February 9, 2012

Danish farmer visits Iowa hog farms, talks antibiotics

A Danish hog farmer toured several Iowa operations and attended the Practical Farmers of Iowa conference this past weekend as part of a campaign to cut the use of antibiotics in the raising of livestock. The tour was sponsored by the Pew Charitable Trusts. Pew spokesperson Gail Hansen, says 29-million pounds of antibiotics are given to food animals, while seven million pounds are given to people who’re sick.

“So about 80% of the antibiotics are given to food animals, and a lot of that is just for growth promotion, or to prevent diseases but not to treat diseases. So we’re trying to look at other ways to be better stewards of our antibiotics,” Hansen says. That’s where Kaj Munck comes in.

Munck stopped using antibiotics to promote growth and prevent diseases in his hog operation in 1992. Munck says there were a few adjustments at first, but now his operation runs with few problems. He says producers will have to get used to some adjustments.

Munck says on paper it will cost you more, but he says that is offset by results as the hogs produce bigger piglets and there are more live-born pigs. “Instead of 12 per liter, now we get 16 per liter, because the sow is better prepared to be pregnant again,” Munck says.

Hansen says the F.D.A. has recently taken action to restrict some of the antibiotic use in animals. She says they are hoping Munck’s example will allow producers to see it can be successfully done.

Economist warns ag economy’s “bubble” may come down soon

A Midwestern economist says it’s likely the state’s ag economy soon will be hit by the recession in Europe and slower growth in farmland values. Creighton University economist Ernie Goss says the hit won’t be anything like the Farm Crisis of the 1980s, however.

“When I was a kid, we talked about dirt poor. Dirt’s not poor anymore. In fact farmland is the new gold,” Goss says. “These growth rates are unsustainable. There is air in the bubble, the question is when air comes out. I expect some of it to come out in 2012, but not much.”

According to Goss, the problem during the Farm Crisis was people had been buying farmland on credit — and interest rates were sky-high back then.

“Agland purchases now are a lot to do with cash. This is not over-leveraged farmers who are borrowing from the bank to buy the land which is based on a significant growth rate. That’s not what we’re seeing,” Goss says. “That said, I still expect some of the air to come out of the bubble because of potentially higher interest rates and lower agricultural commodity prices.”

Goss also expects overseas demand for ag commodities from European customers to decline due to the recession, causing a “slight” hit on prices for corn and soybeans. Goss made his comments on the “Iowa Press” program which will air Sunday at noon on Iowa Public Television.

Food prices not expected to rise at the 2011 pace

A federal analyst says Iowans will see food prices rise at their grocery stores this year, but not as quickly or as high as last year. Ricky Volpe, a food economist for the U.S. Department of Agriculture, says our supermarket bills will go up, like everything else, but the price increases won’t match the record pace of 2011.

“The inflationary pressures that have driven prices up through 2011 have mostly been incorporated into retail food prices,” Volpe says. “Looking ahead to 2012, we are looking forward to a more normal year in terms of what we’ve come to expect in year-over-year inflations.”

Last year, overall food prices for consumers rose 5%. For the year ahead, the U.S.D.A. is projecting an increase of %3.5. Due to conditions that may still arise, Volpe says we may see prices on certain products fall.

Volpe says, “If we have great weather, if we have higher-than-expected supplies, if our exports cool off a little bit, then we may very well see some deflations in some food categories but on the whole, we have no reason to expect that right now.” Volpe says barring any of those conditions, food likely will cost consumers more in the year ahead.

State plans several workshops on beekeeping

Honeybees

The state Department of Agriculture is launching a series of a dozen beekeeping schools around the state, with a few starting as soon as next week.

State apiarist Andy Joseph says the workshops will run for several weeks and aim to teach Iowans the basics about this fascinating and vital hobby.

“We’re going to start the conversation just by talking about what is a honey bee, what makes it different from other sorts of insects and other bees that are out there, what’s special about it,” Joseph says.

“We’ll also discuss how to assemble beekeeping equipment for those interested in starting out as a new beekeeper, where to get your bees and pretty much everything you need to know to get those bees through a productive first year.”

Class on beekeeping.

The hobby can become a profitable business. There are about 1,500 beekeepers in Iowa who manage around 30,000 colonies of honeybees.

