November 11, 2009

Irrigation, livestock water use lowest since 1970s

Every five years the U.S. Geological Survey does an assessment of water use in the United States. It recently came out with its analysis of water use in 2005 (the latest figures).

In its analysis, it said that the United States used 410 billion gallons of water per day in 2005, which is down from 413 billion gallons per day in 2000. This number is the total amount of water withdrawn in the U.S. for all purposes -- residential, commercial, agricultural, industrial and power plant cooling.

You can find the USGS report here.

The report noted that water use for livestock production and irrigation were less in 2005 than 2000.

Water for irrigation was down 8 percent over that period and, at 128 billion gallons per day, was approximately equal to the amount of irrigation water used in 1970.

Water used for livestock, meanwhile, was the smallest since 1975 at 2.1 billion gallons per day. Water for livestock makes up less than 1 percent of of all freshwater withdrawals in the country.

Considering how much more grains, fruits, veggies, meat, milk and eggs are produced today, those figures are pretty amazing.

For comparison, water use for power generation stood at 201 billion gallons per day, while water for public supply was 44.2 billion gallons per day.

Dr. Peter Gleick, president of the Pacific Institute, blogged on the subject and provided some interesting perspectives of total water use per capita. After all, there are a 81 million more people in the United States today - yet total water use is lower.

An analysis by the Pacific Institute noted that:
  • Total water use in the U.S. in 2005 is lower than it was in 1975.
  • Per capita water use in the U.S. in 2005 is lower than it has been since the mid-1950s
  • U.S. water use, per person, peaked in 1975 at 1,944 gallons per person per day and has now dropped to 1,383 gallons per day.
Gleick called the new numbers are "the latest evidence for a remarkable change in U.S. water use toward more efficient use."

“The population of the U.S. has grown by more than 81 million people since 1975, but total water use has declined. As a result, our per-person water use is almost 30% lower than it was 30 years ago,” Gleick said.

“If each American still used 1,940 gallons per day, population growth would have caused the U.S. to use an additional 165 billion gallons per day. That’s equal to more than 12 new Colorado Rivers -- or enough water for everyone in California, New York, Florida, Texas, Illinois and Michigan," he said.

November 10, 2009

Testimony presented on corn checkoff

Corn farmers testified in front of the Nebraska legislature's appropriations committee yesterday to explain why they believe it is wrong to transfer money from checkoff programs into the state's general general fund.

Alan Tiemann, a farmer from Seward and chair of the Nebraska Corn Board, the farmer-run organization that oversees the corn checkoff, noted that he had "never seen anything that has galvanized our industry more than when it was proposed to transfer checkoff dollars from seven checkoff programs to the general fund."

He said the issue became very personal to all of agriculture because checkoff funds were never intended to be part of the general fund. "Farmers feel they already contribute through property, sales and income taxes," he said.

He also noted that:

These are not “passive dollars or programs”. What we do with corn checkoff dollars not only helps develop markets for corn, but they help beef, pork, poultry, ethanol, biodegradable plastics and dozens of other programs. They are not just advertising programs. They help our agriculture industry to be more successful and profitable so we can contribute to the general fund in other ways. As a farmer-operated organization we spend a great deal of personal time to insure the dollars we invest are benefiting Nebraska producers.

Giltner farmer Brandon Hunnicutt, who is president of the Nebraska Corn Growers Association, explained a bit of history of the corn checkoff.

He noted that in 1978 corn farmers from across Nebraska came together to work with the State Legislature to pass the Corn Resources Act. This Act created the corn checkoff by allowing farmers to invest in themselves with every bushel they sell.

The farmer members of the Nebraska Corn Growers Association played a key role in getting the checkoff established.

Hunnicutt said the checkoff was designed to be 100 percent self funded, so farmers would manage their investment and choose the research projects, marketing development programs and promotion efforts that made the most sense for farmers.

Along the way, these investments have paid dividends for farmers and the state as a whole.

He explained that the corn checkoff funds research that helps cattle producers take advantage of the feed products produced by ethanol plants and that it helps develop and create innovative products like renewable bioplastics that are made in Nebraska. The checkoff also helps get Nebraska pork and beef into Japan, China and the other global markets, which adds value to every animal in the state that’s raised on Nebraska corn and related feed products.

"All of this maintains and creates new markets for the corn produced by some 26,000 Nebraska farmers, all of whom contribute to the corn checkoff," Hunnicutt said.

November 9, 2009

Podcast: Ag myths abound the popular press and bad TV shows

In this Podcast, Greg Whitmore, a farmer from Shelby and a member of the Nebraska Corn Growers Association, discusses some of the crazy things farmers have heard over the last few weeks -- from high fructose corn syrup (HFCS) and taxes to prime time television shows like CSI:Miami that demonstrate an ignorance of agriculture.


Nebraska Corn Kernel podcasts are also available iTunes! Click here to subscribe.

