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FFA summer review

[SEPT. 6, 2002]  The FFA prides itself in the many activities provided for members to participate in. Summertime brings many trips and conferences, as well as camps. Section 14 FFA members have been very busy over the summer with all of these activities and more.

Shane Westen and Anthony Jones, both from the Hartsburg-Emden FFA chapter, had the opportunity to attend the Washington Leadership Conference in late June. They attended many workshops on leadership and also saw the historic sights of our nation’s capital.

In mid-July, KC Fritzsche of the Athens FFA traveled with other Illinois FFA members to Washington, D.C. on the Heritage Tour. Krista Ubbenga, of the Hartem FFA also traveled to Washington, D.C., as well as to Virginia and Maryland on the Cooperatives Tour. The two tours are a part of the youth education program sponsored by local farm cooperatives, such as the Illinois Farm Bureau and FS.

 

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Five Section 14 FFA members attended the Illinois Agriculture Youth Institute, sponsored by the Department of Agriculture. Students traveled to agriculture companies across Illinois, as well as gaining teamwork and leadership skills through many activities.

Section 14 had five representatives at the Illinois FFA Leadership Camp in Monticello this year. Students stay on the 4-H Memorial Campgrounds in Monticello. They learn about teamwork and leadership through activities such as the Challenge Course.

For more information about the Illinois FFA, visit www.illinoisffa.org or www.ffa.org.

[FFA news release]


Weekly outlook

Hog prices

[SEPT. 4, 2002]  URBANA — The "end of the line" has been reached for the few truly independent hog producers left, according to a Purdue University Extension marketing specialist commenting in the wake of what he termed a "panic attack" in the hog market.

"The financial risks of not being aligned in some way in the pork marketing chain are just too extreme," said Chris Hurt. "While many families and hog corporations will not get through this period of low prices, those who stick with it, or counter-cyclical investors who buy at the bottom, can expect handsome returns in late 2003 and 2004."

Hurt termed recent events in the hog market a flashback.

"Say it isn’t so! How can 1998 be happening again? Wasn’t it supposed to be a once-in-a-lifetime event? How can hog producers get through this one? Is this the end of the line for the independent hog producer?" Hurt asked in the wake of a market collapse.

"Panic attack is the only way to describe the past two weeks in the hog market. Those producers who survived 1998 have been determined to not have it happen again. Nearly everyone thought that the worst of the financial crunch would not come until this fall, providing time to move animals to market by late summer. However, a much more aggressive liquidation of sows, advanced marketing of market hogs, and drought which sent feed prices unacceptably higher have set the panic in motion."

Prices were low in early August and conditions grew worse. Terminal hog prices started the month in the mid-$20s and ended the month in the $15-to-$18 range per live hundredweight. However, terminal prices are not currently reflecting base values producers are receiving at packers.

"The national base price for 51-52 percent lean animals on a live-weight equivalent basis ended the month at about $27," said Hurt. "The range of price quotes by market and type of contractual arrangement has been extreme. On Aug. 28, for example, Midwest hog purchase base prices were quoted from $24 to $37 per live hundredweight, with a weighted average of $28.

"The lowest prices were for hogs without contracts, where the producer negotiates the price of each load with the packer. The highest prices were for those in a category known as ‘other purchase agreements,’ which is a non-formula agreement. In general, values of formula hogs were in the $27-to-$32 range on a live-weight equivalent."

Supplies of hogs surged in July and August, increasing by about 7 percent over the same period last year. USDA inventory estimates suggested about 2 percent more hogs for this time period. So, how can the additional 5 percent greater supplies be explained?

"First, sows began to flood the market," said Hurt. "For the two months, sow slaughter was up about 20 percent over the slaughter during the same period last year. Secondly, the increases in Canadian live hog imports accounted for nearly 1 percent additional slaughter. These two factors combined account for about 2 percent of the unexplained 5 percent greater slaughter.

 

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"A third factor is advanced marketings of market hogs. By the last half of August, producers pressed the panic button and began selling market hogs at lighter weights. At the start of August, weights were running nearly 1 percent higher than weights during the same period last year, but by the last week of August they were down fractionally. All these factors still do not fully account for the large number of hogs. USDA may still have underestimated hog numbers by about 2 percent in their June inventory."

The demand problems for pork have been negative as well, he added. The trade restrictions on broiler exports to Russia, the slowly recovering U.S. economy, a 5 percent decrease in pork exports with a 17 percent increase in imports for this year, and large supplies of competitive meats have left cold storage pork stocks currently up 40 percent.

"The best news for the industry is that sows are being liquidated fairly rapidly," said Hurt. "Sows not bred in August will not have pigs in December, and pigs will not reach market in June of 2003.

"The bad news is that we are still nine months away from seeing the impact of sow liquidation on smaller pork supplies."

Heavy sow slaughter can be expected through much of the fall. Producers will also continue to market lighter-weight pigs. In the short run, these will keep pressure on the already-depressed markets.

The USDA’s September Hogs and Pigs report, to be released on Sept. 27, will likely show a breeding herd not much changed from last year, with the market herd up about 3 percent.

"This will not be sufficient to turn prices higher," said Hurt. "So it appears that fall prices are set for a continuation of the current rugged period. It appears that 51 to 52 percent lean hog prices, on a live equivalent, will be in the $26-to-$28 range. Prices may improve to $28 to $31 for the winter and to near the mid-$30s for the spring. By summer, prices could be back into the low $40s, with mid- to higher-$40s in the last summer and into the fall of 2003."

