NCGA News












March 9, 2001 * Volume 8 * Number 5

San Antonio Commodity Classic Is Truly 'a Classic'

The nation's leading corn growers have wrapped up what could be termed the best Commodity Classic ever, bringing home valuable information on the latest in agricultural technology and trends that will help them be more profitable, Capitol Hill developments and memories of quality fun and fellowship. The 2001 Commodity Classic, the combined convention of the American Soybean Association (ASA) and the National Corn Growers Association (NCGA), was held Feb. 25-27 in San Antonio, Texas. Attendance for this year's event set an all-time record, with 3,945 people, including 124 media. Growers at the event represented an average of 1,744 acres, 750 corn acres and 738 soybean acres. The average grower's age was 51.5. Commodity Classic photos can now be seen on the NCGA web site.

Corn Congress Delegates Approve Key Resolutions at Commodity Classic

At the Corn Congress, NCGA's policymaking body, delegates approved numerous resolutions including the following key items:

  • *That biotechnology providers assure the availability of accurate, affordable, timely tests for a trait and these tests should be available before a company releases a new product;
  • That growers insist that all 2001 seed corn has been tested for the presence of Cry9C according to the USDA recommended testing procedure;
  • That seed companies employ judicious geographic marketing for seed products that have not received worldwide approval;
  • That NCGA supports the inclusion of incentive based conservation payments for agricultural practices and;
  • That a component of a new Farm Bill should be a system of counter-cyclical payments.

In addition, NCGA's Corn Congress delegates will continue support for a farm policy that ensures American farmers are globally competitive, market responsive and environmentally responsible.

NCGA Honors Sen. Harkin with President's Award

NCGA has recognized Sen.Tom Harkin (D-Iowa) for his support and leadership on the issues of ethanol by presenting him with the NCGA President's Award. Harkin is the ranking Democratic member of the U.S. Senate Committee on Agriculture, Nutrition and Forestry. NCGA President Lee Klein presented the award to Sen. Harkin during the 2001 Commodity Classic in San Antonio, Texas. In presenting the award Klein said, "Sen. Harkin's efforts in leading the charge against the California oxygen waiver, and his commitment to protect ethanol's market opportunities in California's reformulated gasoline have earned him the thanks and respect of all corn farmers."

Corn Growers Pick Up Tips at NCGA Presidential Leadership Program

Corn growers from several states picked up pointers on how to be more effective leaders for their state and national organizations at the NCGA/Syngenta Presidential Leadership Program Feb. 23 in San Antonio, Texas, site of the 2001 Commodity Classic. The program concentrated on: what is involved in being an NCGA Board member and what it takes to be president of NCGA: and an update on the skills needed to run for a position on the Corn Board, specifically interview and public speaking skills. Grassroots Activity Sprouts on Ethanol at Commodity Classic Corn growers who attended the recent Commodity Classic in San Antonio deserve kudos for taking the time to communicate with their congressional representatives on the importance of a comprehensive energy bill that includes ethanol, biodiesel and other renewable fuels. More than 1,300 e-mail messages were sent to the Hill via NCGA's on-line Legislative Action Center. An estimated 600 growers visited NCGA's trade show booth during the three-day event. Letters can still be sent to Congress by clicking here.

Canadian Ruling Exonerates U.S. Corn Exports

The Canadian corn industry did not suffer any injury due to American subsidies of U.S. corn, according to a March 7, 2001, ruling by the Canadian International Trade Tribunal. The Tribunal's finding against the Manitoba Corn Growers Association (MCGA)-the entity that filed the claim of injury-means the case is over. Consequently, any provisional duties collected pursuant to earlier preliminary findings will be returned. NCGA worked with the office of the U.S. Trade Representative and the USDA's Foreign Agriculture Service, which resulted in the filing of a compelling brief that refuted the MCGA's claims of injury.

Railroad Expansion/Upgrade Is on Track

In a letter to the U.S. Surface Transportation Board (STB), NCGA strongly voiced its support for the Dakota Minnesota & Eastern Railroad's (DM&E) expansion and upgrade project. If the project wins federal approval, corn growers in the Upper Midwest could see higher corn prices. NCGA cited how the railroad project would benefit area growers. "First, it will improve the capacity of the existing track, allowing for larger, more efficient grain shipments. Second, it will provide competition to the Burlington Northern-Santa Fe Railroad (BNSF), and there are numerous examples of how competition benefits both shippers and carriers. Finally, this project will give corn and soybean growers in South Dakota and Western Minnesota greater market access." In terms of shipping corn to export markets, current freight rate spreads favor the Mississippi River Gulf over the Pacific Northwest. In other words, growers can make more money shipping their corn overseas via the Mississippi River rather than through ports in the Pacific Northwest. The problem for Upper Midwest growers, however, is that the BNSF's freight rates favor shipping corn to Pacific Northwest ports. NCGA encourages the STB to approve the DME's project without any additional delays, concluding that the project is vital to the economic well-being of the Upper Midwest.

