north central
North Central Farmers Elevator Solutions for Your Success
Managing the Challenges Together By KEITH HAINY, General Manager
The challenge of this year’s harvest has been felt not only by customers but by your cooperative, too. It’s been experienced in the fields with tractors getting stuck, and growers having to cope with higher moisture crops. It’s been experienced here at your cooperative, with the long lines, and the handling issues created by a prolonged, high-moisture harvest. Normally, our grain division plans in advance the expected freight movement and grain sale schedules that will complement the harvest handle. This year, with all the delays, both the sales and the freight deck had to be juggled to accommodate harvest. The grain division personnel did a great job of managing all these complications. Nearly all of the trains had to be sold and then repurchased, resulting in about $100,000 in late delivery penalties. None of that amount was passed on to producers. We also experienced the risk inherent to drying so many soybeans. Drying beans is more hazardous than corn, but fortunately, we did not have any severe fires. All across the trade territory the dryers have really been put to the test this year, as they rapidly transitioned from soybeans to corn.
We are grateful for the patience you extended to us as we coped with each day’s new set of challenges. I’m also appreciative, once again, of the NCFE workforce. They, too, have been put to the test, working long hours, seven days a week—and harvest is still not over. In times like these you really realize the value of employee dedication, and the satisfaction from providing services that help customers at harvest time. In October, we were approached by the South Dakota Oilseed Processors to see if we were interested in originating their soybeans. Only a year old, SDOP is capable of processing four million bushels of soybeans annually. A marketing alliance has now been established for us
Continued on Page 2
DECEMBE R 2009
VOLUME 15 • NUMBER 6
2009 Annual Meeting Thursday, January 7th Father Bormann Hall, Ipswich 9:00 9:30
11:00 Women’s program in multi-purpose room 12:00 Lunch served
1:30
See us on the web at www.ncfe.coop
“What’s Happening in Washington?” Steve Krikava, Land O’Lakes® Washington correspondent
11:00 Agronomy & Feed Updates in main room Jared Webb, Monsanto Jarvis Haugeberg, Dakotaland Feeds
South Dakota Oilseed Processors has formed a marketing alliance with NCFE. We will be procuring all the soybeans for the SDOP processing plant. Producers will be able to take advantage of all the marketing opportunities NCFE offers.
Registration begins & input booths open.
“What’s Ahead for Agriculture?” Mark Pearson, host of Market to Market and The Big Show
3:00 Business meeting There will be no elections as all directors whose terms are up are running unopposed.
Market News
By JEREMY VANDER VORST, Benson-Quinn Branch Manager
It’s taken longer than usual, but we’ve nearly completed soybean harvest. As of late November, we are 89% done with harvest, compared to our average of 96% completion. Exports have been very good, and the soybean crush has been above average this first month of the new crop year. Right now South American weather looks good, with few threats to their crop. The delayed soybean harvest affected corn, too. Currently we are about 54% done with corn harvest, compared to an average of 89% at this time. There have been some quality problems, with mold and light test weights. If this is a concern for you, consider buying call options. Currently, March-at-the-money call options are 30 cents a bushel, so they can be a good marketing tool. Outside speculative money has caused the markets to rally the past couple of weeks. Much of this is attributed to the weakness in the U.S. dollar. Another
positive has been the ethanol marketplace. They’ve had good margins resulting in rising ethanol prices. The one bearish point we are facing is our non-competitive status in the world export market. World supplies are also quite large. We’ve seen substantial run-ups in wheat prices the last few weeks. This is largely due to outside money and short covering. Initial reports say that soft wheat acres may be down close to 20% this coming growing year. This is a result of weather delays and weak cash prices. Livestock feeding has been tough this past quarter. Due to increased feed costs, livestock margins have been poor the last few months. One of the main reasons cattle are so soft is economy-related. Fewer consumers are buying higher priced cuts of beef. With some recent appreciation in overall crop prices, I’d look at locking in some margins for next year. With input prices down somewhat from last year and recent stronger crop prices, there are some attractive sales opportunities. Please call or stop by the West Bowdle terminal with questions. My number is 877-893-0800. s
NCFE is a proud supporter of Farm Rescue.®
Managing the Challenges Together Continued from Page 1
2
to source their soybean supply. We are very excited about this partnership, and the opportunities that go with accessing the needs of this new trade area. We have a new format to our annual meeting. Since we had to change the date to accommodate our new fiscal year, we decided to also change the agenda. We’ve got a great line-up of speakers that were selected for the value their comments and information can
bring to your crop and livestock operations. We’re hopeful that this new timeframe and format will not only be more convenient for you, but also be time very well spent. All of our board members whose terms are up have been re-elected unopposed. This indicates the sense of satisfaction our members have with this board. We are truly fortunate to have such an outstanding board, one that understands the needs of the members
©2009 North Central Farmers Elevator. All Rights Reserved.
they represent, as well as what it takes to successfully direct their cooperative. My thanks to them for the tremendous amount of time they’ve put into helping this company move forward. Looking back, it’s been a year of many challenges, but we’ve also been richly blessed with a bountiful harvest. I wish each and every one a very Merry Christmas and a joyful New Year. s
Published in partnership with VistaComm® (www.VistaComm.com).
