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Friday, December 2, 2011
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OUR VIEW 

On VEETC, We Won

 

By Garry Niemeyer

NCGA President

 

touchdownBack in August, the Green Scissors Project identified ways the federal government could shave $380 billion from the federal budget over five years. But their $380 billion in proposed cuts included a major error that accounts for more that 10 percent of their suggested cuts - $38.8 billion that they argued the Volumetric Ethanol Excise Tax Credit would otherwise cost between 2012 and 2016. They conveniently ignored the important fact that there will be no VEETC between those years. VEETC expires about a month from now, and corn growers and the ethanol industry have long agreed to let it expire and have since stopped fighting for its renewal.

 

Regardless, we are quite amused that ethanol opponents continue to attack VEETC, even though no one on our side is fighting for its renewal. We stressed this point as long ago as last September.

 

On Thanksgiving, it was the Washington Times' turn to take up the cudgel and beat the already-dead tax credit. In an editorial full of grievous factual errors, they claimed yet again that VEETC must go.

 

It's kind of like when one football team leaves the field and the other team scores a game-winning victory four plays later. Frankly, we left this game last quarter because there are other, smarter ways to support ethanol, especially in today's deficit-prone political world. That was part of the reason we and the industry asked for a one-year extension in 2010 - to have time to seek alternatives. We won the game and left the field ... not the guys who will pound their chests and claim victory in a few weeks.

 

But let's return to the Washington Times editorial and look at where its writers err.

 

They say: "Powerful agribusiness interests collect a 45-cent-per-gallon tax credit." In reality, VEETC is a tax credit for ethanol blenders - who are largely oil companies, not ethanol producers. Ethanol producers are not the ones who set the price, so this money does not come back to ethanol producers or the elusive "powerful agribusiness interests." They call ethanol "an unnecessary and sometimes harmful additive to gasoline." On the contrary, it is necessary, if you want to wean the country away from foreign oil and toward energy independence, or if you want to reduce greenhouse gas emissions or if you want to support the rural economy. They also carefully omit the fact that ethanol is currently just under 10 percent of the nation's fuel supply. What would happen to the price of gas or the nation's economy if fuel manufacturers had to go out and buy 10 percent more oil? And it's certainly not "harmful," especially as we move toward more flex-fuel vehicles and the smart and needed Open Fuel Standard. In Brazil, for which the Times has nothing but praise, 80 percent of their cars can run on pure ethanol.

 

The Times writers say there is "a diversion of a huge amount of the world's supply of corn into the production of ethanol." In reality, ethanol production in the United States consumes just about 3 percent of the world grain supply.

 

They say "Brazil eliminated its ethanol tariff barriers a decade ago." Actually, Brazil in 2010 imposed a temporary moratorium on its tariff, and that moratorium expires at year's end. Soon, Brazil will start again imposing a 20 percent tariff on ethanol imports. Also on Brazil, they say "sugar cane is not a food crop; corn is." And yet, sugar cane takes up acreage that could go into food crops, could it not?

 

Let the record show that NCGA and our allies in the ethanol industry have left the playing field on this issue long ago and moved on. Those who continue to play are only showing their own foolishness by not realizing that there is no opponent still on the field and the game was called long ago. It's time to work together on smart energy policies that promote our domestic economy and energy security.

NEWS STORIES

NCGA Washington Office Moving

 

20 F StreetThe National Corn Growers Association's Washington office is on the move this weekend, relocating to 20 F Street, NW, Suite 600, from its former C Street location. The new space more adequately accommodates staff and allows for the use of updated information technology options as well as improved synergies by collocating with the U.S. Grains Council.

 

"This move will provide our staff with the physical room and technical tools necessary to increase productivity even further," said NCGA Vice President of Public Policy Jon Doggett. "In addition to upgrading our facilities, our new location will provide easier access for those visiting the office as it sits just a short walk away from Union Station."

 

In early January, the U.S. Grains Council will move into the offices. While the organizations will remain separate, the joint office space will allow the organizations to better coordinate joint activities while minimizing overhead.

 

For a map of the new location in relation to Capitol Hill, Union Station and NCGA's previous office, please click here.

 

NCGA First Vice President Shares Experience, Information with Women Interested in Ag Leadership

 

NCGA helped to motivate and educate the next generation of women farm managers and owners through participation in the landmark Executive Women in Agriculture Conference, hosted by Top Producer magazine in Chicago, Ill.

