Wednesday, September 20, 2006 - Daily Update
 

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TODAY'S ARTICLES
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1.  USDA Releases Final Farm Bill Analysis Paper
2.  NAHMS to Study Dairy Industry in 2007
3.  News Highlights from the Past Week
4.  Cropp’s Dairy Situation and Outlook
5.  Wheat may Make a Resurgence as Futures Prices Rise
6.  Market Trends and Analysis from the Past Week
7.  Parity Ups Production; Costs Conditioning, Health
8.  Nutrition's Effect in Transition on Fertility
9.  Evaporative Tunnel Cools Off Lactating Dairy Cows
10.  Specifics of Fall Herbicide Treatments
 

TODAY'S ARTICLES

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1. USDA Releases Final Farm Bill Analysis Paper   back to top


Agriculture Secretary Mike Johanns today released a comprehensive analysis of key factors that will affect future growth in U.S. agriculture: international trade, research and development, protection of agriculture from pests and diseases, and challenges in preparing the next generation of farmers.

Entitled "Strengthening the Foundation for Future Growth in U.S. Agriculture," this is the fifth and final in a series of analysis papers related to production agriculture. As with the four papers before it, it was written by USDA economists. It is not intended to recommend policy, but rather to provide a thorough analysis of the state of U.S. agriculture and to present issues and alternatives for public consideration.

Source: USDA, Sept. 13, 2006
Source URL: http://www.usda.gov/wps/portal/usdahome?
contentidonly=true&contentid=2006/09/0352.xml

 
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2. NAHMS to Study Dairy Industry in 2007   back to top


The U.S. Department of Agriculture’s (USDA) NAHMS conducts national studies on the health and management of America’s livestock, poultry, and aquaculture populations. These studies are designed to meet the information needs of the industries and other stakeholders—as identified by people working with these industries.

Dairy 2007 Study
The Dairy 2007 study will continue to address the priority issues of the U.S. dairy industry and other stakeholders. Seventeen States will participate in the Dairy 2007 study (see map). These States represent 79.3 percent of U.S. dairy herds and 82.0 percent of U.S. dairy cows.

Source: USDA/ APHIS, September 2006
Source URL: http://nahms.aphis.usda.gov/dairy/dairy07/dairy07_objectives.pdf

 
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3. News Highlights from the Past Week   back to top


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

• Johanns: New Farm Bill Ahead in January
• House Passes Border Security Measure
• More New England Dairies Dump BST Milk
• WI Organic Dairy: Modern, Prosperous, Optimistic
• On-Farm Robot Separates Milk’s High-Value Parts
• Dairy Crest in Talks to Sell Cheese-Making Unit

Click to read more of these and other news stories.

 
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MARKETS

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


Clearly this ample supply of milk and dairy products has dampened dairy product and milk prices thus far this year. The cheese market has been unsettled with prices increasing, only to fall back and to increase again. As of August 31st, CME cheddar barrels reached a high of $1.335 per pound and 40-pound blocks $1.3475 per pound. But by September 12th barrels fell back to $1.2425 and 40-pound blocks to $1.24. As of September 18th, barrels and 40-pound blocks both bounced back to $1.2875 with a sale for barrels and an uncovered bid for blocks. Is this a single for further price increases? CME butter prices also strengthen in recent trading to $1.34 per pound. Dry whey prices are strong trading in the $0.33 to almost $0.37 per pound range. And nonfat dry milk prices also show strength with Central prices in the $0.91 to above $1.08 per pound range.

Source: University of Wisconsin/ Bob Cropp, Sept. 18, 2006
Source URL: http://www.aae.wisc.edu/future/OUTLOOK/cropp_sep_06.pdf

 
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5. Wheat may Make a Resurgence as Futures Prices Rise   back to top


Planted acreage of all classes of wheat in the U.S. reached a peak of 88.3 million acres in 1981-82, with harvested acreage exceeding 80.6 million. A combination of increasing foreign wheat production, competition for acreage from other crops, and expansion of the Conservation Research Program (CRP) resulted in a decline in planted acreage to 65.5 million by 1988-89. High prices in 1988-89 and 1989-90 pushed acreage up to 77 million by 1990-91. Acreage has generally declined since then, with occasional annual increases resulting from high prices, particularly in 1995-96. For the current marketing year, planted acreage totaled only 57.1 million acres, with harvested acreage totaling only 47.1 million.