Text and Email Market Updates By Glenn Opp, Grain Origination Specialist
We have a couple of communication tools that can help you manage your marketing. They’re both free services and ensure you have the latest market information available at all times. Our text message service goes out three times a day. You’ll receive the morning opening call, the noon market call, and the closing call. Standard text message charges may apply depending on your carrier’s rate plan. Our email service includes a morning message with market calls and market forecasts. It will also include NCFE-specific news, including moistures, unloading schedules, and other timely news that can help with your harvest handle. A second email will be sent out later in the afternoon that includes a marketplace recap and other relevant market analysis. Call your branch location or our office here. Provide your email address and/or cell phone number. You can also sign up on our web page. It’s that simple. s
Soil Testing for Spring Helping With Data Management By Jon Gilbert, Chief Operating Officer, Prescription Agronomics
I hope everyone is enjoying a bountiful harvest. I know it’s been incredibly busy this fall, but it’s very important to get your soils tested for the coming crop year. With the large crops taken off this year and the abundant moisture we’ve had this fall, it’s going to be more important than ever to know your nutrient levels going into this next spring. We continue to help a growing number of livestock producers with their nutrient management plans. If you would like more information about this important aspect of your livestock operation or what services we offer, we would like the opportunity to visit with you. We can help you develop a plan that meets your needs. Ag Leader® has recently announced an exciting new product line-up. New steering systems, monitors, and GPS options are just a few of the new releases from the frontrunner in ag technology. For a complete list of the new products, go to www.agleader.com. It’s also an exciting time to be an Ag Leader dealer. The most important decision on any precision ag product purchase is the service that accompanies the product. We stand behind all of the products we sell, and look forward to serving your Ag Leader product needs. As always, we appreciate your business. Please call me at 605-216-1763 with any questions. s
By Curtis Jandel, Precision Ag Manager
Most producers have captured a lot of data from their yield monitors. But how to make the best use of it? Give me a call at 605-216-7138 and I can help you with your data management. Together we can look at your yield maps and the other data you’ve collected the past few years and pinpoint production trends across your fields. We can develop some variable rate plans and analyze the best way for you to optimize your seed and fertilizer inputs. s
Pulling Feed Samples
By Scott Kilber, Feed Specialist
Just a reminder: give us a call and we can come out and pull samples and help develop rations. We have a wide variety of products that can help you manage the nutrition needs of your operation. Our Rangeland 30-13 tubs are an excellent free choice supplement for herds out on cornstalks or dormant pastures. They help utilize available nutrition and provide supplemental protein, energy, vitamins, and trace minerals, economically. They’re on special, too: buy 16 and get a free coat. Please call me at 605-380-5262 with any questions. s
3
Ear Rot, Wet Corn, and What to Look Out For By Roxanne Knock, PhD, Nutritional-Technical Specialist, Dakotaland Feeds, LLC
We have had the coldest and wettest October on record for much of the region, and that has obviously not been conducive to corn drydown. We have been hearing numerous reports of mold showing up on corn in the fields and questions about how to handle it. The molds most commonly found during the growing conditions we have had are Fusarium ear rot and Gibberella ear rot (Red ear rot), though diploidia ear rot, cladosporium, and penicillium may also be showing up. Smut is not a toxin-former, but can back animals off feed. With the exception of cladosporium, which occurs most commonly in hail-damaged corn, the molds appear white or pink. Fusarium and Gibberella can form the toxins fumonosin, vomitoxin, and zearalenone that can be devastating to livestock. If there is mold in your corn, we need to be concerned for a couple of reasons. First, if molds are present, there is potential for toxins in both cows and bulls—and toxins can cause a number of different problems including going off feed, diarrhea, abortion, heifers in constant heat, prolapse, and infertility. Mold does not necessarily mean that toxins are present, but it does indicate that the potential is high. Secondly, mold by itself can result in decreased intakes and lost gains. We can handle this with some preventative maintenance. If you are putting up high-moisture corn (HMC), you should consider using a buffered
4
acid product to stop mold and yeast growth. These acid products are the best way to manage moldy corn. A second option would be using an inoculant like Biomax 5 at twice the rate for corn silage to help get a good fermentation to produce the acid necessary to stop mold and yeast growth. Stopping the mold and yeast growth will not eliminate toxins, but it will limit further growth and further toxin potential and help improve dry matter recovery. It will be key to pack well, provide an effective seal, and size the pile so you can manage the feed-off face. This last point is absolutely critical. If you cannot feed off the face quickly enough, the same mold you had in the field will begin growing and possibly forming more toxins as you feed it out. Sizing the pile so the feeding face is manageable will help you avoid those problems at feed out. If you can’t manage the face effectively, at least pitch the spoilage this year! It isn’t worth the risk to feed it. Ensiling and drying will not destroy toxins, so if there are toxins going into the pile or bin, they will come out of the pile or bin. Molds are more detrimental to some classes of livestock than others. Bred heifers and cows are the most at risk for toxin problems. If you have suspect grains and insist on feeding them, the order of feeding would be to feed the moldy grain to steers first, then mature bulls, growing bulls, replacement heifers, bred cows, and then bred heifers. You have too much invested in developing the bred heifers to risk aborting them at this point because of moldy, toxincontaining grain.
