Weekly Update for
September 12

Farmers and lenders were on Capitol Hill this week in a united effort to get a bipartisan, long-term farm bill across the finish line before the end of the year that makes a meaningful investment in the farm safety net. In addition to NAWG,  the National Corn Growers Association, American Soybean Association, National Cotton Council, U.S. Peanut Federation, Southwest Council of Agribusiness, National Sorghum Producers, USA Rice, Farm Credit Council, and the American Bankers Association had over 50 representatives in Washington, DC, highlighting the financial pressure building across U.S. agriculture. The groups met at the NAWG office for a briefing before breaking into multi-commodity groups, and meeting with nearly 100 hill offices and Congressional leaders. The groups emphasized Congress must act before the end of the year to strengthen farm policy for America’s farmers and highlighted the weakening market prices, increased cost of production, and overall financial situation in the farm economy. Ahead of the hill visits, national commodity groups organized a letter to congressional leadership reiterating this need, which signed by over 300 organizations. This week's fly-in included a robust media rollout. Growers from many of the organizations had op-eds and interviews run in national, agriculture, and local media outlets. Groups also had advertisements run on all major news networks to spread our message far and wide. This week’s fly-in was a success, and NAWG remains hopeful of passing a robust farm bill this year.

On September 12, NAWG President Keeff Felty published an oped in Agri-Pulse urging the passage of a farm bill this year that includes NAWG’s policy priorities. “Lawmakers in Washington, D.C. must hear from wheat growers directly.  There is no time to waste when it comes to getting a bipartisan, long-term farm bill across the finish line that makes a meaningful investment in the farm safety net. We need a farm bill that works for farmers and rural communities across the country. When our farmers and rural communities succeed, everyone succeeds.” Read the entire oped below.

Registration is now open for the NAWG/USW 2024 Fall Meeting! This event is scheduled for Tuesday, November 12 through Thursday, November 14, 2024, in Phoenix, AZ, at The Sheraton Grand at Wild Horse Pass Hotel. We would everyone to arrive in time to attend the National Wheat Foundation board meeting at 1:00 PM on Tuesday, November 12.The NAWG board of directors meeting is scheduled to end at noon on Thursday, November 14. The Phoenix Sky Harbor International Airport is a 20-minute drive from the hotel. Please plan your travel accordingly. You will find everything you need on our Wheat Industry Fall Conference website page.

On September 12, the U.S. Department of Commerce released a recommendation to impose preliminary countervailing duty rates on imports of the herbicide 2,4-D. Most notability these tariffs would impose higher prices on herbicides coming from India and China. The decision comes at the behest of Corteva Agriscience, which filed a petition earlier this year calling for antidumping and countervailing duties on imports of herbicide 2,4-D from certain foreign suppliers. “As NAWG and others outlined in submissions to the International Trade Commission, moving forward with these antidumping and countervailing duties on imports will make it difficult to access supplies of these products and place enormous strain on our growers” said NAWG Vice President Jake Westlin. NAWG will continue on to work with Commerce and the ITC before a final determination in 2025.

On September 5, USDA Economic Research updated their updated 2024 net farm income estimations. After reaching record highs in 2022, farm sector income is forecast to fall in 2024 but at a slower rate than it fell in 2023. Net farm income, a broad measure of profits, reached $182.0 billion in calendar year 2022 in nominal dollars. After decreasing by $35.6 billion (19.5 percent) from 2022 to $146.5 billion in 2023, net farm income in 2024 is forecast to decrease $6.5 billion (4.4 percent) to $140.0 billion. Net cash farm income reached $210.1 billion in 2022. After decreasing by $44.0 billion (20.9 percent) from 2022 to $166.1 billion in 2023, net cash farm income is forecast to decrease by $12.0 billion (7.2 percent) to $154.1 billion in 2024. Reade the full report below.