 

During this seminar, NCGA First Vice President Pam Johnson spoke to attendees both about her personal experience as a female association leader and the goals of the organization in general during the opening panel discussion on "Women in Agribusiness - Success Stories" and during several breakout sessions. For the 135 attendees, Johnson provided not only advice as a mentor, but also a clear pathway to follow for those interested in pursuing a more active leadership role in the industry.

 

"At this point, agriculture needs more men and more women to step up to the plate and lead the industry forward," said Johnson. "We gave attendees ideas and venues that would help them to do so. Whether they choose to do so through NCGA, CommonGround, the U.S. Farmers and Ranchers Alliance or other state or national commodity organizations, these energetic young women have unique perspectives and talents to offer that would benefit agriculture as a whole."

 

To listen to the full Off the Cob interview, click here.

 

For the whole story, click here.

 

Corn Caucus Project Releases Report Card 

 

The National Corn Growers Association and the Iowa Corn Growers Association, in partnership with the Illinois, Kentucky, Minnesota and Nebraska Corn Growers Associations, have released a tool to help voters quickly determine where candidates stand on a variety of agricultural issues.

 

Aimed at keeping corn farmers informed and engaged in the political process during the 2012 presidential campaign, the Corn Caucus report card and accompanying information offer succinct information gathered through a survey of major candidates on issues relating to NCGA's legislative priorities.

 

"While NCGA does not endorse any candidate, we do work to educate voters on candidate stances on the issues affecting farming," said NCGA Grower Services Action Team Chair Brandon Hunnicutt. "Similar to other industries, agriculture has many areas that are touched by government activities. The information made available through the Corn Caucus project is a valuable tool for anyone considering how a candidate's views might eventually impact many areas of their operation."

 

For the whole story, click here.

 

This Holiday Season, Farmers Thank the Public

 

Iowa and Nebraska Joint CG Dinner 2011In the spirit of gratitude prevalent around the holidays, CommonGround volunteers from Iowa and Nebraska jointly hosted a dinner to thank the consumers for purchasing the foods they grow. This event brought dieticians, bloggers and parents together at Anthony's Steakhouse in Omaha, Neb., to discuss food and farming with the volunteers and Dr. Ruth MacDonald, Department Chair of Food Science and Human Nutrition at Iowa State University.

 

"So often, consumers are urged to express gratitude to farmers for another bountiful harvest around the Thanksgiving holidays," said NCGA First Vice President Pam Johnson. "This activity highlights the important role that consumers play in the lives of farmers also. Each of us should be grateful that the public purchases our crop and, therefore, facilitates our ability to continue the proud tradition we all love. Thus, we should not only thank them but also happily open a conversation through which we discuss food and how we grow it with our consumers."

 

Like a growing segment of the population, attendees had a keen interest in nutrition, food and agricultural production practices. The volunteers and Dr. MacDonald opened a conversation on their areas of concern, such as the organic food movement, animal welfare and food safety that will continue as volunteers provide follow up information.

For the whole story, click here.

 

NCGA Shines Spotlight on Necessity of Improving Inland Waterways 

 

As campaigns for the 2012 elections heat up, NCGA joined a well-timed effort to let candidates know that farmers and their allies are paying attention to their positions on funding for essential lock and dam improvements along the Mississippi River. To determine how to best structure a strategic educational campaign on the issue, NCGA President Garry Niemeyer, NCGA staff and key industry stakeholders met in Quincy, Ill. for a discussion covering the importance of the actual improvements and the best way in which to move forward as a unified front.

 

"Our inland waterway system plays a crucial role in the nation's economy, and we must act now to help our future leaders understand that funding improvements is critical to maintaining their viability," said Niemeyer. "Acting together, we can magnify our voices, and thus our effectiveness, exponentially. Achieving our goal is not only important for farmers and shippers, our nation as a whole will benefit from the job creation and shipping efficiencies this project would generate."

 

Representatives from commodity organizations, shippers, barge operators and the Waterways Council, Inc. decided to move forward, under the leadership of WCI, in the creation of a structured plan that places an emphasis on sustained, enthusiastic pursuit of express goals. Now, WCI will review an action proposal by former Illinois Congressman Jerry Weller, of the U.S. Strategies Corporation, and Phil Bradshaw, an Illinois farmer. Notably, NCGA CEO Rick Tolman represents NCGA on the board of this organization.

 

For the whole story, click here.

 

One Week Remains to Submit Scholarship Applications

 

As the deadline quickly approaches, the National Corn Growers Association reminds members that it, along with the BASF Corporation, will again award five $1,000 scholarships to undergraduate and graduate students pursuing a degree in an agriculture-related field during the 2012-13 school year.

