Promoting the Strength of Minnesota's Agricultural Economy
Welcome to the MDA Marketing Minute,
the marketing e-newsletter from the Minnesota Dept. of Agriculture |
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Beef Brings $Billions
 We've all heard the catchy slogan "Beef, it's what's for dinner! Well, May is Beef Month in Minnesota and if you'd ask "Where's the Beef?" we'd say it's right here in our state. In fact, it's a $2 billion dollar industry!
Minnesota is home to over a million head of cattle, which includes both dairy and beef animals. We include dairy animals in the overall cattle category because while most people think of milk when they think dairy cows, these animals do make up a significant percentage of beef consumed in the this state and across the country.
Though the total number of cattle has declined throughout the United States in the last fifty years, the industry remains vibrant due to due to efficiencies in production, nutrition, technology, and marketing.
And a strong industry is the reason crop farmer Mike Wiebolt of Staples is planning a 300 cow/calf operation in the Thief River Falls area.
"We're considering expanding into the cattle business and we really like what we see in the state of Minnesota," says Wiebolt. "Its solid infrastructure, close proximity to feedstuffs and easy access to professional assistance is a big advantage for us."
Weibolt has been working with MDA Livestock Development and Planning Specialist Jim Ostlie on the expansion project.
"The beef industry is an important economic engine for our state," said Ostlie. "MDA's role is to promote the industry as well as assist farmers who want to get into the business or expand their operations."
Minnesota remains a strong national competitor in the cattle industry with roughly 25,000 farms or ranches raising cattle. Last year, Minnesota ranked 10th in the nation for all cattle and calves on feed, 11th in the total number of calves, and 6th overall in total red meat production.
Ostlie credits the work of the Minnesota State Cattlemen's Association (MNSCA) as another reason for the industry's success.
NSCA assists the beef industry by providing a voice for Minnesota's cattle farmers, and by sponsoring educational workshops, events and tours both for producers and consumers of beef products. The annual Summer Beef Tour highlights outstanding Minnesota producers and their operations. It provides an opportunity for producers to share information and ideas about beef production and see different types of facility management in action. This year's tour will be held July 13th in Morris, MN and will highlight several beef facilities as well as other related industries in West Central Minnesota.
During May Beef Month and throughout the year, Minnesota's beef producers are committed to producing cattle that meet industry standards and to producing a safe, wholesome, convenient, nutrient rich protein that consumers desire. |
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Deadline to Participate in Ag/Energy MIssion Mission to China is May 28
Minnesotans interested in joining an agriculture and energy trade delegation to China have until May 28th to sign up. The delegation will be part of Governor Pawlenty's trade mission to China and Japan September 9-18. The Governor announced last month he will lead the mission to help Minnesota companies increase exports, build strategic relationships, and explore new business opportunities.
The ag/energy delegation will travel to China only to meet with business, market and industry leaders. The trip will also include networking activities and business site visits.
China is one of Minnesota's top five agricultural export markets. In 2008, Minnesota exports to China were estimated at $682 million, a 68%increase from the previous year.
Last year, U.S. agricultural exports to China reached a record high of $15.2 billion, about 15% of U.S. total ag exports.
China and Japan rank second and third, respectively, behind the United States as the largest national economies in the world. China, in particular, has experienced tremendous growth and any ag or energy company conducting business internationally should consider China as an export market.
The Governor's trade mission will visit Shanghai and Beijing, China and Tokyo and Osaka, Japan.
The delegation may also visit Shaanxi Province in China, sister-state to Minnesota since 1982.
The forms to apply to join the trade mission are also online.
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Milk Production Sets April Record
USDA's Milk Production Report issued yesterday shows April milk production continuing well above year ago levels. The report shows U.S. milk production was 1.5% higher than April a year ago. In fact, the estimated 16.383 billion pounds is a record for the month of April. Contributing to the increase is more milk cows and an increase in milk per cow estimated to be 3.5% higher than a year ago. While milk cow numbers were 2.0% below a year ago cow numbers are no longer declining month-to-month and have increased by 14,000 head since last December.
In the Minnesota, milk production also continues above year ago levels with more cows and good production per cow. Minnesota had 0.4% more cows and milk per cow increased 2.8%. As a result milk production was up 3.3% in Minnesota.
Analysts say improved returns over feed costs and higher producing dairy replacements entering the dairy herd has helped to increase milk per cow and is now running more than 3% above a year ago.
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AG STATS
Minnesota farmers and ranchers raise 400,000 beef cows, milk 470,000 dairy cows, and have approximately 300,000 cattle on feed. |
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AgBMP Loan Program Hits Milestone
The Agricultural Best Management Practices (AgBMP) Loan Program has completed its 10,000th loan, totaling almost $150 milllion in loans to farmers and rural landowners to prevent or reduce pollution to the state's lakes and streams.
MDA has received a total of $62 million from the US Environmental Protection Agency and the State Legislature for this loan program over the past 15 years.
The AgBMP Loan Program is structured as a revolving loan account so a reliable and sustainable source of capital is available.
The loans can be up to $100,000, amortized over 10 years, and are typically at 3% interest plus usual and customary fees.
Currently more than 250 Minnesota lenders and their branch offices are participating in the program.
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Industries Step Up Recycling Efforts
The state's agriculture and horticulture industries are making strides in establishing programs for recycling of industry plastics. Nurseries and garden centers belonging to the Minnesota Nursery & Landscape Association are again offering recycling of plastic flower pots.
The program is good for business (consumers like being able to recycle this plastic) and it's good for the environment.
Last year, 600,000 pounds of horticultural plastic was recycled instead of ending up in a landfill.
More information on the program can be found at GardenMinnesota.com, a consumer focused website created by MNLA with assistance from the MDA's Minnesota Grown Program.
MDA also helped initiate a pilot program for recycling agricultural plastics. This recycling need is now being partially met by a Mankato company, Genesis Poly, that is one of only a few nationwide that are accepting large volumes of ag plastics for recycling.
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