The safest thing to do when we know we have mold is to test for toxins. A mold count and identification will help you understand if you have a toxin-forming strain of mold. You could also have a toxin screen done to help identify potential toxins. Toxin screens are expensive, but so is a pile of dead cattle or a group of heifers that just aborted. When we know the potential for a problem is present and greater than other years, it will be worth it to know what you are dealing with. Your Livestock Production Specialist can assist you with sampling and sending the sample for analysis. Grain screenings have been a cheap source of energy in the past. This year, you need to be extremely careful if you are purchasing screenings. Cleaning grain can help knock off some of the mold and their associated toxins, meaning the highest toxin concentration is going to be in the grain screenings. Having tests run on screenings for toxins would be highly recommended. If you have toxins, dilution is the key to getting some feeding value without causing serious problems. Feeding a combination of the moldy corn with good corn will help limit potential problems (but storing moldy grain with clean grain is NOT recommended). If toxins are still high, there may be some options for a feedthrough product to bind toxins, but research on that is
limited, effectiveness is variable, and it is more cost effective to have good management, use a preservative, and dilute moldy grains. Another common question is the result of this moldy corn on distillers’ grains. Mold is not good for fermenters, but the concern for you as cattlemen is that if the corn going in to the ethanol plant contains toxins, the resulting distillers’ grains will also have toxins. We are intensively monitoring the distillers’ grains at our facilities for feed toxins and the corn suppliers are also beginning testing in earnest to ensure we have a safe product to feed our livestock. Everyone seems to be looking for a silver bullet to the problem of moldy grain, but there just is not a simple fix for this problem. Yes, we have probably all fed questionable corn before. For the most part, we may have gotten away with it, but there is always a first and this year has been very atypical all the way around. We cannot deny the potential for problems this year and the answer is to test your grain, manage it properly, and dilute moldy grain. s
Save With the Burgundy & Gold Program
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Seed * Chemicals * Fertilizer
Worry-free fuel management now underway.
Call your local agronomist for more information.
Call 605-426-6782 today for free installation.
5
Agronomy News
By Lane Mielke, Sales Manager
There’s a lot of options out there for buying seed. But you’ll find our agronomists are a lot more concerned about positioning the right seed on your soil. That’s the difference between your coop and some of the competition. We want your business, yes, but our primary goal is to ensure you receive full value on all your input investments—not just making a sale. Because our staff is local and knows their area so well, they can better help you match the seed with your soil, cropping system, and all the other interacting conditions that can make a big difference in your margins. There’s been some strength recently in the fertilizer market since its summer lows. We’ve had a good
fall fertilizer run and have already gotten a lot of product in the ground. Just keep in touch with your location over the next few weeks and months. We’ll give you all the opportunity we can to lock in good prices. Look into some of the new chemistries coming out from BASF, like Kixor.® They’re showing a lot of promise for tackling some of the weed challenges found in our fields. Once harvest is over, make some time to go over plans with your local agronomist. Talk about these new products and the other inputs that can best fit your farm. University data in our territory continues to show a 10 to 15 bushel advantage by using a pre-emerge in front of corn, versus glyphosate-only management. Your agronomist can help with recommendations for achieving a higher return on your acres. s
Call for Shop Space
By Steve Benning, Shop Manager The shop has been extremely busy. We’ve put duals on several area combines. If you have any machinery work you need done, make sure and give us a call to get your shop space lined up. Our in-stock selection of Firestone ag and truck tires has never been better—plus we can always
Earning Gift Card Rewards By Troy weig, Petroleum Manager
Go shopping on us. Earn one $75 gift card for every 100 gallons of Cenex® Superlube TMS,® Superlube 518,™ Qwiklift® HTB,® Maxtron® DEO, and/or Maxtron® THF+. These products need to be purchased from NCFE between Nov. 1, 2009 through Jan. 31, 2010 to qualify for a gift card. Bulk and packaged products count towards your gift card reward. The $75 gift cards are available from Cenex, Applebee’s,® Cabela’s,® or Sears.® You can also earn an additional $25 card for buying at least four 10-packs of Cenex-branded grease. You’re limited to only one $25 gift card per customer, and you have to qualify for the $75 gift card first. Forms are available from your petroleum department or your delivery driver. We will provide them but we cannot fill them out. Our March thru November contracts are now available. We also can put together special contracts for individual months and schedule transport loads. Give us a call if you’re interested in contracting. Check our web page for updated prices and contracts. s
6
order what you need. We are also the area’s best source for Fleetguard® filters. Later this winter NCFE will be offering used trucks, trailers, and tenders for sale, as we update some of our equipment. Watch for upcoming sale notices. s
Merry Christmas and Happy New Year! From all of us at North Central Farmers Elevator Raul Alvarez Justin Antuna Ralph Arbach Richard Arneson Pam Baer Jan Barondeau Chad Barrringer Jerry Bauer Paul Bauer Stuart Beatty Jackie Benning Steve Benning Jeff Berreth Bill Bohn Tim Borge Kyle Bowman Deb Braun Wayne Braun Mark Breidenbach Randy Carlson Corey Carter Rogelio Castaneda Cherie Carda Rick Chewakin Matt Christopherson Andy Clemen Tony Clyncke Matt Collins Bob Dahlquist Don Davis Dave Dohman Richard Douglas Delmer Droog Eric Erdmann Kade Eulberg Chad Fischbach Glen Fitch Brent Fortin Ted Frederick Shannon Frericks Jesse Frost Bob Geditz, Jr. Jennifer Geditz Mike Geditz Bruce Geffre
