Indiana Dairy Producers E-Newsletter
www.IndianaDairy.org
September 24, 2015                                                              Issue 86

Our Vision: To Make Indiana the most desirable state in which to produce milk.

Mission Statement
To promote a profitable, positive, professional image of
dairy producers while providing educational opportunities
for the interchange of ideas and to speak as a proactive voice
for Indiana dairy producers.   


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Diamond 

Sponsors 

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Indiana Corn Diamond PNG
Indiana Soybean Diamond PNG

 

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Sponsors 

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PSRB

NorthStar 
Gold Sponsors


  
 JBS United 
Milk Specialties Global Byron Seeds 
Stewart-Peterson  Agri-King  
Maurer-Stutz



Dairy Farmers of America
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Kalmbach
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Indiana Farm Bureau
ZFS Official


Indiana Dairy Producers  
Board of Directors
 
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Executive Director

Doug Leman 

317-695-8228

 

Steve Obert, President

 

Sarah Wagler, Vice President 

 

Julie Bommer, Secretary/Treas. 

 

Board Members

 Joe Hibshman

Liz Kelsay
Brian Huber

Brian Houin

Cory Craig
Nathan Kuehnert 

  

Industry Advisers

Andy Tauer

Dr. Ken McGuffey 

Todd Janzen, Attorney   

Nathan Hrnicek 

 

LuAnn Troxel, Business Mgr.  


Silver Sponsors

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RP Feed Components  
 
 
 
Diamond V 
BMO Harris Bank 
 
 
 
NPC Bovamine Logo 
Merck 
Perdue Ag Solutions 
Arm & Hammer Logo  ABS Global Logo 
  
Michigan Milk Producers Logo 
  
Bunge Logo 
GEA Logo 
Specialty Hybrids 
Prairie Farms 
Alltech 
Fair Oaks Farms Logo 
Zoetis, formerly Pfizer 
Cargill 
 
            
RESOURCE CENTER
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Cows on Grass
Indiana Grazing & Forages NRCS Website

Newborn Calf
Calf Notes and Links

Residue Prevention
Innovation Center
Innovation Center for U.S.
Dairy


 
 Purdue

 

Check out the resources available to you on the  

Purdue University Dairy Extension site: Topics on nutrition, business management, animal health and many more topics related to our dairy industry and animal care.

 

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Support IDP  

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Individual membership in the Indiana Dairy Producers is $50. Encourage your dairy farming friends to join IDP! Also, any individual who is not a dairy producer but would still like to support IDP can join as an associate member. Download a membership/associate brochure here.   

 

We appreciate our industry supporters. They make it possible for IDP to support the dairy industry in many ways. If your company is interested in finding ways to join IDP, download an information sheet here.
View our photos on flickr
Indiana Dairy Picture Gallery
Over the years we have organized many tours and events, and we have tried to take pictures at all of them. We frequently invite you to watch a picture slideshow, but if you want to see our albums on our flickr page, click here.
 



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E-Updates

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Greetings!
 
As this week has been declared National Farm Safety and Health Week I would like to start off the newsletter to encourage each of you to make safety a priority of your business.  We need to all be intentional when it comes to safety - don't just have good intentions; it is so easy to cut corners during the pressures of our daily duties.  I encourage you as a parent, owner/operator, or manager to get this message to your family and/or employees by making it a part of your meetings, a part of your conversations, and by being a good example yourself!  Don't allow a minute or two saved to turn into a lifetime of regret. I recently saw a good article on grain bin safety here.

It is with great pleasure that we welcome Prosperity Ag and Energy Solutions as a new Gold sponsor.  They bring some unique opportunities to IDP as an organization and to each of you as producers and partners.  As usual, I encourage each of you to look at our sponsor list, work with them when possible and be sure to thank them when you have an opportunity. Without them, we could not be as effective working for you!

