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Friday, April 23, 2010
Support Efforts to Extend Ethanol Tax Credit
 

In order to further legislation introduced by Reps. Pomeroy and Shimkus that would extend VEETC and the secondary tariff, NCGA urges members and backers to voice their support by urging their member of the House of Representatives to co-sponsor H.R. 4940.  Growers and their allies can contact their representative and express why H.R. 4940, The Renewable Fuels Reinvestment Act, is crucial to the ag industry by utilizing NCGA's letter assistance resource (click here).

About Us

Founded in 1957, the National Corn Growers Association (NCGA) represents approximately 35,000 dues-paying corn growers and the interests of more than 300,000 farmers who contribute through corn checkoff programs in their states. NCGA and its 48 affiliated state associations and checkoff organizations work together to help protect and advance corn growers' interests.
 
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NCGA Briefs Capitol Hill Staff on Aflatoxin
 

Yesterday, a panel of NCGA growers briefed Capitol Hill staffers in both the House and Senate on the importance of federal research funding to mitigate the impacts of aflatoxin in grain. Presenters for NCGA were Don Glenn, Chair of the NCGA Mycotoxin Task Force and Pam Johnson, Corn Board member and former Chair of the NCGA Research and Business Development Action Team. Dr. Sandy Pierson, head of the Plant Pathology Department of Texas A&M University served as the third panelist.

The panelists provided an overview of the challenges associated with aflatoxin, a toxic compound produced by naturally occurring fungi in grains, nuts and oil seeds. Corn is the most widely grown crop that can be affected by the disease in the U.S. Pam Johnson explained the risks associated with feeding contaminated grain to livestock pointed to incidences in the Midwest where contaminated milk had to be disposed of causing thousands of dollars in losses to the producer. Corn used to produce dried distillers grain is of particular concern, because aflatoxins are concentrated by a factor of 3x during the ethanol production process.

Don Glenn concluded by requesting support from Congress for an appropriations request to support USDA research funding through the Aflatoxin Mitigation Center of Excellence - a research consortium led by Texas A&M University. The group explained that this request would build on the investment already made on the Corn Genome project and would create a framework for other toxins down the road.

Senators Grassley, Conrad Introduce  
GREEN Jobs Act

The National Corn Growers Association today thanked Sens. Charles Grassley (R-Iowa) and Kent Conrad (D-N.D.) for their introduction of the GREEN Jobs Act of 2010, which mirrors H.R. 4640, the Renewable Fuels Reinvestment Act, introduced by Reps. Earl Pomeroy (D-N.D.) and John Shimkus (R-Ill.) in March. Additional cosponsors on the Senate bill include Senators John Thune (R-S.D.), Ben Nelson (D-Neb.), Mike Johanns (R-Neb.) and Tim Johnson (D-S.D.).
 

Specifically, the Senate legislation would extend the 45 cents-per-gallon ethanol blenders tax credit and the 54 cents-per-gallon ethanol import tariff for five years, to the end of 2015. Both provisions are slated to expire at the end of this year. The bill would also extend the $1.01 per gallon cellulosic ethanol production tax credit until the end of 2015.

According to recent reports by the Renewable Fuels Association and Growth Energy, if the ethanol blenders credit is not extended, thousands of jobs directly involved with the ethanol industry - a majority of them in rural America - would be lost due to a lowered demand for ethanol. Notably, these studies show domestic ethanol production would decrease by roughly 4 billion gallons, which is equivalent to closing two out of every five ethanol plants operating today. This would also potentially lower corn prices by roughly 8 percent, $0.30 per bushel, due to lower demand.

In 2009, the ethanol industry returned $3.4 billion to the Federal Treasury than the cost of the ethanol blenders tax credit. This figure also does not take into account additional positive returns in the form of increased state and local taxes, increases in household income and savings resulting from decreased oil imports.

Removal of the secondary tariff on foreign-produced ethanol would result in increased dependence on imported fuels. Similarly, if the secondary tariff is not extended, 28 states would see drastic economic loss, including Iowa, Illinois, Nebraska, Minnesota, Indiana and South Dakota.

Click here for more on the GREEN Jobs Act.

Improving America's Inland Waterways
 

Last week, the Inland Waterways Users Board unanimously adopted the final report that accompanies a new comprehensive, consensus-based package of recommendations formulated by an industry and Corps of Engineers working group to improve the continued vitality of the U.S. inland navigation system over the next 20 years. The National Corn Growers Association is a supporter of this project.