Nebraska corn 30 percent harvested

Good news came from the U.S. Department of Agriculture today when its weekly crop progress report confirmed that progress was indeed made on getting Nebraska's corn crop in the bin.

USDA reported that 30 percent of Nebraska's corn crop was harvested as of Nov. 8 - a solid 12 point jump from last week's 18 percent complete. A dry week made a huge difference, as farmers got moving quickly. A year ago at this time 55 percent of the crop was in the bin, while the five-year average is 77 percent.

Nationally, 37 percent of the crop is harvested, also a 12 point jump from last week's 25 percent. A year ago farmers were at 69 percent complete, while the five-year average is 82 percent.

Good progress on the corn is an indication that soybean is about wrapped up. Indeed, USDA said 90 percent of Nebraska's beans were harvested, and 75 percent are out nationally. The Nebraska figure is only 7 points behind the average, while the national figure is 17 points behind.

This week's photo shows combine headlines at night - was a common seen in Nebraska this past week. Farmers  were working hard around the clock to get caught up on harvest. The photo came to the Nebraska Corn Board from the Imperial FFA Chapter.

November 8, 2009

Checkoff, budget plan continues to draw attention

A proposal to use checkoff funds to help fill a small gap of the big hole in the Nebraska state budget continues to draw the attention. Media continue to report on the subject, and many farmers, it seems, have been contacting their state legislators and representatives to voice their opinion on the matter.

An article in today's Omaha World Herald, Heineman told to keep hands off, covers a lot of ground. It discusses the whole checkoff/budget debate from several points of view, but it also wanders into an area that seems to question some of the activities of the checkoff boards, including reaching out to folks who live in cities.

Such outreach efforts, though, are becoming more important. Critical even. People don't always know where their food comes from and why farmers do what they do. If farmers don't work hard to explain this, groups who are anti-agriculture or who have assorted agendas will run amok.

The article (and video) from NTV, Governor's Budget Plan Under Fire From Farmers, features Tim Scheer, a farmer from St. Paul. Scheer, who is a member of the Nebraska Corn Board, which oversees the state's corn checkoff, said farmers object to moving their checkoff dollars. Scheer said it's a self-imposed fee designed to benefit the state's top industry.

"I think it's an ugly precedent to set," he said.

There's also a good article by Don McCabe in the Nebraska Farmer, Farmers Upset Over Plan to Take Checkoff Funds. In the article, Nebraska Corn Board chairman Alan Tiemann, a farmer from Seward, said the budget plan would cause the board to start next year with deficit and the year following with an even larger deficit.

Finally, KRVN interviewed the governor on Friday about the budget and other matters. You can listen to that here. KRVN also aired a special report on the budget issue form state Senator Tom Carlson here.



Those who are interested in the corn checkoff are set to appear before the appropriations committee in Lincoln tomorrow. I'll report some of what they had to say in this blog.

November 5, 2009

Corn checkoff in the news

Repurposing checkoff funds as a way to help the state of Nebraska close its budget has been in the news across Nebraska this week -- and I’ve compiled a list of a few of those articles below.

In general, ag groups point out that checkoff funds are paid by farmers for the specific purpose of research, market development, promotion and education for their industry.

The corn checkoff, for example, helps develop markets for corn and provides important support for the ethanol and livestock industries (key markets for corn and corn coproducts).

Alan Tieman, a farmer from Seward, is current chairman of the Nebraska Corn Board (the checkoff corn organization in the state). He is featured in several pieces -- and points out how farmers (like all of us) pay sales taxes, income taxes and property taxes.

The checkoff, though, is an investment created, funded and managed by farmers for farmers. (For more on what the checkoff is, check out this post.)

In a report by Brownfield’s Ken Anderson, NE governor, ag groups at odds over checkoff funds, Tiemann is quoted:

We all believe that our checkoff dollars are farmer-invested funds -- they’re not general tax dollars. These are funds that we use for market development, research, promotion -- defending Nebraska agriculture.

The Brownfield piece includes audio interviews with Tiemann, Nebraska Farm Bureau’s Jay Rempe and Nebraska Governor Dave Heineman.

The Grand Island Independent article, Dubas moves to keep ag checkoff funds out of state budget talks, includes information on state Senator Annette Dubas’s effort to keep the Legislature from using checkoff funds to cover the state's budget shortage.

In the article by Mark Coddington, Dubas acknowledged that the state is in dire financial straits and said that "everything has to be out there." Still, she said, checkoff funds are a fundamentally different kind of funds than the rest of the state's coffers.

The Lincoln Journal Star also had a front page article: Commodity board advocates up in arms.

The article includes a good quote from Farm Bureau President Keith Olsen:

We recognize there is a financial crisis. We have no question about that. But this issue is a matter of principle. And, in our opinion, it's wrong to take farmers' money that was checked off for a certain use and to try to put that into a completely different use.

Tiemann was also quoted: "If the governor wants to take checkoff money and put it into the general fund, then they become tax funds. It becomes a new tax on farmers.