Costs, he noted, will be near $40. "This means that losses could average about $13 per live hundredweight, or $34 per head, this fall," Hurt said. "Losses would be somewhat less in the winter and only about $5 per hundredweight in the spring.

"In comparison, estimated losses during the fourth quarter of 1998 were $45 per head."

[U of I news release]

 


Agritourism in Action field trip Oct. 11

[SEPT. 4, 2002]  URBANA — Agritourism, a combination of the words agriculture and tourism, is the focus of the sixth in a series of sustainable agriculture tours. The tour will take place at Apple Basket Farms in Barry from 9 a.m. to noon on Friday, Oct. 11.

Located on the bluffs of the Mississippi, across the river from Tom Sawyer’s old stomping ground, the Pike County, Ill., area once produced more apples than anywhere else in the United States. Most of the orchards are gone now, but nestled in those scenic hills is Apple Basket Farms, one of the area’s last remaining commercial fruit orchards and an example of agritourism in action.

In addition to growing apples, peaches and pumpkins, owners Jack and Karen Cruttenden have transformed their farm into a destination for tourists and school field trips. A listing of the activities available for visitors to Apple Basket reads more like a cross between a theme park and a petting zoo. There’s everything from potbelly pigs to rheas, which are South American ostriches; a cider-making operation; the "a-maize-ing maze" carved out of a cornfield; a miniature village built especially for bunnies; educational school tours; and a gift and food store — in addition to over 80 acres of apples, peaches and pumpkins.

People interested in adding agritourism components to their current farm operation will benefit from hearing how the Cruttendens built their successful and popular farm business.

"Agritourism enabled us to remain on our farm and make a living," said Jack Cruttenden. "We also enjoy sharing our farm with others. You must love people to do what we’re doing."

"Agritourism provides an opportunity for farm operations to engage in ag enterprises that enhance revenue opportunities and overall farm income," said Deborah Cavanaugh-Grant, research specialist at the University of Illinois in the College of Agricultural, Consumer and Environmental Sciences. "It also provides an opportunity for people who are looking for day trips and weekend activities to visit unique and interesting attractions and destinations." She said that combining agriculture and tourism results in enhanced farm profitability (a major component of sustainable agriculture) and a reconnection of the public to agriculture.

 

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The field trip is free and registration is not required. Apple Basket Farms is located just off Interstate 72 at the Barry exit. The farm is two blocks north of Wendy’s. For more information, including a map of the area, visit http://www.applebasketfarms.com.

The Apple Basket Farms field trip is part of the 2002 Sustainable Agriculture Tours, sponsored by the Agroecology/Sustainable Agriculture Program at the University of Illinois, the North Central Region Sustainable Agriculture Research and Education Professional Development Program, and the Illinois Small Farm Task Force.

"The tours give people a chance to see a variety of sustainable agriculture operations in action," said Cavanaugh-Grant. "Then, in November, we’ll be offering two identical workshops, on the 13th in Effingham and on the 14th in Peoria, that will look at the big picture and try to assimilate the practices presented on the summer tours."

Visit http://www.aces.uiuc.edu/asap/ for more information or contact Deborah Cavanaugh-Grant at (217) 968-5512 or cvnghgrn@uiuc.edu.

[U of I press release]

 


Climate conference set

[SEPT. 3, 2002]  URBANA — Scientists from around the world will gather at the University of Illinois Nov. 11-12 for the International Conference on Climate Change and Environmental Policy. The event will be in the U of I College of ACES Library, Information and Alumni Center.

"The purpose of the conference is to assemble social and physical scientists from around the world to present the latest scientific research on the severity of the problem of climate change and evidence linking it to human agricultural activity, as well as on cost-effective strategies for mitigating climate change," said Madhu Khanna, an associate professor of environmental economics in the Department of Agricultural and Consumer Economics.

"The implications of differences in perspectives towards the Kyoto Protocol between the United States and the European Union will be discussed."

Khanna also noted that research on the design of environmental policy to create incentives for controlling carbon emissions through sequestration in soils and biomass and use of renewable fuels as an alternative to fossil fuels will be presented and discussed.

"The goal is to advance understanding of actions and policy frameworks that could contribute to long-term solutions," she said.

 

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While there is no registration fee, registration is required. To register or learn more about the conference, go to http://www.environ.uiuc.edu/pERE/conference/.

Information is also available from Khanna at khanna1@uiuc.edu or (217) 333-5176.

U of I sponsors of the conference include the Department of Agricultural and Consumer Economics; the program in Arms Control, Disarmament, and International Security; the Department of Atmospheric Sciences; the College of Agricultural, Consumer and Environmental Sciences; the Environmental Council; the European Union Center; William and Flora Hewlett Foundation International Conference Grants administered by the International Council; the Institute of Government and Public Affairs; and the program in Environmental and Resource Economics.

[U of I news release]


Honors & Awards

SWCD 50th year award

[AUG. 19, 2002]  Directors and staff of the Logan County Soil and Water Conservation District were recognized July 28 at the three-day Land & Water Resources Conference at the Crowne Plaza in Springfield. Terry Davis, chairman of the State Soil and Water Advisory Board, presented a plaque to the group in recognition of 50 years of dedicated public service, in the name of soil and water conservation and natural resource enhancement, to the residents of Logan County.


[Photo provided by SWCD]

Pictured are Zane Downing, soil conservationist; Emily Allspach, summer intern; Bill Dickerson, district conservationist; Carolyn Seitzer, administrative coordinator; Steve Bracey, resource conservationist; and directors Mike Boyer of Middletown, Doug Thompson of Atlanta, Doug Martin of Mount Pulaski, Duane Wibben of Hartsburg and Terry David of the state SWCD.


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