On September 6, Chairman GT Thompson shared his thoughts on USDA’s 2024 Farm Sector Income Forecast. "USDA's September update to the farm financial outlook continues to present a bleak picture. Declining commodity prices, record farm production costs driven by the reckless spending of the Biden-Harris Administration, the largest agricultural trade deficit on record, and an outdated farm safety net threaten to wipe out family farms across the country. These numbers are more than data points on spreadsheets, they tell a story of struggling American farmers desperate for relief, certainty, and stability. The bipartisan Farm, Food, and National Security Act of 2024 is the legislative remedy our rural communities so desperately need. "It’s time to put partisan bickering and red lines aside and pass a farm bill." On September 6, Chairwoman Debbie Stabenow released her statement on USDA’s 2024 Farm Sector Income Forecast. “It’s absolutely unacceptable that food insecurity rates increased for the second year in a row and that farm income has continued to decline. No one should worry about putting food on the table in this country, and farmers, big and small, should not have to worry about whether or not they will be able to make ends meet. These reports confirm what we already knew. We need a Farm Bill that protects critical food assistance for families and provides the support farmers need to thrive. A Farm Bill that helps a single mother keep her family fed and healthy, and a Farm Bill that lays the groundwork to ensure that a farmer can pass their operation onto the next generation. This has always been the foundation of the Farm Bill, pairing the farm and family coalitions together and working toward a common goal – not pitting one against the other. When the Senate returns next week, I am determined to do everything in my power to pass a Farm Bill that keeps families fed, farmers farming, and rural communities strong.”

On September 5, USDA Secretary Vilsack released his statement on the 2024 Farm Sector Income Forecast. His statement recognizes the impacts of COVID-19 and the Ukraine conflict as reasons for the decreased income. However he focuses on the overall income being higher than the 20-year average. Additionally, he shares how the Biden-Harris administration is focused on climate-smart conservation, expanded markets, and creating a “more resilient, robust and diversified food and farm sector.”

On September 5, the Texas Wheat Producers Board and Association has appointed their new Executive Director Steelee Fischbacher. Her experience with Texas wheat dates to her time as the associations Director of Communications and Director of Policy. She obtained her undergraduate degree in animal science from Texas A&M University and master’s in agriculture communications from Texas Tech University. She shares, “From day one, my top priority has been serving wheat farmers across the state. I look forward to partnering with our dedicated board, staff and members to uphold this tradition as we address the challenges and take advantage of the opportunities that lie ahead.”

On September 11, House Agriculture Committee held a hearing on food distribution disruption for elderly and tribal communities. The USDA admitted there were issues with deliveries by contractor Prais Brother Inc impacting 800,00 participants in the program. Currently the USDA is using funds from the Commodity Credit Corporation to fix the error. Ranking members Scott and Hayes pushed the impact these disruptions have made on their elderly communities in both Georgia and Connecticut. Representative Scott also empathized the need for Paris Brothers Inc to testify if they can fulfill the USDA contract to distribute products to these communities.

The 2024/25 U.S. wheat outlook is unchanged relative to last month. The projected season-average farm price remains at $5.70 per bushel. The global wheat outlook for 2024/25 is for larger supplies, consumption, trade, and ending stocks. Supplies are projected to increase 1.5 million tons to 1,062.1 million as higher beginning stocks more than offset lower production. Beginning stocks are raised primarily on Canada as Statistics Canada 2023/24 ending stocks were significantly higher than USDA’s previous estimate. Canada’s ending stocks were also raised substantially higher for 2021/22 and 2022/23 based on Statistics Canada revisions. World wheat production is lowered 1.4 million tons to 796.9 million, but remains a record, as a reduction in the EU is only partially offset by higher production for Australia and Ukraine. The EU is reduced 4.0 million tons to 124.0 million on unfavorable harvest weather for France and Germany. Australia’s production is raised 2.0 million tons to 32.0 million on favorable conditions in Western Australia, New South Wales, and Queensland. Ukraine is raised 0.7 million tons to 22.3 million based on harvest data released by the Ministry of Agriculture.

You have about 2 weeks to get your harvest data in to the website. October 1 is the deadline. Please put in your harvest data and if you have any questions, contact Anne Osborne (aosborne@wheatworld.org). Thanks for entering and good luck! 

Would you be interested in becoming a better leader for your state or the National Association of Wheat Growers? There are limited spots available for the Syngenta Leadership at Its Best program, which will be held in the Washington, DC area the week of February 3. Please get your application in to Anne Osborne (aosborne@wheatworld.org) asap if you are interested in this program. More information can be found below.