Jon Gilbert Ed Goehring Alfredo Gonzales Barb Gorczewski Brenda Green Tonya Haar Rick Haessig Keith Hainy Theresa Hayden Jason Heagley Kevin Herren Tammy Heupel Melissa Hirsch Glen Hodson Nora Hoffman Chuck Hogle Brett Holler Deanne Hoyle Travis Hoyle Dwight Huizenga Eric Hulm Deb Huntsinger Jon Huntsinger Dennis Hysell Larry Jakobsen Curtis Jandel Jacki Jangula Linda Johnson Veronica Johnson Morris Jones Travis Jost Dale Judkins Barb Kaiser Tom Kaiser Walt Kaiser Ron Kappes Mark Ketterling Scott Kilber Kyle Kleffman Clyle Knoll Bronson Kokales Susan Kolb Kerry Kopecky Dallas Koplin Ed Kraft
Dennis Kuehl Kelly Lofswold Cindy Lunders Celeste Lux Monica Mandernach Joel Maloney Dennis McClendon Lane Mielke Burt Misslitz Val Misslitz Mike Mitzel Dennis Moser Matt Muellenberg Breanne Neiger Brent Neiger Bryce Neiger Charlie Neuharth Mike Nickolas Kelly Nieuwsma Justin North Devin Omland Glen Opp Joey Padilla Ramiro Padilla, Jr. Ramiro Padilla, Sr. Craig Papke Kellee Persoon Sara Peterson Wade Pfaff Randy Powell Donnie Quenzer Angela Rausch Corey Reiffenberger Keith Richter Doug Roggow Mark Ross Brian Roth Loren Rozell Ed Ryckman Jay Sandness Darwin Sauer Melvin Schatz Mary Schaunaman Lee Schlosser Tim Schmidt
Dennis Schock John Schumacher Shannon Schuster Ricky Schwartz Joe Senyak Mike Senyak Stetson Senyak Steven Senyak Sonja Seymour Jason Shaykett Eric Sieh Larry Sime Mark Sivertsen Kara Sparling Stanton Spitzer Jim Stafford Jake Stephenson Karmen Stiklestad Max Stoltenburg Kevin Stoner Lyle Stotz Mark Taylor Dave Thompson Colby Tolk Dennis Tople Don Tougas Dan Trudo Bryce Turner Patty Vogel Greg Volk Bob Volk Bill Wagner Jim Waite Richal Wambach Neil Ward Dora Weideman Troy Weig Ronnie Weinrich Kent Weiszhaar Rusty Wernsmann Marietta Wientjes Rick Wolff Kent Wolforth Martin Zamora Joe Zikmund
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DIRECTORY Ipswich . . . . . . . . . . . . . . . 605-426-6021 Toll-Free . . . . . . . . . . . . . . 800-658-3353 Auto Center . . . . . . . . . . . 605-426-6782 Chemical Shed . . . . . . . . . 605-426-6999 Farm Store . . . . . . . . . . . . 605-426-6163
PO Box 366 Ipswich, SD 57451
Farm Store Toll-Free . . . . . 877-232-4692 Bowdle . . . . . . . . . . . . . . . 605-285-6533 Toll-Free . . . . . . . . . . . . . . 800-584-9286 Petroleum . . . . . . . . . . . . 605-285-6570 Craven . . . . . . . . . . . . . . . . 605-426-6591 Fertilizer . . . . . . . . . . . . . . 605-426-6535 Hague, ND . . . . . . . . . . . . . 701-336-4673 Herreid . . . . . . . . . . . . . . . 605-437-2744 Toll-Free . . . . . . . . . . . . . . 888-437-2744 Petroleum . . . . . . . . . . . . 605-437-2415 Java . . . . . . . . . . . . . . . . . . 605-649-6291 Petroleum . . . . . . . . . . . . 605-649-6241 Lebanon . . . . . . . . . . . . . . . 605-768-9465 Leola . . . . . . . . . . . . . . . . . 605-439-3137 Petroleum . . . . . . . . . . . . 605-439-3147
Effects From Huge Soybean Harvest By MIKE NICKOLAS, Grain Manager
Miller Oilseed Processing . 605-853-0260 Sun Terminal . . . . . . . . . . . 605-426-6843 Northville . . . . . . . . . . . . . 605-887-3441 Onaka . . . . . . . . . . . . . . . . 605-447-5803 Pollock . . . . . . . . . . . . . . . . 605-889-2321 Warner Elevator . . . . . . . . 605-225-8247 Petroleum . . . . . . . . . . . . 605-225-9608 Wecota . . . . . . . . . . . . . . . 605-324-3200
BOARD of DIRECTORS Richard Osterday – Java, President Larry Vetch – Onaka, Vice-President Quentin Larson – Pollock, Secretary Ken Olson, Jr. – Turton Lynn Deibert – Herreid Bryan Bauer – Mina Dale Gill – Java Dave Heidenreich – Wecota Gerald Lacher – Lebanon Derek Merkel – Leola Phillip Shanley – Warner Larry Olson – Ipswich
Our Mission: To be an agricultural leader in serving our customers’ needs with integrity, innovation, and profitability.
What a phenomenal soybean crop we have experienced across NCFE territory! When the harvest finally ended, we had total receipts of over 12 million bushels—a 50% increase over last year’s harvest receipts. We all experienced the frustration of this late and very wet harvest. With an average receipted moisture of over 14%, we had to dry a large percentage of the harvest to make our commitments of 13% to exporters. We piled over two million bushels of beans at seven different locations to help speed up the harvest. Over half of those beans were piled wet and needed to be or still need to be dried before being shipped. One of the biggest challenges we had was managing our freight position through this harvest. Typically, we have our
rail freight booked several months in advance to ensure timely placement. This year was no different. We had to sell several trains of shuttle freight for the month of October and repurchase the freight for November. This, along with discounts for not shipping beans within contract dates, cost NCFE over $100,000. We also incurred approximately $75,000 in railroad demurrage charges by not having bean trains loaded within the required time due to drying beans directly into cars. All producer contracts were extended and no discounts were levied against our patrons. The large harvest has also had a big effect on basis. Even though we had extremely good exports, the pipeline filled up and the basis widened by 50¢ from the beginning to the end of harvest. I look for the basis to firm once farmer selling slows and congestion at export eases. Thanks for your patience this past soybean harvest and thanks for marketing your grain through NCFE. s
Managing the Challenges Together By KEITH HAINY, General Manager
The challenge of this year’s harvest has been felt not only by customers but by your cooperative, too. It’s been experienced in the fields with tractors getting stuck, and growers having to cope with higher moisture crops. It’s been experienced here at your cooperative, with the long lines, and the handling issues created by a prolonged, high-moisture harvest. Normally, our grain division plans in advance the expected freight movement and grain sale schedules that will complement the harvest handle. This year, with all the delays, both the sales and the freight deck had to be juggled to accommodate harvest. The grain division personnel did a great job of managing all these complications. Nearly all of the trains had to be sold and then repurchased, resulting in about $100,000 in late delivery penalties. None of that amount was passed on to producers. We also experienced the risk inherent to drying so many soybeans. Drying beans is more hazardous than corn, but fortunately, we did not have any severe fires. All across the trade territory the dryers have really been put to the test this year, as they rapidly transitioned from soybeans to corn.
