By the time this issue hits the streets, the 2011 harvest will be in full swing. Elevators in some areas will take in record volumes; others, however, will experience the diminished returns resulting from Mother Nature's bipolar regional spring and summer weather. With the numbers from the USDA's questionably optimistic June Crop Report dramatically dropping from its original estimates, the commodity market has mirrored this uncertainty.
By today's estimate, the national average corn yield is forecast to be 148.1 bushels per acre, 16.3 bushels below the 2009/2010 crop year and the lowest since 2005/06.
While yields may not break any records, corn prices over $6/bushel, and soybean pushing past $12/bushel, the lucky producers who experienced the best conditions are looking forward to a big pay day. In Iowa, according to the Des Moines Register, producers are poised to pull in more than $20 billion — the largest cash harvest in the state's history.
In contrast, farmers in the Southwest are preparing for a weak second harvest after heat and drought diminished the wheat harvest this spring. For the crops that grew, the corn didn't produce head, and the soybeans without pods — many abandoned the fields altogether. In these cases, reliance on federal crop insurance will ease the burden, but will not replace expected profit.
U.S. exports in the coming year will also suffer. The World Agricultural Supply and Demand Estimates (WASDE) report, USDA projected wheat, corn, and soybean total exports in the coming crop year (2011/12) to be 4.09 billion bushels, 12% lower than the 2010/11 crop year. The organization's production projections for the new crop of wheat, corn, and soybeans are 17.7 billion bushels, a 2% reduction from last year.
Utlimately we will all have to wait to see the end results of what was a prosperous year for some, and a devasting year for others. Please feel free to contact me at firstname.lastname@example.org to report your harvest experience this year and how it has impacted your business and the business of your producer customers.
Grain, feed and seed facilities are often faced with a dirty situation when designing dust collection for rail car and truck dump pits. Designing a dump pit with good dust collection in mind not only addresses the dirty situation, but can save you operational time and money.
Point-of-use dust collectors capture nuisance dust while keeping product with the grain stream.
We’ve all seen the headlines across social media about the potential for Cuban Cigars to be legalized. That’s because in December 2014, President Obama said the U.S. would soon re-establish relations with Cuba nearly 55 years after the trade embargo was enacted
Industrial facilities that use rail as a part of their operation move railcars by a variety of motive power types. No matter what type of motive power is used, applicable rail operating safety rules and procedures should be followed. Applying up-to-date rules and procedures to rail operations will enhance employee safety and facility efficiencies.
Having automated technology running operations in facilities has been an industry standard in the feed industry for years, and the grain industry is rapidly catching up. The advantages of the technology are numerous and evolving. Automation improves equipment life expectancy, employee safety and productivity, facility efficiency and ultimately profitability.
Feed & Grain is proud to announce the winners of its 2014 Harvest Photo Contest. Entries poured in from December 2014 until this February showcasing our readers’ ability to manage a record crop — some with limited access to rail or other shipping options. Congratulations to all the winners and honorable mentions!
The year 2014 ended as a mixed bag on the transportation front. Historically poor railroad performance in the Northern Plains and record-high costs for railcars were detrimental to many grain shippers. But on the bright side, Congress’ passage of the Waterways Resources Reform and Development Act recognized the importance of maintaining vital waterways like the Mississippi River.
In comparison to many transactions in the business world, grain and feed ingredient purchase and sale transactions are fairly informal. In many respects, grain and ingredient trades remain relatively straightforward and largely result from casual telephone conversations followed by a short written confirmation.