Wall Street Journal Takes Cheap Shot at Ethanol

A recent Wall Street Journal editorial-with the headline "Children of the Corn" again displays the paper's bias against ethanol. Although the piece did not generate any additional media inquiries to NCGA, staff developed talking points to rebut the editorial's underlying premise. The editorial stated that, "Studies from the National Academy of Sciences, the General Accounting Office, and the EPA's own Blue Ribbon Panel have shown that oxygenates don't really do much in the way of what they are supposed to do: cut smog." NCGA's response: "This is inaccurate. . . .RFG, by its very definition, meets the VOC requirements of the law, so the argument on smog is irrelevant. . . .The federal program is also directed at reducing the mass of toxic emissions. Gasoline with oxygenates also produce a mixture of toxic emissions that exhibit a lower tendency to cause cancers than non-oxygenated gasoline." Studies submitted by NCGA and the Renewable Fuels Association (RFA) contain modeling results that indicate when oxygenates are removed from gasoline, more mass toxic emissions will occur in a mixture that has greater disease-causing potential.

EPA Report Addresses Cry9C and Wet Milling

A recently released draft white paper from EPA discounts the likelihood that the Cry9C protein will appear in wet milled products. The report stated, "EPA believes it is reasonable to conclude that there is virtually no Cry9C protein in wet milled products and that there is no likely health concern for the public associated with the consumption of any food fraction produced by wet milling of corn as long as reasonable steps are taken to ensure that StarLink corn is not diverted to wet milling." Both NCGA and EPA are calling for continued testing of corn to detect the presence of the Cry9C protein, and the diversion of such corn to animal feed or industrial uses only. EPA concluded, "Such testing will minimize the possible occurrence of shipments of corn containing StarLink from entering the wet milling process." View the EPA report. EPA also announced that split approvals would not be a future regulatory option, consistent with a position that NCGA adopted last July.

USDA Will Compensate Small Seed Companies for Cry9C Corn

The USDA's Commodity Credit Corporation (CCC) announced March 7 that it will immediately offer to buy corn seed containing Cry9C. The offer is extended only to seed companies not affiliated with Aventis, or those licensed to sell StarLink. "This is another important step in a coordinated effort between industry and government to remove Cry9C and to assure the integrity of the 2001 corn crop," said Fred Yoder, a farmer from Plain City, Ohio, and chairman of the NCGA Biotechnology Working Group. "But growers still have two responsibilities for 2001. We still need to ask for verification that the seed we buy for planting this year has been tested for Cry9C and we must control volunteer StarLink corn in 2001." USDA said that less than 1 percent of the U.S. corn seed supply contained traces of Cry9C, or about 400,000 bags. That estimate was provided to USDA by the American Seed Trade Association.

House Ag Committee Schedules NCGA for Farm Bill Hearing

Chairman Larry Combest (R-TX) promised to commence debate on the 2002 Farm Bill early in the 107th Congress, and the chairman has delivered on that promise. Just look at the hearing calendar for this month: Barley Growers (3-8); National Farmers Union (3-14); Wheat Growers (3-15); Rice Growers (3-21), American Soybean Association (3-29); and of course, National Corn Growers Association (3-28). To see the testimony of the groups that have already appeared before the House Ag Committee, log on to the committee's web site at . NCGA's testimony will be posted at www.ncga.com immediately after its delivery.

Risk Management Agency Sets Prices for 2001 Crops

On March 5, 2001, the Risk Management Agency announced prices for Crop Revenue Coverage (CRC), Income Protection (IP), Revenue Assurance (RA), and Group Risk Income Protection for 2001 crops with a sales closing date of March 15. The CRC, IP and RA plans will all offer coverage at $2.46 per bushel. The GRIP projected price is $2.45 per bushel. The Agricultural Risk Protection Act significantly increased the federal subsidy for these revenue plans. Growers should take the time to visit with a crop insurance agent to determine whether a revenue plan fits in their risk management plans before the March 15 sales closing deadline.

CEO Rick Tolman Has Great Danes Meeting

NCGA CEO Rick Tolman met March 7 at Monsanto with a group of about 25 legislators, farmers, the minister of agriculture and media from Denmark. The self-funded group was in the United States to learn about biotechnology, preparatory to addressing biotech legislative issues in Denmark. Tolman explained to the group who NCGA is and the association's work, policy and positions on biotechnology. Tolman noted that the work of the NCGA Biotech Working Group, as well as NCGA's updated policies from the recent Corn Congress at the Commodity Classic in San Antonio, were very useful in addressing the groups questions and concerns. A photo of Tolman's meeting can be seen on the NCGA web site.

NCGA Honors Staff With Service Awards

For the first quarter of the 2001 calendar year, NCGA has presented service awards to five-year recipients Bruce Knight and Rodger Mansfield and three-year employee Mary Quigley. For the year 2000, the following were recognized: Susan Keith, 10 years; Judy Hall, seven years; Mike Rohan, Brian Stockman and Kathy Baker, five years; Keira Franz, Beth Musgrove, Mike Shelby, Susan Claiborne, John McClelland and Gary Bradley, three years.

Goodyear Tires Puts Corn to the Road

Goodyear Tire & Rubber Company recently introduced a new line of tires using a starch-based filler material called BioTRED at a major European auto show in Geneva. BioTRED is a biopolymeric filler that partially replaces more conventional carbon black and silica. BioTRED is produced from cornstarch that is treated to obtain micro-droplets of starch, which is then further treated to form the filler. It has a low specific gravity, which reduces tire weight and rolling inertia.



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