 

"This program is important for candidates as it helps fund their ongoing education, but it is also important for the industry as a whole," said Brandon Hunnicutt, NCGA's Grower Services Action Team Chair. "By helping tomorrow's leaders further their studies, we proactively create a generation ready to lead agriculture for decades to come."

 

Applicants for the NCGA Academic Excellence in Agriculture Scholarship Program must be entering at least their second undergraduate year or any year of graduate study, and they, or a parent or legal guardian, must be an NCGA member. Scholarship applications must be postmarked on or before Dec. 9.

 

For the whole story, click here.

 

NCGA Comments on Proposed Child Labor Regulations

 

NCGA, along with 47 other agricultural organizations, sent comments to the Department of Labor outlining concerns with proposed child labor regulations.

 

"Our members understand the dangers associated with working on a farm and they are committed to ensuring youth are safe," NCGA President Garry Niemeyer said. "NCGA has also taken a proactive role in farm safety by providing a video on the dangers of grain bins and a website. We fully support existing provisions in the Fair Labor Standards Act that permit the Department of Labor to establish appropriate standards for youth employment on the farm but we do not support hindering family farmers."

 

The proposed rules would raise the minimum age of employment to 16 on farms and 18 for facilities that handle raw commodities, such as grain elevators. The rules also place limits on pesticide handling, heavy machinery operation and working with animals.

 

For the whole story, click here.

 

NCGA Appreciates Work of the USDA to Lower Crop Insurance Premiums for Corn

 

RMA LogoNCGA praised the U.S. Department of Agriculture's announcement that crop insurance premiums for corn will be rerated for the 2012 crop year.

 

"NCGA has been working on this issue for more than eight years," NCGA President Garry Niemeyer, a corn farmer from Auburn, Ill., said. "We are pleased to hear our farmers will no longer be facing the continued widening gap between the loss for corn and the premiums charged to growers for policy coverage. This is a daylong coming."

 

The announcement stated the average premium for corn will be lowered by 7 percent beginning in 2012 and soybeans will be lowered by 9 percent. The rate adjustment is based on findings of an independent study and peer review process. The USDA's Risk Management Agency also announced it will be releasing documents by Wednesday that outline premium rates and other program information for the 2012 crop year.

 

For the whole story, click here.

 

NCGA Announces Sessions and Chairs for 2012 CUTC

 

CUTC LogoNCGA announced the sessions to be featured at the 2012 Corn Utilization and Technology Conference. The biennual event will be held June 4-6 in Indianapolis. With a theme of "Back to the Grind," CUTC will feature the cutting-edge technologies and new uses that continually improve and dynamically change the corn industry.

 

"We are proud of CUTC's position as the premier corn technology conference in the United States and of the many learning opportunities that we will offer," said NCGA Research and Business Development Action Team Chair DeVonna Zeug. "The conference offers much more -- including incredibly important networking opportunities. By exchanging ideas with people who have common interests, we create the hybrid of new technology and new ideas."

 

The 2012 Corn Utilization and Technology Conference will debut a third tier of presentation options offering participants the opportunity to hear the latest on mycotoxin research. The Aflatoxin Mitigation Center of Excellence continues to emphasize the importance of developing methods to mitigate and control mycotoxin development in all phases of production and processing.

 

For the whole story, click here.

NCGA IN THE NEWS 

The Green Sheet Farm Forum: Look for Changes in Corn, Soybean Crop Insurance Premiums

 

Southwest Farm Press: How Does NCC Crop Revenue Insurance Proposal Stack Up?

 

Sioux City Journal: Gingrich Earns an A on Iowa Corn Growers Report Card

 

AgriNews: National Corn Growers Association Holds Social Media Webinar

 

Pork Network: Keeping Waterways Flowing

 

Beaver Dam Daily Citizen: Learn from Corn Experts Dec. 14

 

Country World: Breaking the Bank: Budget Cuts Cause for Concern

 

The Progressive Farmer: Illinois Guys Call Out Ag Chairman on Insurance Premiums

 

San Angelo Standard-Times: Agriculture Experts Discuss Issues at Kansas City Convention

 

Kansas City Star: Number of Suffocation Deaths in Grain Bins Is Increasing 

Corn Commentary New

At NCGA's award-winning blog, Corn Commentary, our bloggers look at how you can make both ethanol and biodiesel from corn, why the new French ban on GMO crops is actually illegal and the benefits of Atrazine. Click here for the scoop.

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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.