 Those bees produce about two-million pounds of honey every year, a crop worth $3.5 million.

Joseph says it doesn’t take a lot of money to get started. “You’re looking at an initial investment for two hives plus all of the basic equipment you’ll need, it’s going to cost you a few hundred dollars, I’d estimate around $300 for an initial basic investment,” Joseph says.

“That isn’t that much if you’re comparing it to other kinds of agriculture, even keeping chickens yourself.” Honeybees are responsible for the pollination of many Iowa crops.

Joseph says the economic value of honeybees as crop pollinators in Iowa has been estimated at $92 million a year. Joseph has been beekeeping for about 12 years and says the remarkable insects appeal to a broad spectrum of Iowans.

A honeybee on red clover.

“It’s not just your older, male, rural sort of person anymore,” Joseph says. “That stereotype is pretty much blown away. We’ve got urban people, plenty of women are getting into it. Probably over half the people in these courses are women. We even have youth taking up interest, so, all types of people.”

A big tract of land isn’t a requirement for beekeeping. Joseph notes that he once kept bees when living in an apartment building.

The courses are being offered in: Ankeny, Cedar Rapids, Knoxville, Indianola, Glenwood, Winterset, Oskaloosa, Marshalltown, Peosta, Washington, Spencer, Mason City.

For more information, visit: “www.abuzzaboutbees.com

Photos courtesy of Alex Ebert.

Report confirms Iowa as top corn producer

A U.S. Department of Agriculture report shows Iowa once again led the nation in corn production last year with a harvest of 172 bushels per acre. The U.S.D.A. pegs Iowa’s final corn yield at 2.356 billion bushels, an increase over 2010, but down from the record 2.42 billion bushels harvested in 2009.

The 172 bushels per acre figure tops the 2010 harvest of 165 bushels per acre. Nationally, the U.S.D.A. has set the yield at 147.2 bushels per acre, which is 5.6 bushels below the 2010 harvest. Iowa’s soybean harvest for 2011 was 50.5 bushels per acre, down slightly from 51 bushels per acre in 2010.

 

John Deere sets record for can sculpture

John Deere, the world’s largest ag equipment maker and Iowa’s largest manufacturing employer, is now in the Guinness Book of World Records. Last November, Deere’s Project “Can Do” created a full-sized combine made entirely from food at the John Deere Pavilion in Moline, Illinois.

It took more than 308,000 cans of 15 different kinds of food and more than 11,000 bags of popcorn, peas and beans. Guinness says it’s by far the largest sculpture ever built from canned food.

The sculpture, dedicated to America’s farmers, was 60 feet wide, 80 feet long, 16 feet tall and weighed about 170 tons. It took 450 volunteers more than 1,800 hours to build it. The sculpture was dismantled in December and the food was donated to a food bank that serves food pantries in eastern Iowa and western Illinois.

By Phil Roberts, Davenport

Trasnportation Commission approves funds to help Deere expansion in Ankeny

The Iowa Transportation Commission approved state aid for the city of Ankeny Tuesday for street improvements for an expansion of the John Deere plant there known as the “John Des Moines Works.” D.O.T. planner, Craig Markley presented the plan to the commission at their meeting in Ames.

Markley said the total cost for the John Deere expansion is $3,216,403 with a recommended state Revitalize Iowa’s Sound Economy, or RISE grant, of $2,573,123 and a 20% local match of $643,280.

“This will result in the retention of 400 jobs along with the associated capital investment of more than 117-million (dollars),” Markley said. “The average wage rate of retained positions is $22.82, which is 105% of the Polk County average wage rate of $21.79.”

Ankeny Mayor, Steve Van Oort, talked to the commission about the project. “Last month Deere and Company announced their plans to construct a major new 300,000 square foot facility at their Ankeny factory. This was good news not only for our community, but a vote of confidence for the state of Iowa,” Van Oort said.

“Deere has been growing jobs in Ankeny, in the last 24 months the company has added 500 positions at John Deere Des Moines works. They currently employ 1,900 people.”

The transportation commission also approved additional funding for Ankeny for roadway improvements that would serve 160 acres for future manufacturing, industrial and office park development to the south of the expanded John Deere Des Moines Works facility.

That brought the total state funding approved for the city to just over six million dollars.