We are grateful for the patience you extended to us as we coped with each day’s new set of challenges. I’m also appreciative, once again, of the NCFE workforce. They, too, have been put to the test, working long hours, seven days a week—and harvest is still not over. In times like these you really realize the value of employee dedication, and the satisfaction from providing services that help customers at harvest time. In October, we were approached by the South Dakota Oilseed Processors to see if we were interested in originating their soybeans. Only a year old, SDOP is capable of processing four million bushels of soybeans annually. A marketing alliance has now been established for us
Continued on Page 2
DECEMBE R 2009
VOLUME 15 • NUMBER 6
2009 Annual Meeting Thursday, January 7th Father Bormann Hall, Ipswich 9:00 9:30
11:00 Women’s program in multi-purpose room 12:00 Lunch served
1:30
See us on the web at www.ncfe.coop
“What’s Happening in Washington?” Steve Krikava, Land O’Lakes® Washington correspondent
11:00 Agronomy & Feed Updates in main room Jared Webb, Monsanto Jarvis Haugeberg, Dakotaland Feeds
South Dakota Oilseed Processors has formed a marketing alliance with NCFE. We will be procuring all the soybeans for the SDOP processing plant. Producers will be able to take advantage of all the marketing opportunities NCFE offers.
Registration begins & input booths open.
“What’s Ahead for Agriculture?” Mark Pearson, host of Market to Market and The Big Show
3:00 Business meeting There will be no elections as all directors whose terms are up are running unopposed.
Market News
By JEREMY VANDER VORST, Benson-Quinn Branch Manager
It’s taken longer than usual, but we’ve nearly completed soybean harvest. As of late November, we are 89% done with harvest, compared to our average of 96% completion. Exports have been very good, and the soybean crush has been above average this first month of the new crop year. Right now South American weather looks good, with few threats to their crop. The delayed soybean harvest affected corn, too. Currently we are about 54% done with corn harvest, compared to an average of 89% at this time. There have been some quality problems, with mold and light test weights. If this is a concern for you, consider buying call options. Currently, March-at-the-money call options are 30 cents a bushel, so they can be a good marketing tool. Outside speculative money has caused the markets to rally the past couple of weeks. Much of this is attributed to the weakness in the U.S. dollar. Another
positive has been the ethanol marketplace. They’ve had good margins resulting in rising ethanol prices. The one bearish point we are facing is our non-competitive status in the world export market. World supplies are also quite large. We’ve seen substantial run-ups in wheat prices the last few weeks. This is largely due to outside money and short covering. Initial reports say that soft wheat acres may be down close to 20% this coming growing year. This is a result of weather delays and weak cash prices. Livestock feeding has been tough this past quarter. Due to increased feed costs, livestock margins have been poor the last few months. One of the main reasons cattle are so soft is economy-related. Fewer consumers are buying higher priced cuts of beef. With some recent appreciation in overall crop prices, I’d look at locking in some margins for next year. With input prices down somewhat from last year and recent stronger crop prices, there are some attractive sales opportunities. Please call or stop by the West Bowdle terminal with questions. My number is 877-893-0800. s
NCFE is a proud supporter of Farm Rescue.®
Managing the Challenges Together Continued from Page 1
2
to source their soybean supply. We are very excited about this partnership, and the opportunities that go with accessing the needs of this new trade area. We have a new format to our annual meeting. Since we had to change the date to accommodate our new fiscal year, we decided to also change the agenda. We’ve got a great line-up of speakers that were selected for the value their comments and information can
bring to your crop and livestock operations. We’re hopeful that this new timeframe and format will not only be more convenient for you, but also be time very well spent. All of our board members whose terms are up have been re-elected unopposed. This indicates the sense of satisfaction our members have with this board. We are truly fortunate to have such an outstanding board, one that understands the needs of the members
©2009 North Central Farmers Elevator. All Rights Reserved.
they represent, as well as what it takes to successfully direct their cooperative. My thanks to them for the tremendous amount of time they’ve put into helping this company move forward. Looking back, it’s been a year of many challenges, but we’ve also been richly blessed with a bountiful harvest. I wish each and every one a very Merry Christmas and a joyful New Year. s
Published in partnership with VistaComm® (www.VistaComm.com).