I look forward to attending the World Dairy Expo next week and I hope to see some of you there.  Looks like the weather should be nice as fall has already begun.  Don't hesitate to contact me at dougleman@indianadairy.org or at 317-695-8228 for any dairy need.  Take care and God bless!

Doug Leman
IDP Executive Director   
Margin Protection Program Deadline has been Extended until November 20
Agriculture Secretary Tom Vilsack announced that the deadline to enroll for the dairy Margin Protection Program for coverage in 2016 has been extended until Nov. 20, 2015.

The voluntary program, established by the 2014 Farm Bill, provides financial assistance to participating farmers when the margin - the difference between the price of milk and feed costs - falls below the coverage level selected by the farmer.
"The fall harvest is a busy time of the year for agriculture, so this extension will ensure that dairy producers have more time to make their choices," said Vilsack. "We encourage all operations to examine the protections offered by this program, because despite the very best forecasts, markets can change."
Vilsack encouraged producers to use the U.S. Department of Agriculture's Farm Agency Service (FSA) online Web resource here to calculate the best levels of coverage for their dairy operation. The secure website can be accessed via computer, smartphone or tablet.

He also reminds producers that were enrolled in 2015 that they need to make a coverage election for 2016 and pay the $100 administration fee. Although any unpaid premium balances for 2015 must be paid in full by the enrollment deadline to remain eligible for higher coverage levels in 2016, premiums for 2016 are not due until Sept. 1, 2016. Also, producers can work with milk marketing companies to remit premiums on their behalf.
Prosperity Ag is New IDP Gold!

Please give a hearty IDP welcome to Prosperity Ag, our newest Gold sponsor. They offer unique services that will be a great resource to our IDP members! Read below to learn more about Prosperity Ag & Energy Resources!

Prosperity Ag & Energy Resources is excited to be a new member of the Indiana Dairy Producers. Since 2007, Prosperity Ag has offered full-service consulting in the areas of grant writing, guaranteed loans, grant funding searches and general grant administration. Prosperity professionals work closely with state and federal agency contacts to help applicants develop and sustain relationships with grant funders. Prosperity endeavors to strengthen communities, empower entrepreneurs and foster growth on farms and for businesses.
 
Have you been considering a project on your farm? Contact Prosperity today to see what types of grant opportunities are available. Grant funding can cover costs such as feasibility studies, farm storage, product expansion, energy efficiency upgrades, installation of renewable energy systems, and much more. If you wish to stay updated on all the funding opportunities as they become available, please visit our website at www.prosperityag.com and look for our newsletter sign up. Please feel free to send us an email or give us a call at 855-783-2388 to talk about your specific projects and your needs. Stay tuned to IDP's newsletter for funding opportunity features from Prosperity.
Indiana Dairy Processing Information

The Indiana State Board of Animal Health has prepared an excellent resource on the dairy processing companies in Indiana. This was partially made possible through a grant from the Indiana State Department of Agriculture. Click here to download the Indiana Dairy Product Buyer's Guide.
 
Corn Technology Puts Alfalfa Yields in the Right Direction
Nathan Hrnicek, Dairyland Seed
Ask the university experts about how alfalfa yields have improved over the years and you get many different answers, most pointing out the lack of improvement. Several studies have tracked varietal improvement over the years and suggest that genetic gain for forage yield between the 1950's and 1990's averaged only 0.18% improvement per year.  Another University of Wisconsin study looked at research plot yields from 1977 to 1992 and actually saw no trend for yield improvement during that time period.  This does not mean that alfalfa varieties did not improve during this time, but it does mean that genetic gain was not big enough to improve yields relative to weather challenges and more aggressive cutting management that was adopted during that period of time.

An extensive analysis of alfalfa yields was recently conducted comparing the performance of newer varieties head-to-head with the performance of older varieties in the same environments and cutting regimes.  This analysis suggests that, industry wide, traditional synthetic breeding is gaining about 0.34% per year since the 1980's.  This is much better than the gains estimated prior to the 1980's, but is still not very impressive.  However, if you look at how hybrid alfalfa yields have improved since the first hybrid was released to the marketplace in 2001, hybrid alfalfa yields have improved at a rate of 1.15% per year.  Hybrid technology has given alfalfa breeders the ability to increase genetic yield gain faster than they could in a non-hybrid system.

