in leaching out of nutrients in soil resulting in alkaline condition. Then it would lose the capacity to absorb fertilizers. Hence, to bring soil to neutral condition, the department recommended the application of agriculture lime for every alternate year.In addition, mechanised transplantation helped in increasing productivity. The department was providing seeds, chemical powder, agriculture lime and transplanting machine at 50 per cent subsidised rate to farmers.According to Prabhakara Mayya, a progressive farmer at Nada village, near Ujire, paddy saplings should not be planted deep as they did not have mother root. They should be just planted on the surface of the slush field for roots to spread. Under the manual method, workers, planted them at six-inch depth.When the machine is used, it plants the saplings just on the surface, with ideal spacing for the plants to breathe and spread roots. As a result, the plants grow healthy and yield more.Source - http://www.thehindu.com/

20.05.2014

Insurance and the farm bill

Though members of Congress often have every intention of enacting a new farm bill well before farmers have to make planting decisions, so farmers can take the new policies into consideration in their planning process, very often planting is under way before the legislation is completed and signed into law by the President. This farm bill year is no different.Winter wheat farmers planted their crop months ago, hoping the rules would not change too drastically.The regulations needed for the new cotton program, Stacked Income Protection Program (STAX), have not been released for public comment, so cotton producers will receive a lowered level of direct payments for the 2014 crop year.The crop insurance programs that were in effect in 2013 will still be in effect in 2014 with no major changes. Farmers will still be able to protect themselves against declines in price and yield. The yields will be based on historic yields, while the prices will be based on prices in effect during the period in which the insured price is set. Because current prices are much lower than they were a year ago, the level of price protection farmers will be able to obtain in 2014 will be lower, as well.The government’s share of the premium will remain the same as it has been in the past. With lower prices, the premium cost for revenue insurance will be lower than it was last year. With lower premium levels for a given product, farmers can choose to buy higher levels of protection than they did in 2013.Beginning with the 2014 crop, conservation compliance is tied to receiving the government supplement for crop insurance. For most farmers, that will have little impact on their operations because they previously participated in the direct payment program, which required conservation compliance as well.While farmers don’t have to worry about major changes in the crop insurance program this spring — other than the impact of lower prices — they do have crucial decisions to make with regard to one of two programs they enroll in for each of their major crops. The crop-by-crop decisions are crucial because they will have to be lived with for the five-year length of the 2014 farm bill.The two choices are Agricultural Risk Coverage and Price Loss Coverage.The ARC guarantee for a covered commodity in a crop year is 86 percent of the benchmark revenue, which for county coverage is the product obtained by multiplying the average historical yield for the most recent five crop years, excluding the high and the low, the Olympic average, by the Olympic average of the national average market price received by producers during the 12-month marketing year for the most recent five crop years.Payments for a crop for which ARC was chosen are paid on 85 percent of the farm’s base acres, plus any former cotton base acres planted to the crop. These payments are capped at 10 percent of the benchmark revenue. Farmers can also choose ARC at the farm level, as well as the individual crop.The PLC program operates much like the previous counter-cyclical-payment program with a fixed reference price — known as the target price in the 2008 farm bill — for each covered crop. When the season average price for any covered crop falls below the reference price, farmers are paid the difference between that crop’s reference price and national season average price, times the farm’s payment yield, times 85 percent of the base acres for the covered crop, plus former cotton base acres planted to the covered crop.Reference prices for the PLC program are wheat, $5.50 per bushel; corn, $3.70 per bushel; grain sorghum, $3.95 per bushel; barley, $4.95 per bushel; oats, $2.40 per bushel; long grain rice, $14 per hundredweight (cwt).; medium grain rice, $14 per cwt.; soybeans, $8.40 per bushel; other oilseeds, $20.15 per cwt.; peanuts $535 per ton; dry peas, $11 per cwt.; lentils, $19.97 per cwt.; small chickpeas, $19.04 per cwt.; and large chickpeas, $21.54 per cwt.As is common for decisions like these, a number of factors will figure into the crop-by-crop enrollment decisions. Factors like crop yield expectations, history and variability, rotation considerations, landlord wishes and cash rent commitments, bankers’ directives on receiving production loans, expectations about future production costs, risk tolerance — both psychological and financial — and more.But perhaps most important of all will be producers’ expectations about crop price trends, and crop-price variability, over the term of the farm bill. Will future crop prices remain above the reference prices in most years or is there a significant risk that prices will fall substantially below the reference prices during the duration of the 2014 farm bill? Answering that question is critical, but it is important to take all considerations into account and work through the numbers.Spreadsheet templates and decision aids are available from many of the state extension offices to help you do the analyses for the crop-by-crop ARC versus PLC decisions.As for the level of crop insurance to carry for this crop year, many farmers will make that decision in consultation with their bankers. We are sure producers will be more than casually interested in their bankers’ views about crop prices beyond this crop season, as well.Source - http://www.agweek.com/