Text and Email Market Updates By Glenn Opp, Grain Origination Specialist
We have a couple of communication tools that can help you manage your marketing. They’re both free services and ensure you have the latest market information available at all times. Our text message service goes out three times a day. You’ll receive the morning opening call, the noon market call, and the closing call. Standard text message charges may apply depending on your carrier’s rate plan. Our email service includes a morning message with market calls and market forecasts. It will also include NCFE-specific news, including moistures, unloading schedules, and other timely news that can help with your harvest handle. A second email will be sent out later in the afternoon that includes a marketplace recap and other relevant market analysis. Call your branch location or our office here. Provide your email address and/or cell phone number. You can also sign up on our web page. It’s that simple. s
Soil Testing for Spring Helping With Data Management By Jon Gilbert, Chief Operating Officer, Prescription Agronomics
I hope everyone is enjoying a bountiful harvest. I know it’s been incredibly busy this fall, but it’s very important to get your soils tested for the coming crop year. With the large crops taken off this year and the abundant moisture we’ve had this fall, it’s going to be more important than ever to know your nutrient levels going into this next spring. We continue to help a growing number of livestock producers with their nutrient management plans. If you would like more information about this important aspect of your livestock operation or what services we offer, we would like the opportunity to visit with you. We can help you develop a plan that meets your needs. Ag Leader® has recently announced an exciting new product line-up. New steering systems, monitors, and GPS options are just a few of the new releases from the frontrunner in ag technology. For a complete list of the new products, go to www.agleader.com. It’s also an exciting time to be an Ag Leader dealer. The most important decision on any precision ag product purchase is the service that accompanies the product. We stand behind all of the products we sell, and look forward to serving your Ag Leader product needs. As always, we appreciate your business. Please call me at 605-216-1763 with any questions. s
By Curtis Jandel, Precision Ag Manager
Most producers have captured a lot of data from their yield monitors. But how to make the best use of it? Give me a call at 605-216-7138 and I can help you with your data management. Together we can look at your yield maps and the other data you’ve collected the past few years and pinpoint production trends across your fields. We can develop some variable rate plans and analyze the best way for you to optimize your seed and fertilizer inputs. s
Pulling Feed Samples
By Scott Kilber, Feed Specialist
Just a reminder: give us a call and we can come out and pull samples and help develop rations. We have a wide variety of products that can help you manage the nutrition needs of your operation. Our Rangeland 30-13 tubs are an excellent free choice supplement for herds out on cornstalks or dormant pastures. They help utilize available nutrition and provide supplemental protein, energy, vitamins, and trace minerals, economically. They’re on special, too: buy 16 and get a free coat. Please call me at 605-380-5262 with any questions. s
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Ear Rot, Wet Corn, and What to Look Out For By Roxanne Knock, PhD, Nutritional-Technical Specialist, Dakotaland Feeds, LLC
We have had the coldest and wettest October on record for much of the region, and that has obviously not been conducive to corn drydown. We have been hearing numerous reports of mold showing up on corn in the fields and questions about how to handle it. The molds most commonly found during the growing conditions we have had are Fusarium ear rot and Gibberella ear rot (Red ear rot), though diploidia ear rot, cladosporium, and penicillium may also be showing up. Smut is not a toxin-former, but can back animals off feed. With the exception of cladosporium, which occurs most commonly in hail-damaged corn, the molds appear white or pink. Fusarium and Gibberella can form the toxins fumonosin, vomitoxin, and zearalenone that can be devastating to livestock. If there is mold in your corn, we need to be concerned for a couple of reasons. First, if molds are present, there is potential for toxins in both cows and bulls—and toxins can cause a number of different problems including going off feed, diarrhea, abortion, heifers in constant heat, prolapse, and infertility. Mold does not necessarily mean that toxins are present, but it does indicate that the potential is high. Secondly, mold by itself can result in decreased intakes and lost gains. We can handle this with some preventative maintenance. If you are putting up high-moisture corn (HMC), you should consider using a buffered
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acid product to stop mold and yeast growth. These acid products are the best way to manage moldy corn. A second option would be using an inoculant like Biomax 5 at twice the rate for corn silage to help get a good fermentation to produce the acid necessary to stop mold and yeast growth. Stopping the mold and yeast growth will not eliminate toxins, but it will limit further growth and further toxin potential and help improve dry matter recovery. It will be key to pack well, provide an effective seal, and size the pile so you can manage the feed-off face. This last point is absolutely critical. If you cannot feed off the face quickly enough, the same mold you had in the field will begin growing and possibly forming more toxins as you feed it out. Sizing the pile so the feeding face is manageable will help you avoid those problems at feed out. If you can’t manage the face effectively, at least pitch the spoilage this year! It isn’t worth the risk to feed it. Ensiling and drying will not destroy toxins, so if there are toxins going into the pile or bin, they will come out of the pile or bin. Molds are more detrimental to some classes of livestock than others. Bred heifers and cows are the most at risk for toxin problems. If you have suspect grains and insist on feeding them, the order of feeding would be to feed the moldy grain to steers first, then mature bulls, growing bulls, replacement heifers, bred cows, and then bred heifers. You have too much invested in developing the bred heifers to risk aborting them at this point because of moldy, toxincontaining grain.
