Agriculture News
Elanco IPO launched, shares begin trading on NYSE
Watt Ag Net | Posted on September 24, 2018Elanco Animal Health began trading on the New York Stock Exchange (NYSE) on September 20 under the ticker symbol “ELAN.” “A historic day for Elanco! A tribute to our 5,800 team members who made it happen, and the amazing farmers, veterinarians and pet owners we serve,” Elanco President Jeff Simmons posted on Twitterto commemorate the IPO. The pricing of its initial public offering (IPO) of 62.9 million shares of its common stock began selling at a price to the public of $24 per share. The stock’s value grew throughout the day, as Bloombergreported that shares rose to $32.11 as of 11:40 a.m., giving it a market value of $11.7 billion.The offering is expected to close on September 24, 2018, subject to customary closing conditions.
Cabot Creamery enduring major losses in U.S.-China trade war
VT Digger | Posted on September 24, 2018Agri-Mark, the company that owns Cabot Creamery, could continue to lose millions of dollars in revenue following President Trump’s announcement Monday of tariffs on $200 billion worth of goods from China and Beijing’s response the next day that it would tax $60 billion worth of U.S. goods — including almost all dairy products. For dairy companies like [Agri-Mark], which merged with Cabot in the 1990s and has one third of the dairy farms in New England in its cooperative, news of more tariffs is not good for business. China is the third largest market for U.S. dairy products.Although Agri-Mark doesn’t ship much Cabot cheese to China, its plant in Middlebury has been exporting 30 million of the 40 million pounds of whey products it produces each year to the Chinese market.
Got milk? New York sure does as report shows how crucial farming is to state
The Daily News | Posted on September 24, 2018New York certainly has got milk and an assortment of products made from milk. And apples and grapes and cabbage, corn and beans.Oh, and maple syrup.All of those products rank in the top five in the nation when it comes to production, with New York taking the top spot for producing cottage cheese, sour cream and yogurt. In fact, 15 agriculture products produced in New York are in the top five nationwide, according to a report released Thursday by state Comptroller Thomas P. DiNapoli. New York farms, the report says, generated $4.8 billion in revenue in 2017.Milk and its byproducts were by far the state’s largest commodity, with $2.7 billion in sales last year.New York has about 620,000 milk cows, with Wyoming County having the most at 47,500. Genesee County ranked fourth, with 29,500 milk cows.
Swiss reject agriculture schemes in national vote
The Local | Posted on September 24, 2018Voters across Switzerland on Sunday resoundingly rejected initiatives aimed at boosting local farming and promoting more ethical and environmental standards in food production, amid fears of cost hikes and reduced consumer choice. Voters rejected two schemes linked to agriculture and food security, as well as protection for Swiss farmers against cheap food imports. The "Food Sovereignty" initiative, which had the backing of Switzerland's powerful farmers' union, had among other things called for turning a moratorium on genetically modified organisms (GMO) into a total ban.Early polls had suggested strong backing for both initiatives, but support fell after the government, parliament and other opponents argued they could send prices skyrocketing, limit consumer choice and might violate Switzerland's international trade obligations.Geneva and three other French-speaking cantons supported both initiatives, but the German-speaking part of the country voted massively against them.
SARL VP's farm wins 2018 Grower Achievement Award
Growing Produce | Posted on September 20, 2018Autryville, NC-based Jackson Farming Company is the 2018 winner of American Vegetable Grower's prestigious Grower Achievement Award. First generation growers Brent and Debbie Jackson and their son Rodney Jackson demonstrate what can be accomplished when you’re willing to aim for long-term success.The Jackson Family will receive the American Vegetable Grower Grower Achievement Award in Washington, D.C., on September 24, 2018, during the United Fresh Produce Association’s Washington Conference. United Fresh partners with American Vegetable Grower in selecting and celebrating the Grower Achievement Award winner. The Jackson’s achievements over the past 37 years impressed the judges. Many in the industry think only multi-generation operations can reach the heights Jackson Farming Company has reached. The parents-and-son team of Brent and Debbie Jackson, along with second-generation grower Rodney, show their blend of risk-taking and a long-term focus on sustainability can let you reach great heights.” Senator Brent Jackson serves as SARL's 2nd Vice President.