The U.S. average farm price of wheat (all classes) averaged near $3.40 for the three marketing years from 2003-04 through 2005-06. For the current year, the USDA projects the average farm price in a range of $3.95 to $4.45. If the average is near the midpoint of $4.20, it would be the highest in 10 years, but $.35 below the high of 1995-96. The higher prices of wheat are being generated by a small U.S. crop resulting from reduced acreage and a 4-year low average yield of 38.3 bushels; smaller crops in Australia, Canada, the European Union, Russia, and Ukraine; and an expected sharp draw down in world wheat inventories. World wheat production is pegged at 596.1 million tons, 3.6 percent smaller than last year’s crop and 5.2 percent smaller than the record crop of two years ago. On the other hand, world wheat consumption is expected to total 615.8 million tons, resulting in the lowest year-ending stocks-to-use ratio on record. The previous record low was in 1972-7.

Source: Farmdoc/ University of Illinois/ Darrel Good, Sept. 18, 2006
Source URL: http://www.farmdoc.uiuc.edu/marketing/weekly/html/091806.html

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


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

• Milk Production: August Jumps 1.6%
• UK: Producers Declining; Production at Record Low
• Bailey’s Dairy Outlook: Struggling for Direction
• Did USDA Grain Report Hit Your Market Plan?
• Weekly analysis, USDA reports

Click to read more of these and other market articles.

 
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PRODUCTION

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7. Parity Ups Production; Costs Conditioning, Health   back to top


The objectives of this study were to determine the effects of parity on milk production, body condition change, periparturient health, and culling in Korean dairy herds.

These results suggest that parity increases milk yield, body condition loss during early lactation, the risk of periparturient disorders, and culling due to reproductive failure in dairy herds.

Source: Advancing parity is associated with high milk production at the cost of body condition and increased periparturient disorders in dairy herds. Journal of Veterinary Science 7 (2): 161-166, 2006.  Lee, J.Y.; Kim, I.H.

 
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8. Nutrition's Effect in Transition on Fertility   back to top


The transition period, which begins 3 weeks before calving and continues until the 2nd week of lactation, is characterized by dramatic changes in the physiological, metabolic and endocrine status of dairy cows.

Administrating feed additives during the transition period: propylene glycol, propionate, by-pass starch and ionophores, may increase the availability of glucose for cows during this time.

Source: Effects of nutrition in the transition period on the fertility of milking cows. Medycyna Weterynaryjna 62 (6): 632-636, 2006. Nowak, W.; Jaskowski, J.; Wylegala, S.

 
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9. Evaporative Tunnel Cools Off Lactating Dairy Cows   back to top


When a heat wave strikes, dairy producers might want to consider sending their cows into a cooling tunnel, according to a study published in the Journal of Dairy Science.

Sending lactating cows into an evaporative tunnel resulted in cows that ate up to 12 percent more feed than those resting in shade or under sprinklers, according to the study.

Source: Dairy Reporter/ Chris Mercer, Sept. 19, 2006
Source URL: http://www.dairyreporter.com/news/ng.asp?n=70662&m=2DRE919&c=kiliywpuldsefex

 
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10. Specifics of Fall Herbicide Treatments   back to top


We have conducted research on the effectiveness of fall herbicide treatments for a number of years. In previous falls’ C.O.R.N. articles on this subject, we have listed what we feel to be the most effective treatments based on our research. This list remains mostly unchanged between last fall and this fall. We have added a new herbicide, Autumn, an ALS inhibitor labeled for fall application prior to corn. We have somewhat limited research on the effectiveness of Autumn compared to the other herbicides listed here, but it appears to control many winter annuals and dandelion when mixed with either 2,4-D or glyphosate. Autumn does not provide residual control of weeds that emerge in the spring. Effective fall herbicide treatments include the following:

Source: Ohio State University/ CORN Newsletter/ Mark Loux, Sept. 12-18, 2006
Source URL: http://corn.osu.edu/story.php?setissueID=153&storyID=917

 
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DAIRY MARKET RESOURCES

USDA Agricultural Marketing Service Weekly Dairy Market Reports
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Chicago Mercantile Exchange Daily Dairy Report
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Chicago Mercantile Exchange - Dairy
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