The safest thing to do when we know we have mold is to test for toxins. A mold count and identification will help you understand if you have a toxin-forming strain of mold. You could also have a toxin screen done to help identify potential toxins. Toxin screens are expensive, but so is a pile of dead cattle or a group of heifers that just aborted. When we know the potential for a problem is present and greater than other years, it will be worth it to know what you are dealing with. Your Livestock Production Specialist can assist you with sampling and sending the sample for analysis. Grain screenings have been a cheap source of energy in the past. This year, you need to be extremely careful if you are purchasing screenings. Cleaning grain can help knock off some of the mold and their associated toxins, meaning the highest toxin concentration is going to be in the grain screenings. Having tests run on screenings for toxins would be highly recommended. If you have toxins, dilution is the key to getting some feeding value without causing serious problems. Feeding a combination of the moldy corn with good corn will help limit potential problems (but storing moldy grain with clean grain is NOT recommended). If toxins are still high, there may be some options for a feedthrough product to bind toxins, but research on that is
limited, effectiveness is variable, and it is more cost effective to have good management, use a preservative, and dilute moldy grains. Another common question is the result of this moldy corn on distillers’ grains. Mold is not good for fermenters, but the concern for you as cattlemen is that if the corn going in to the ethanol plant contains toxins, the resulting distillers’ grains will also have toxins. We are intensively monitoring the distillers’ grains at our facilities for feed toxins and the corn suppliers are also beginning testing in earnest to ensure we have a safe product to feed our livestock. Everyone seems to be looking for a silver bullet to the problem of moldy grain, but there just is not a simple fix for this problem. Yes, we have probably all fed questionable corn before. For the most part, we may have gotten away with it, but there is always a first and this year has been very atypical all the way around. We cannot deny the potential for problems this year and the answer is to test your grain, manage it properly, and dilute moldy grain. s
Save With the Burgundy & Gold Program
Automated Fuel Delivery System
Seed * Chemicals * Fertilizer
Worry-free fuel management now underway.
Call your local agronomist for more information.
Call 605-426-6782 today for free installation.
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Agronomy News
By Lane Mielke, Sales Manager
There’s a lot of options out there for buying seed. But you’ll find our agronomists are a lot more concerned about positioning the right seed on your soil. That’s the difference between your coop and some of the competition. We want your business, yes, but our primary goal is to ensure you receive full value on all your input investments—not just making a sale. Because our staff is local and knows their area so well, they can better help you match the seed with your soil, cropping system, and all the other interacting conditions that can make a big difference in your margins. There’s been some strength recently in the fertilizer market since its summer lows. We’ve had a good
fall fertilizer run and have already gotten a lot of product in the ground. Just keep in touch with your location over the next few weeks and months. We’ll give you all the opportunity we can to lock in good prices. Look into some of the new chemistries coming out from BASF, like Kixor.® They’re showing a lot of promise for tackling some of the weed challenges found in our fields. Once harvest is over, make some time to go over plans with your local agronomist. Talk about these new products and the other inputs that can best fit your farm. University data in our territory continues to show a 10 to 15 bushel advantage by using a pre-emerge in front of corn, versus glyphosate-only management. Your agronomist can help with recommendations for achieving a higher return on your acres. s
Call for Shop Space
By Steve Benning, Shop Manager The shop has been extremely busy. We’ve put duals on several area combines. If you have any machinery work you need done, make sure and give us a call to get your shop space lined up. Our in-stock selection of Firestone ag and truck tires has never been better—plus we can always
Earning Gift Card Rewards By Troy weig, Petroleum Manager
Go shopping on us. Earn one $75 gift card for every 100 gallons of Cenex® Superlube TMS,® Superlube 518,™ Qwiklift® HTB,® Maxtron® DEO, and/or Maxtron® THF+. These products need to be purchased from NCFE between Nov. 1, 2009 through Jan. 31, 2010 to qualify for a gift card. Bulk and packaged products count towards your gift card reward. The $75 gift cards are available from Cenex, Applebee’s,® Cabela’s,® or Sears.® You can also earn an additional $25 card for buying at least four 10-packs of Cenex-branded grease. You’re limited to only one $25 gift card per customer, and you have to qualify for the $75 gift card first. Forms are available from your petroleum department or your delivery driver. We will provide them but we cannot fill them out. Our March thru November contracts are now available. We also can put together special contracts for individual months and schedule transport loads. Give us a call if you’re interested in contracting. Check our web page for updated prices and contracts. s
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order what you need. We are also the area’s best source for Fleetguard® filters. Later this winter NCFE will be offering used trucks, trailers, and tenders for sale, as we update some of our equipment. Watch for upcoming sale notices. s
