Wednesday, August 23, 2006 - Daily Update
 

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TODAY'S ARTICLES
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1.  To Inventor Ethanol, Utility Plants Make Good Pair
2.  Revised EPA Rules: Be Safe Rather than Sorry?
3.  News Highlights from the Past Week
4.  Cropp’s Dairy Situation and Outlook
5.  China Looks Beyond US for Growing Soybean Needs
6.  Market News and Analysis from the Past Week
7.  Milking Frequency, Nutrition Improve Production
8.  Effects of Crossbred Bull Mated to Holsteins
9.  Dollars and Cents of Bale-Wrapping Haylage
10.  2006 Dairy Wage Survey: Average Milker Wages Rise
 

TODAY'S ARTICLES

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1. To Inventor Ethanol, Utility Plants Make Good Pair   back to top


Ethanol plants typically build a natural gas-using boiler in order to use the steam in the fermentation process of making the alternative fuel.

As electrical power plants generate electricity, one by-product currently considered a waste product is steam.

Power plant, meet ethanol plant, courtesy of inventor Greg Verderber.

Source: Cincinnati Business Courier/ Dan Monk, Aug. 18, 2006
Source URL: http://cincinnati.bizjournals.com/cincinnati/stories/2006/08/21/story1.html?
f=et142&b=1156132800^1332947&hbx=e_vert

 
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2. Revised EPA Rules: Be Safe Rather than Sorry?   back to top


A newly revised rule proposed by the U.S. Environmental Protection Agency says that large livestock operations don't need to apply for a permit unless they discharge manure waste to surface water, but questions remain as to whether facility operators should still seek a permit and be safe rather than sorry.

The revision is in response to a 2005 ruling by the 2nd Circuit Court of Appeals that the EPA has authority only to regulate actual, not potential, discharges from concentrated animal feeding operations (CAFO), which include large dairy, beef, swine and poultry farms. According to the court decision, only those operations that discharge or propose to discharge waste are required to apply for the National Permit Discharge Elimination System (NPDES) permits.

But many livestock producers worry that by not getting coverage under the NPDES permit, they could be held liable for accidental discharges from their property in the event of a heavy storm or flood.

Source: California Farm Bureau/ Ching Lee, Aug. 16, 2006
Source URL: http://www.cfbf.com/agalert/AgAlertStory.cfm?
ID=649&ck=55B37C5C270E5D84C793E486D798C01D

 
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3. News Highlights from the Past Week   back to top


Following are headlines from news articles highlighted from this past week:

• New Dairy Cooperative Planned for NY
• Agreement Includes RFID Ear Tags, Tracking Costs
• CA Dairy Recycles Fruit, Vegetables as Feed

Click to read more of these and other news stories.

 
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Preview

MARKETS

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4. Cropp’s Dairy Situation and Outlook   back to top


USDA released the milk production report today. With reports of extreme heat during much of July in major dairy states we were expecting a major impact on milk production. For the 23 reporting states, July milk production was just 1.5% higher than a year ago, compared to a 1.9% increase in June and the smallest increase this year. But, why didn’t the heat lower milk production even more? The answer is in cow numbers. While milk per cow was up just 3 pounds for the month, 0.2%, 107,000 more milk cows, a 1.3% increase resulted in this larger increase in production. Milk cow numbers continue to increase with July numbers 11,000 head higher than June.

Source: University of Wisconsin/ Bob Cropp, Aug. 17, 2006
Source URL: http://www.aae.wisc.edu/future/OUTLOOK/cropp_aug_06.pdf

 
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5. China Looks Beyond US for Growing Soybean Needs   back to top


Have U.S. exports of soybeans to China reached their peak? Some wonder if that isn’t the case now that China is expanding its market to include soybeans from South America.

Last year, shipments from the U.S. to China were valued at $2.3 billion, making soybeans the No. 3 export to China behind aircraft and semiconductors. Now other soybean-producing nations are stepping in to try to woo Chinese buyers to look their way.