Historic corn yields follow a similar trend.  In the time period from 1860 to 1930 when synthetic corn varieties were in production, corn yields improved a total of only 2 bushels in 70 years.  However, with the introduction of hybrid technology in the 1930's, the trend changed dramatically.  Double-cross hybrid corn improved corn yields 1 bushel per acre per year, and then single-cross hybrids improved corn yields an average 1.8 bushels per acre every year since the 1960's!  Hybrid technology revolutionized corn production in the United States and is now doing the same for alfalfa production.

Read the full article here.
Semen Handling 101
Mike O'Connor, Penn State University
Pointers in Handling Semen
      * Keep insemination equipment clean and dry at all times.
      * Check the accuracy of your thermometer occasionally.
      * Do not attempt to thaw semen at temperatures greater than 95�F.
      * Shake the straw as it is removed from the tank to remove any liquid nitrogen that may be retained in the cotton plug end of the straw.
      * Dry each straw of semen thoroughly. A small drop of water can be lethal to sperm.
      * Check the bull identification code on every unit of semen.
      * Shake the air bubble from the middle of the straw to the crimped end.
      * Cut the tip of the straw squarely and through the air space below the crimp. An angle cut may prevent the straw from fitting securely into the sheath. Check that the straw is firmly seated into the plastic adapter or tip of the sheath, depending on the type of insemination device you use.
      * When assembly of the insemination rod is complete, depress the syringe 
gently to remove the air space at the upper end of the straw.
      * Inseminate the cow as soon as possible after the semen has been thawed.
      * Avoid shortcuts when handling semen or inseminating a cow. Pay attention to every detail.
      * Use semen within 15 minutes of thawing.  
Eliminate the Chance of Cold Shock
      * Warming the inseminating rod and sheath to body temperature (do not use water for this purpose)
      * Handling the thawed semen and preparing the insemination rod in a warm environment
      * Wrapping the assembled insemination rod in a clean, dry paper towel and tucking it into some clothing for transport to the cow.
Proper Semen Handling Techniques, Joe Horner

ZFS Feed Update
ZFS Official
866-888-7082
This last month has been more encouraging for dairies and livestock feed buyers as the futures have fallen quite a bit, creating a lower cost ration. These values may not hold long, so covering some risk at a profit, is a good idea as the feed bunks are covered up and tons tallied.
 
With USDA progress report on Monday showing 10% corn and 7% soybeans harvested there doesn't seem to be much change in the CBOT markets today. Though discussions are milling around for a large soybean purchase by the Chinese as their president visits Iowa this week. And despite economy woes in China, DDGS imports by them are still setting records as of August ending reports. October thru December are typically large shipment times as containers in the U.S. flow heavy with holiday items creating cheap back hauls for them.
So, with this, you may want to get your tons together and book a good part of your protein needs to minimize some risk.  
 