The report and recommendations are being sent to Congress and the Obama Administration and if adopted, will better address the needs of the entire inland waterways navigation system and provide more dollars for greatly needed infrastructure improvements.

This proposal is supported by 150 industry stakeholders, including NCGA, as a way to fund the navigation system and would be in lieu of the imposition of a lockage fee that has been unsuccessfully offered in the last two fiscal year budgets and is strongly opposed by Waterways Council, the American Waterways Operators, and the National Waterways Conference, as well as many Members of Congress.

The proposed recommendations and report prioritize navigation projects across the entire system, improve the Corps of Engineers' project management and processes to deliver projects on time and on budget, and recommend a funding mechanism that is affordable and meets the system's needs.

For more information, visit the WCI's website at www.waterwayscouncil.org.

NCGA, DTN Host Free ACRE Webinar

In preparation for the June 1, 2010 sign up deadline for the Average Crop Revenue Election Program, NCGA has once again teamed up with DTN to offer growers a free webinar featuring the most up to date information about the safety net program. The webinar, titled 'Is ACRE the Right Safety Net for You?' will help growers assess how well the program protected crop revenue for 2009 and whether it makes sense for them in 2010-2012. It is scheduled for Thursday, May 6 at 7:00 a.m. Central, 8:00 a.m. Eastern.
 
The webinar will feature Farm Service Agency ACRE expert Brent Orr and Ohio State University economist Carl Zulauf. Pre-registrants will receive handouts in advance.

NCGA and DTN Webinar: Is ACRE the Right Safety Net for You? Thursday, May 6, 2010 at 7:00 a.m. CDT, 8:00 a.m. EDT

To register, please click here.

Warm Weather Means Planting Progress

Warm, dry weather last week allowed growers to make significant corn planting progress. With 19 percent of the U.S. corn crop now planted, progress is ten points ahead of the 5-year average and 14 points above the slow, wet 2009 planting season, the U.S. Department of Agriculture reported Monday afternoon.
 
For the full report, click here.
 

USDA's April 18 survey shows that between April 11 and 18, the planting progressed rapidly in several states. Tennessee saw a 44 point increase in acreage planted, while North Carolina corn plantings increased by 39 points. This was followed by 33 percent of the corn in Illinois and 31 percent in Missouri.

Click here for a chart of state information.

USDA estimates that farmers will plant 88.8 million acres of field corn this year. If realized, acres planted would be up by three percent from both last year and 2008. The April 19 report indicates that in the 18 leading corn producing states, 15.359 million acres of corn were planted as of the week ending April 18. The first government projection of 2010 yield, harvest acres and corn production will be released on May 11.

CUTC 2010 Helps Growers and Producers Manage DDG Quality Issues
 

CUTC LogoWith the 2010 Corn Utilization and Technology Conference quickly approaching, the time to register is now. This week, Geoff Cooper, chair of the "Maximizing DDG Quality" technical session, talks about the learning opportunities his session will offer.

This session will explore the parameters affecting the quality of DDGs that should be evaluated during the production process. The discussion will also touch on the role of antibiotics in DDG quality and the effect on the nutritional complement.

"We are coming off of a very late, wet harvest that presented a variety of quality challenges," said Cooper. "It is important that both producers and processors of the grain recognize the unique quality challenges that they face and take appropriate steps to maintain and maximize quality throughout the process."

In addition to exploring this topic, the CUTC will offer technical sessions on the role of corn in human health and nutrition, advancements in milling techniques and agriculture and other timely topics. Held in Atlanta June 7-9, the 2010 Corn Utilization and Technology Conference is the country's premier corn technology conference. To register or learn more about this event, click here.

 Meet the Candidates
See the Big Picture, Act at a Grassroots Level
 

A strong belief in the National Corn Growers Association's grassroots vision and focus drive Jon Holzfaster to service. Currently serving as chairman of NCGA's Ethanol Committee, Holzfaster has previously held leadership positions with the Nebraska Corn Growers Association, the National Dry Bean Council and the American Dry Bean Board.

Holzfaster is proud to have played a small role in the organization's successes over the past few years and would relish the opportunity to participate to a larger degree in NCGA's future which he believes holds great opportunity for positive change and evolution that require strong leadership and vision which he can provide.

Click here for more about Jon Holzfaster.
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This Week's NCGA Blog Highlights
 
There is a planting frenzy... and orange corn could save lives...was the supermarket guru paid to pitch?... both river transportation and ethanol offer green benefits... so the "ugly baby" is worth the investment...
 
Click here for more.