Source: Checkbiotech/ Wall Street Journal/ Dongjin Park, Aug. 22, 2006
Source URL: http://www.checkbiotech.org/root/index.cfm?fuseaction=newsletter&topic_id=2&subtopic_id=9&doc_id=13355

 
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6. Market News and Analysis from the Past Week   back to top


Following are some headlines from market news and analysis highlighted this past week:

• Cottonseed Supply may be Tight, Higher Priced
• Behind the Push-Pull of the Livestock Feed Market
• The Highs, Lows and Prospects for Corn Prices
• NZ Dairy Outlook Steady for Coming Season

Click to read more of these and other market articles.

 
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PRODUCTION

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7. Milking Frequency, Nutrition Improve Production   back to top


Progressive dairy farmers aim to increase herd milk yield while improving production efficiency. However, zero payments for over-quota production, surplus skim milk powder on the domestic market and poor cull cow prices have created a precarious situation. More than ever, producers must carefully manage production to avoid shipping over-quota milk.

Genetics can play a huge role in milk production management, but only as a long-term strategy. Over a short period, milking frequency and nutrition play the largest role in milk yield and composition from an individual cow.

Source: Government of Ontario/ Vanessa Taylor, May 2006
Source URL: http://www.omafra.gov.on.ca/english/livestock/dairy/facts/06-051.htm

 
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8. Effects of Crossbred Bull Mated to Holsteins   back to top


Differences in conception rates in matings of Holstein sires or F-1 Jersey x Holstein sires to Holstein dams in the University of Wisconsin - Madison experimental herd were evaluated, as were differences in birth weight, dystocia, serum protein, serum IgG, fecal consistency, respiratory disease, and perinatal and preweaning mortality among the resulting calves.

Results of this study suggest that introduction of Jersey genes via crossbreeding may lead to a reduction in dystocia and improvements in calf health and survival in Holstein herds. Future studies should address other traits related to dairy farm profitability, including milk composition, female fertility, longevity, feed efficiency, and resistance to infectious and metabolic diseases.

Source: Changes in conception rate, calving performance, and calf health and survival from the use of crossbred Jersey x Holstein sires as mates for Holstein dams. Journal of Dairy Science 89 (7): 2747-2754, 2006. Maltecca, C.; Khatib, H.; Schutzkus, V.R.; Hoffman, P.C.; et al.

 
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9. Dollars and Cents of Bale-Wrapping Haylage   back to top


The interest in bale wrappers as a method for storage of haylage has grown in recent years. A grass-based beef producer in Milan, MN invested in a bale wrapper to produce haylage for his winter feed supply for his beef herd. I have been assessing the costs associated with this system of storing haylage.

How much does it cost to own and operate a bale wrapper for making haylage? The purchase price of the bale wrapper is $20,000. Fixed costs include depreciation, interest, insurance, storage and repairs. Assuming 1,000 bales a year are wrapped, the annual fixed cost per bale is $2.67 on an as is basis.

Source: University of Minnesota/ Margot Rudstrom, Aug. 19, 2006
Source URL: http://www.extension.umn.edu/dairy/dairystar/08-19-06-Rudstrom.htm

 
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10. 2006 Dairy Wage Survey: Average Milker Wages Rise   back to top


It was up to each dairy farmer to pick one milker, and give us the number of years the person has been employed. Therefore, readers should not assume that milkers in one region have longer lengths of employment based on this study. In 2003 we observed that the West paid best, but qualified the results since the West also had the longest average length of employment by far. In 2006, we note that as the reported average length of employment for other regions has risen, so has the average wage level. Average milker wages in 2006 where $9.69, compared to $9.25 in 2003, and $9.26 in 2000.

Source: University of California/ Gregorio Billikopf, Aug. 22, 2006
Source URL: http://www.cnr.berkeley.edu/ucce50/ag-labor/

 
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