Merry Christmas and Happy New Year! From all of us at North Central Farmers Elevator Raul Alvarez Justin Antuna Ralph Arbach Richard Arneson Pam Baer Jan Barondeau Chad Barrringer Jerry Bauer Paul Bauer Stuart Beatty Jackie Benning Steve Benning Jeff Berreth Bill Bohn Tim Borge Kyle Bowman Deb Braun Wayne Braun Mark Breidenbach Randy Carlson Corey Carter Rogelio Castaneda Cherie Carda Rick Chewakin Matt Christopherson Andy Clemen Tony Clyncke Matt Collins Bob Dahlquist Don Davis Dave Dohman Richard Douglas Delmer Droog Eric Erdmann Kade Eulberg Chad Fischbach Glen Fitch Brent Fortin Ted Frederick Shannon Frericks Jesse Frost Bob Geditz, Jr. Jennifer Geditz Mike Geditz Bruce Geffre
Jon Gilbert Ed Goehring Alfredo Gonzales Barb Gorczewski Brenda Green Tonya Haar Rick Haessig Keith Hainy Theresa Hayden Jason Heagley Kevin Herren Tammy Heupel Melissa Hirsch Glen Hodson Nora Hoffman Chuck Hogle Brett Holler Deanne Hoyle Travis Hoyle Dwight Huizenga Eric Hulm Deb Huntsinger Jon Huntsinger Dennis Hysell Larry Jakobsen Curtis Jandel Jacki Jangula Linda Johnson Veronica Johnson Morris Jones Travis Jost Dale Judkins Barb Kaiser Tom Kaiser Walt Kaiser Ron Kappes Mark Ketterling Scott Kilber Kyle Kleffman Clyle Knoll Bronson Kokales Susan Kolb Kerry Kopecky Dallas Koplin Ed Kraft
Dennis Kuehl Kelly Lofswold Cindy Lunders Celeste Lux Monica Mandernach Joel Maloney Dennis McClendon Lane Mielke Burt Misslitz Val Misslitz Mike Mitzel Dennis Moser Matt Muellenberg Breanne Neiger Brent Neiger Bryce Neiger Charlie Neuharth Mike Nickolas Kelly Nieuwsma Justin North Devin Omland Glen Opp Joey Padilla Ramiro Padilla, Jr. Ramiro Padilla, Sr. Craig Papke Kellee Persoon Sara Peterson Wade Pfaff Randy Powell Donnie Quenzer Angela Rausch Corey Reiffenberger Keith Richter Doug Roggow Mark Ross Brian Roth Loren Rozell Ed Ryckman Jay Sandness Darwin Sauer Melvin Schatz Mary Schaunaman Lee Schlosser Tim Schmidt
Dennis Schock John Schumacher Shannon Schuster Ricky Schwartz Joe Senyak Mike Senyak Stetson Senyak Steven Senyak Sonja Seymour Jason Shaykett Eric Sieh Larry Sime Mark Sivertsen Kara Sparling Stanton Spitzer Jim Stafford Jake Stephenson Karmen Stiklestad Max Stoltenburg Kevin Stoner Lyle Stotz Mark Taylor Dave Thompson Colby Tolk Dennis Tople Don Tougas Dan Trudo Bryce Turner Patty Vogel Greg Volk Bob Volk Bill Wagner Jim Waite Richal Wambach Neil Ward Dora Weideman Troy Weig Ronnie Weinrich Kent Weiszhaar Rusty Wernsmann Marietta Wientjes Rick Wolff Kent Wolforth Martin Zamora Joe Zikmund
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DIRECTORY Ipswich . . . . . . . . . . . . . . . 605-426-6021 Toll-Free . . . . . . . . . . . . . . 800-658-3353 Auto Center . . . . . . . . . . . 605-426-6782 Chemical Shed . . . . . . . . . 605-426-6999 Farm Store . . . . . . . . . . . . 605-426-6163
PO Box 366 Ipswich, SD 57451
Farm Store Toll-Free . . . . . 877-232-4692 Bowdle . . . . . . . . . . . . . . . 605-285-6533 Toll-Free . . . . . . . . . . . . . . 800-584-9286 Petroleum . . . . . . . . . . . . 605-285-6570 Craven . . . . . . . . . . . . . . . . 605-426-6591 Fertilizer . . . . . . . . . . . . . . 605-426-6535 Hague, ND . . . . . . . . . . . . . 701-336-4673 Herreid . . . . . . . . . . . . . . . 605-437-2744 Toll-Free . . . . . . . . . . . . . . 888-437-2744 Petroleum . . . . . . . . . . . . 605-437-2415 Java . . . . . . . . . . . . . . . . . . 605-649-6291 Petroleum . . . . . . . . . . . . 605-649-6241 Lebanon . . . . . . . . . . . . . . . 605-768-9465 Leola . . . . . . . . . . . . . . . . . 605-439-3137 Petroleum . . . . . . . . . . . . 605-439-3147
Effects From Huge Soybean Harvest By MIKE NICKOLAS, Grain Manager
Miller Oilseed Processing . 605-853-0260 Sun Terminal . . . . . . . . . . . 605-426-6843 Northville . . . . . . . . . . . . . 605-887-3441 Onaka . . . . . . . . . . . . . . . . 605-447-5803 Pollock . . . . . . . . . . . . . . . . 605-889-2321 Warner Elevator . . . . . . . . 605-225-8247 Petroleum . . . . . . . . . . . . 605-225-9608 Wecota . . . . . . . . . . . . . . . 605-324-3200
BOARD of DIRECTORS Richard Osterday – Java, President Larry Vetch – Onaka, Vice-President Quentin Larson – Pollock, Secretary Ken Olson, Jr. – Turton Lynn Deibert – Herreid Bryan Bauer – Mina Dale Gill – Java Dave Heidenreich – Wecota Gerald Lacher – Lebanon Derek Merkel – Leola Phillip Shanley – Warner Larry Olson – Ipswich
Our Mission: To be an agricultural leader in serving our customers’ needs with integrity, innovation, and profitability.
What a phenomenal soybean crop we have experienced across NCFE territory! When the harvest finally ended, we had total receipts of over 12 million bushels—a 50% increase over last year’s harvest receipts. We all experienced the frustration of this late and very wet harvest. With an average receipted moisture of over 14%, we had to dry a large percentage of the harvest to make our commitments of 13% to exporters. We piled over two million bushels of beans at seven different locations to help speed up the harvest. Over half of those beans were piled wet and needed to be or still need to be dried before being shipped. One of the biggest challenges we had was managing our freight position through this harvest. Typically, we have our
rail freight booked several months in advance to ensure timely placement. This year was no different. We had to sell several trains of shuttle freight for the month of October and repurchase the freight for November. This, along with discounts for not shipping beans within contract dates, cost NCFE over $100,000. We also incurred approximately $75,000 in railroad demurrage charges by not having bean trains loaded within the required time due to drying beans directly into cars. All producer contracts were extended and no discounts were levied against our patrons. The large harvest has also had a big effect on basis. Even though we had extremely good exports, the pipeline filled up and the basis widened by 50¢ from the beginning to the end of harvest. I look for the basis to firm once farmer selling slows and congestion at export eases. Thanks for your patience this past soybean harvest and thanks for marketing your grain through NCFE. s