Canola meal offers by processors have tightened some over last few weeks, as a chunk was sold; now waiting on margins to improve still to increase crushing and harvest results to come in. Remember as the futures fall, so then the basis can go up, creating a level playing field. With soybean basis levels a little more firm this fall, canola basis doesn't need to show the historical -100, whereas a -65 vs. +25 soy basis will make the $90 spread to soybean meal on farm, ideal for rations. Cottonseed gins are getting close to starting up on October 1. Little seed has traded by the gins themselves in the SE and central U.S. as they hold their hand to the market - with a delivered average of $308 on Indiana farms.  Cotton world inventories are high, so prices have fall to a low 60 cents/ lb. as farmers prepare for harvest. This is about $100/bale below breakeven for them. So they will look for ways to make that margin up. There are less acres in production this year again, as shift to other crops. Usage has reduced in most dairy rations, waiting for harvest pressure to get it back in line with other feeds. Gluten feed usage remains high in rations, though the processors are grinding less; creating higher costs on pellets and wet feed than the CBOT supports and we typically see this time of year. It may be a time to just go monthly on spot buying. Exports are a big player in food sales, and the lack of that food-side sale is affecting production too. Hominy seems a good buy and maybe the deal of the week, as processors are getting a little long. Inquire with us or your merchandiser for deals and contracts are also available October - March. Hi Pro Distillers is still a viable product in the dairy rations. Inquire for spec sheet on this 36 pro/ 8 fat / 7 fiber avg. corn product.  Also we have Wheat distillers available if want to try something a little different. 
Soy hull pellets are really tight thru next week, as mills are still running slower production, until new beans cure some, to better process. Offers on new crop are higher than normal this time of the year also, as demand is moderate. Wheat midds are quite tight as being traded week to week, as still not fully using new wheat yet in the flour mills. Toxin levels are uncertain creating few contracts being offers beyond a couple weeks.
 
Have a Safe and bountiful harvest!
World Dairy Expo Sept. 29 - Oct. 3 Offers Seminars, Virtual Tours, Much More
Each year the brightest minds in the dairy industry showcase the latest in dairy cattle research and services during the annual Expo Seminars. These seminars are free to World Dairy Expo attendees, and feature world-class speakers from around North America who will be presenting on farm succession, feed waste, adding value to calves by breeding to beef, quality heifers, robotic barn design, apps for dairying, agroterrorism and lameness in dairy cattle.  Click here for more information.
 
Looking at McDonald's Move to Butter
Jackie Barber, ADAI Producer Relations
   Starting in September, all McDonald's stores in the U.S. will begin using real dairy butter (instead of nondairy alternatives) in their food preparation and serving. You may have already seen signage and promotion around the new Buttermilk Crispy Chicken Sandwich (made with real buttermilk) and McDonald's will be throwing even more promotion behind the real butter launch, with a new ad campaign "Let Us Butter You Up."
   So that's nice and all, but what does that mean for dairy sales?
Estimates from suppliers and McDonald's itself indicate that McDonald's will need 500 million pounds of milk equivalent (and some estimates lean higher-over 600 million pounds). To put this into context, dairy exports are down just more than 500 million pounds right now. So, McDonald's switching to butter has the potential to impact dairy demand as much or more than the current drop in export demand. So it's pretty big news, if we do say so ourselves.
   McDonald's has been a longtime partner with the dairy checkoff, including having on-site checkoff-employed dairy scientists working with them on menu development. Also instrumental in this change has been new and emerging research on the nutritional benefits of full-fat dairy products, led by the dairy checkoff over the past two decades. (This stuff takes a while!)
   The new ad campaign (and the new focus on butter) is part of the consumer trend for natural products, simple ingredients, and clean labels. Dairy, of course, is a great fit for all those things! As always, if you have any questions about your checkoff investment, need farm tour materials, or if we can do anything for you don't hesitate to reach out to Jackie at barber@winnersdrinkmilk.com or call 317-842-3060.
Upcoming 2015 Events
 
September

Sept. 29-30 World Dairy Expo Begins Details 

 

October

Oct. 1-3 World Dairy Expo Continues Details  

Oct 7 IDP Board Meeting, 10 AM Corn and Soybean Offices. 

 

November

Nov. 6 Partners in Success Luncheon, Normandy Barn, Indiana State Fairgrounds  

Nov. 20 New MPP Sign-up deadline

 

December

Dec. 13-16 National Grazing Conference, Gravevine, TX Details here. 

 

 

IDP Corporate Sponsors
Indiana Dairy Transparent There is a growing list of companies that recognize IDP's value to Indiana's dairy industry. Please visit our list of companies that have become Corporate Sponsors for only $100. If you know of a company that may have an interest in supporting IDP at some level, please download a brochure here.