20.05.2014

USA - Harsh winter, slow spring have crop farmers waiting, and waiting

Michigan farmers are getting their 2014 crops planted. But it's been slow going. After a long, severe winter, spring has taken its time getting to Michigan, with rain and cooler temperatures hampering work in the fields.The latest numbers from the Great Lakes Regional office of the National Agricultural Statistics Service show planting well behind schedule, according to Bob Boehm, manager of Michigan Farm Bureau's (MFB) center for commodity, farm and industry relations. Boehm keeps an eye on the relationship between weather forecasts, commodity markets and farm management."With the forecast we have right now — continued wet — it may be close to Memorial Day before some fields see a tractor," Boehm said. "Once it quits raining, it'll take four or five days before they're workable, depending on soil type, tiling and other factors that impact drainage."Boehm added that he doesn't think yield potential has been impacted yet, however."It's impressive how much can get done when we have a break in the weather, but it's going to mean a real rush to get seed in the ground," he said. "That means long hours and lots of equipment on the roads — time for non-farmers to be patient and understanding."Amanda Teachworth and her husband, Ben, run BAT Farms, just outside Ionia, along with their four children. They raise sheep, cattle, goats, horses and chickens; and grow corn, soybeans and alfalfa. They have corn in, but haven't started planting their beans because of the unseasonable cold."With beans, the growing point is the top of the plant, so if we get frost, that will damage the plant," Teachworth said. "With corn, the growing point is underground, so frost won't affect it."Teachworth added that she saw hay cut Monday, "but it's still too wet to do anything with it."Michigan Crop by CropAll the big-acreage field crops are behind schedule to some extent, Boehm said. Half of the state's oats and sugar beets are planted, and as of Mother's Day, only 20 percent of the state's corn crop is in the ground — approximately half of the five-year average pace."We have seen corn planted well into June, but the later you plant, the lower your probability of getting the full potential out of that seed," Boehm said. "Growers also have to weigh crop insurance deadlines and potential alternative plantings."On the plus side, adequate moisture and warm-up in temperatures means soil temperatures are finally conducive to germination.But for wheat and hay, the mid-winter ice-over hurt these crops that normally make for a new growing season's first green fields, and there is concern over what growers will do with wheat stands that didn't survive the winter, Boehm said."A lot of it is so bad it might only yield 10 to 15 bushels an acre, where something in the mid-70s is normal for a state average," he said. "We'll see a lot of that ground torn up and put into other crops, if the timing works out, but that's just one more management decision competing for farmers' attention in an already hectic, delayed planting season. There's going to be a lot of anxious juggling going on out there."Overall Michigan farmers planted 510,000 acres of wheat last fall, down 90,000 acres from the previous year."In some areas we're seeing the same kind of problems with hay ground — alfalfa," Boehm said. "Again, this is a delicate decision each individual farmer has to make, based on the condition of each field."Farmers usually expect five years of good production from a typical hay field. Tearing it up and replanting outside of that schedule is an unwelcome expense, poses scheduling challenges and creates the need to make other arrangements for feed."But if it's dead and not going to produce a crop, you've got to do something with it," Boehm said. "Some winter-wrecked fields could be switched back to corn or soybeans earlier than the grower anticipated."The drought-stunted 2012 hay crop pinched livestock producers hard well into 2013, but a better crop that year has available stocks of the precious fodder up to 270,000 tons this spring — up more than 90 percent from a year ago.Source - http://www.sentinel-standard.com/