SARL member Manitoba Minister Ralph Eichler signs MOU with Indiana
Cass Network | Posted on September 20, 2018Lt. Governor Suzanne Crouch, Indiana State Department of Agriculture Director Bruce Kettler and members of the Indiana agricultural delegation met with officials from Canada’s Manitoba Province today to discuss opportunities to grow both regions’ agricultural sectors. Through a signed memorandum of understanding, the Indiana and Manitoba departments of agriculture agreed to facilitate cooperation in several areas including agricultural research and development, youth education and leadership, and trade investment – all for the purpose of mutual economic growth. The agricultural sector has been a key driver of trade and economic growth in both Manitoba and Indiana. Through the MOU, the two regions will encourage stronger partnerships between researchers, innovation leaders, businesses, and young farmers, and will share information and best practices to help each jurisdiction make the most of new opportunities to drive growth and innovation in agriculture and related sectors.“Indiana and Manitoba share common priorities and strengths in the agricultural sector that provide excellent opportunities for more collaboration and information sharing,” said Ralph Eichler, Manitoba’s Minister of Agriculture.
FAPRI Update: U.S. Net Farm Income Projected to Decline
Illinois Farm Policy News | Posted on September 20, 2018FAPRI indicated that, “Large crops and trade disputes put downward pressure on U.S. farm commodity prices and farm income. Even considering the initial round of market facilitation program (MFP) payments, U.S. net farm income is projected to decline slightly in 2018 and again in 2019.” For background, the baseline update explained that, “The farm income projections incorporate the initial round of MFP payments, announced on August 27, 2018, that provide compensation for losses incurred because of trade disputes. We assume $4.0 billion in MFP payments will be made in calendar year 2018 and another $0.7 billion in 2019. No additional MFP payments are assumed, even though it is possible that a second round will be announced later this year.“Two important caveats: First, these estimates do not reflect any commodity market developments since August 2018, such as changes in the estimated size of the 2018 crop. Second, while MFP payments are included in these farm income estimates, they were not considered in the commodity market projections which were prepared before the payments were announced. In future baseline projections, we will consider possible com- modity supply and price effects of MFP payments.” After analyzing these variables, the FAPRI update noted that, “Net farm income declines by $3 billion in 2018, as the effect of higher production costs more than offsets the increases in cash receipts and payments.”
Rising US-China trade tensions 'couldn't come at a worse time': Iowa agriculture secretary
CNBC | Posted on September 20, 2018The ratcheting of the U.S.-China trade war is unfortunate and comes at a lousy time for farmers, according to Iowa Agriculture Commissioner Mike Naig. The state official said farmers in Iowa are in the harvest season for key crops such as soybeans and corn, which are among the farm commodities already hit by China's tit-for-tat tariffs.Beijing struck back against the Trump administration's new round of trade tariffs by imposing duties on $60 billion of American products, including cocoa powder and frozen vegetables.
Bankers Expect 7.8 Percent Decline in Farm Equipment Sales Next 12 Months
Creighton University Economic Outlook | Posted on September 20, 2018For a seventh straight month the overall index rose above growth neutral. Bankers reported a decline in the sale of agriculture equipment and expect sales to decline by another 7.8 percent over the next 12 months. More than one-half of bankers supported cutting recently enacted tariffs. In reaction to weak farm commodity prices and income, almost one-third of bank CEOs reported rejecting a higher percentage of farm loans.
2019 Crop Budgets Suggest Dismal Corn and Soybean Returns
Farm Doc Daily | Posted on September 20, 2018Due to lower soybean prices and higher costs, budgets suggest returns will be very low for corn and soybeans in 2019. Conserving cash, cutting investments, reducing costs, and renegotiating cash rents should be aggressively pursued. If prices do not increase, the budgets indicate it is unlikely that farmers will be able to generate profits on rented farmland in 2019.