Spring 2018 Logan County
Farm Outlook Magazine

Seed corn growers move out of Logan County

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[March 28, 2018]  Logan County used to be heavy in seed corn production but the drought of 2012 forced companies to move production to irrigated areas.

Seed corn production is two inbreeds crossed to make a hybrid, therefore it is even more susceptible to drought because of its weaker makeup.

Doug Lowery, a seed corn grower for 30 years, explains the importance of irrigation and notes that the yields are more consistent with irrigation. Lowery began working for Bo-Jac Seed Company of Mount Pulaski in 1989, just missing the drought of 1988. The 1988 drought was more centrally located in the cornbelt, according to Lowery. Lowery recalls in 1989 that Bo-Jac Seed Company had 4,000 acres of seed corn, which was considerably more than normal, in order to make up for the drought the previous year.

Over the last couple decades Lowery says, “If we have an above average year, Logan County will out-produce irrigated fields, however, if we have an average or under average year, the irrigated fields perform better. For instance in 2014, which was probably the best corn year in history, some seed corn made 150 % yield goal. But in the dry summer of 2012 the seed corn made 20 % of yield goal. In 2012 the drought was more widespread, affecting the entire cornbelt.”

Gro-Alliance bought out Bo-Jac Seed Company in August of 2013 and seed corn production stayed in Logan County until 2017. In 2018 Gro-Alliance shifted what they had for Logan County production to Howe, Indiana, where they already have a production plant and the area is heavily irrigated. Irrigation is much more consistent, according to Lowery, thus the reason for the move.

Here in Logan County, as with many areas throughout the cornbelt, weather is unpredictable and from a seed corn company’s perspective to be consistently profitable irrigation is important, according to Lowery.

“We hit a lot of home runs here in Logan County but we also strike out occasionally, whereas in an irrigated area they consistently hit a lot of doubles with their production,” said Lowery.

“They will never get the top-end yield,” said Lowery of the irrigated fields, “But they will never bottom out with a drought either. Irrigation is expensive production but it’s worth it because of its consistency.”

Remington Seeds, LLC, based out of Remington, Indiana, has 26 production and distribution locations throughout the United States and features a plant here in Lincoln, Illinois. Toby Terrell of Remington Seeds, LLC, explains his company’s situation, as the seed corn grower faced similar issues. “As far as Remington is concerned the decision to move out of Logan County was not an easy one. Logan County has many top notch farmers. They are great people that we had built long-term relationships with and good people that we will miss moving forward. We unfortunately had to make some tough decisions and essentially consolidate our growing area.

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"I was looking after production for both the Congerville and Bloomington seed facilities as the growing areas were close together. Simply based on efficiencies, we felt it was best to consolidate to one area, to reduce miles and make our operations more efficient. The two areas were close together but when you put the two together, we were covering a very large area in total.”

Remington Seeds chose to move seed corn production to the Tazewell/McLean County areas over the Logan/Mason county areas. Terrell explains, “Much of the decision had to do with the volume of irrigation that had gone up in the McLean/Tazewell County areas and that irrigation was being installed on dark (high-producing) ground. Because of this, we had seen a slight yield increase in the McLean/Tazewell area verses the Logan County area over the last several years. Many of our customers are pursuing irrigated production ground and we are following their demands. We did have several acres of irrigated ground in Logan and Mason Counties, but on lighter soils. One season after this consolidation, Remington closed the Congerville facility and cut our production in half. We were going to be forced to make several cuts due to a closing facility and this would have left us with fewer acres – once again spread out over a very large area.”

Both Lowery and Terrell seemed to concur on this situation. Lowery cited that “yields are more consistent with irrigation” and Terrell also noted "efficiency with yields was a tipping point for our decision” to move beyond Logan County.

[Teena Lowery]

 

Read all the articles in our new
Spring 2018 Logan County
Farm Outlook Magazine

Title
CLICK ON TITLES TO GO TO PAGES
Page
The Big Picture 4
Tax Bill 199a boost to coop elevators raises local concerns 8
Is a re-designed NAFTA an exercise in futility or just a political pawn? 13
The Dicamba dilemma:  turning neighbor against neighbor 17
Seed corn growers move out of Logan County 24
Impacts of wind and solar farms 27
Illinois Farmers get shor reprieve from EPA's restrictive WOTUS Act 31
Wading through the confusion of crop classification 35
Logan County corn and soybean 2017 crop yields 40

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