KOLN/KGIN, like several TV stations across the state, included information its newscast last night in the piece Governor's Proposed Budget Calls For A Shared Sacrifice From State Agencies. It talks about the situation and notes that taking checkoff funds would cause a ripple effect, as cooperating agencies like the U.S. Meat Export Federation, the U.S. Grain Council and the University of Nebraska depend on corn checkoff funds.

USMEF promotes beef and pork around the world, which supports Nebraska livestock producers. The Grains Council promotes U.S. corn and corn coproducts in the global marketplace and the University of Nebraska does a lot of corn and livestock-related research.

What is the corn checkoff?

Over the last couple of days, several folks have asked “what is the corn checkoff?” To help answer that question, I’ve put this together as an attempt to explain. Feel free to leave a comment if you have a question or clarification.

Many corn producing states have implemented a corn checkoff program, including Nebraska. The bottom line mission of corn checkoffs is to increase the profitability of corn farmers. How? Through corn farmers investing their own money into research, market development, promotion and education for the corn industry. It’s kind of like a research and development program for the long-term benefit of corn farmers.

Nebraska’s corn checkoff was created in 1978 when Corn Resources Act was passed by the Nebraska Legislature. Importantly, the effort to start the checkoff was led by Nebraska corn farmers themselves, most notably members of the Nebraska Corn Growers Association who chose to invest in their future.

In addition to being farmer-funded, the checkoff is also overseen by farmers -- through the nine farmer-directors that make up the Nebraska Corn Board.

That means the corn checkoff was initiated by farmers, and is 100 percent funded and managed by farmers.

Like other checkoffs in Nebraska and across the country, Nebraska’s corn checkoff was created by corn farmers specifically to benefit corn farmers. Its top priorities are the livestock and ethanol sectors -- as those two sectors provide a number of synergies that benefit corn farmers and the state as a whole through economic development.

The corn checkoff rate in Nebraska is one-fourth of a cent per bushel, a level it has been at since 1988. When the checkoff began, the rate was one-tenth of a cent per bushel.

While Nebraska is the third-largest corn producing state in the country, its checkoff rate is currently the lowest in the country.

November 4, 2009

Chevy VP: For biofuels, it’s all of the above

While not online, the Oct. 29 issue of Rolling Stone magazine includes an interview with Brent Dewar, vice president of Chevrolet Global.

As pointed out on the Domestic Fuel blog, Dewer was asked about biofuels - and he had some positive things to say:

Biofuels have a large role to play in part because they displace the demand of petroleum-based products and can be very cost-effective. It’s not electric versus biofuels versus gasoline versus diesel versus hydrogen. It’s all of the above. We have to find the energy, environmental and economic solution on a global basis.

For more, be sure to check out the Domestic Fuel blog.

Distillers grains production, use expanding

Reuters has published a good article on distillers grains -- the feed product produced by corn ethanol plants.

The article explains that as ethanol production expands into the next year, the supply of distillers grains will increase as well. In fact, estimates in the article are that distillers grains production will increase during the 2009-10 crop year to 28 million to 30 million tonnes, up from about 24 million to 25 million tonnes in the 2008-09 crop year.

It then goes on to explain that distillers grains, which is an outstanding feed ingredient, can help livestock producers save money on feed costs.

(Check out this related post on how distillers grains can bolster cattle producers' bottom lines.)

The Reuters piece, written by Michael Hirtzer, includes quotes from Darrel Good, extension economist at the University of Illinois; Darrell Mark, extension livestock marketing specialist at University of Nebraska-Lincoln, and Dan Keefe, manager of international operations for distillers grains at the U.S. Grains Council. Hirtzer was in Nebraska earlier this year for a crop tour.

The article notes that distillers grains costs some 22 percent less than corn -- on a per ton basis. However, distillers grains actually has a higher feeding value than straight corn in many feed rations, so that value - the savings potential - is actually greater than that.

Mark noted that some hog producers have increased the amount of distiller's grain in feed formulations to as much as 20 percent, up from about 10 percent. Cattle producers can use double that (or more), depending on their access to the product.

Meanwhile, while domestic demand for distillers grains is expected to grow, exports are expected to increase from 5 million tonnes to 6 million tonnes this crop year, Keefe said.

For more details, be sure to check out the article.

The Nebraska Corn Board also has a series of handbooks on feeding and storing distillers grains.

November 3, 2009

Podcast: First modern ethanol plant turning 25; ag groups need to work together

In this Podcast, Jon Holzfaster, a cattle and corn farmer from Paxton, talks about the growth of the ethanol industry over the last year. (Yes...growth! Production each month this year has surpassed last year.)

He also talks about the importance of different ag groups -- from corn to livestock --  to work together.

Holzfaster is a member of the Nebraska Corn Board.


Nebraska Corn Kernel podcasts are also available iTunes! Click here to subscribe.