Tuesday, October 13, 2020

October 12th, 2020 Edition

 


“Hey Chuck, who’s guarding me?  Do you have anyone assigned to guard me?  It’s too easy when I’m wide open like this.  If you don’t get someone on me, I’ll probably go off for 60 tonight!” – Larry “Legend” Bird to the opposing Detroit Piston head coach Chuck Daly

 

On this particular night (April of 1988) in the hallowed Boston Garden, Coach Daly gave a starting nod to the young athletic 2nd year pro in Dennis Rodman.  Daly also gave Rodman explicit instructions -- give 100% of your defensive effort onto one guy and one guy only: Larry Bird.  Well, Bird immediately realized the challenge and took it right to the young Rodman.  It did not take long for Bird to expose the inexperienced youth, and in typical Larry Bird fashion, he let everyone know -- both by his dominant play on the court and also for anyone within earshot – who the clear winner was of this mental game within the game. 

Bird finished with 32 points, 11 rebounds and 5 assists in 44 minutes of playing time.  The Detroit defensive specialist (Rodman), only garnered 24 minutes of playing time before fouling out with 9 points and 8 rebounds.  The Celtics went on to post a convincing 121-110 home win.  https://www.basketball-reference.com/boxscores/198804010BOS.html 

I don’t know about you, but it seems to me, that this general election is full of many games within the game being played.  Regardless of your political position, we should all be able to agree on what we know so far:

·         * Trump is holding very popular political rallies that the American people are responding to with a couple tens of thousands of folks in attendance regularly

·         * Conversely, Biden is taking a very low-key approach with safety around the pandemic being his primary concern and thus holding only a few subdued events

·         * Current political polls being reported by the main stream media reveal that Biden is leading in the race by 15-20% across the country

On the topic of the popular vote, we need to review some history to realize the impact of a 15-20% popular vote lead.  Back in 1972 President Nixon almost ran the table (49 states won) on his Democrat opposition (George McGovern) and concluded with a 23% vote margin.  In 1984 President Reagan equaled the achievement (49 states won) against the Democrat candidate Walter Mondale with an 18% popular vote margin.  In 1820, James Monroe won 99.5% of the casted Electoral College votes, but then again, Monroe ran unopposed.  https://www.britannica.com/event/United-States-presidential-election-of-1820

If Biden is ahead by a 15-20% points, why has he spent the past several days in Ohio and Pennsylvania?  If the current polls are true, Bidden/Harris should be campaigning in Wyoming and North Dakota soon.

We are already witnessing some interesting political “October Surprises”, and for those interested in watching, the games continue...


Weather and Corn Development

The day time high temps for the week will begin to wane after Monday, but we remain in our dry cycle with low relative humidity.  Accumulation of a few more heat units to help dry the corn and sunflowers will occur this week.  With daily high temps for the week primarily in the 50’s and 60’sF, we’ll forecast another 50-55 GDD’s over the next 7-day span.



The GDD map for our region since our killing frost on September 8th and 9th continues to highlight how fast the corn is drying down.  With over 230 growing degree days accumulated in most locations and close to 300 GDD accumulated since the frost in the heart of the valley over this time frame, it’s not surprising to continue to receive reports of some corn grain in the 15% to 18% range currently (more on corn drydown later).



There was a tad of scattered rain in places last week, but the rainfall map over the last month and a half continues to reveal dry conditions – especially in the northern half of North Dakota.  We’ll continue to look for some moisture to aid in the field work and to start next year’s crops.

I’ll count on your weather app for the best guidance through the 7-8 day forecast, but looking beyond that, I’ve found this site from NOAA to be fairly reliable for a general 8-14 day outlook (next week).  https://www.cpc.ncep.noaa.gov/products/predictions/814day/index.php

For the mid to late October timeframe, the forecast is to have greater chances of below average temperatures and below average precipitation.

The NOAA group also provides three month outlooks.  If we would like to get a general forecast for next spring (Mar-Apr-May), it can be seen here: https://www.cpc.ncep.noaa.gov/products/predictions/long_range/seasonal.php?lead=6

This forecast currently predicts below average temperatures, while also calling for greater chances of above average precipitation.  Hopefully, we see some moisture between now and then to place some humidity into the system so we can get some spring rains before the month of May hits and planters/drills begin to roll.


Regional Soil Temperatures

Speaking of field work, here is the current snap-shot for soil temperatures.  We should probably wait another week to see if most locations will fall under a 50F temperature reading before fall nitrogen applications start.  For farm operations focusing only on P & K fertility, these applications can occur at any time since they are not temperature dependent.



US Crop Progress

The USDA estimates corn harvest at 2/5ths of the way completed for the year across the US, and the soybean harvest at 3/5ths completed across the nation.  For North Dakota, these numbers are 25% for corn (9% for the 5-year average in the state) and 83% for soybeans (54% for the 5-year average).

The USDA reports the corn crop condition at 61% of acreage in the good to excellent category across the US (last week – 62%), and the North Dakota crop ratings held steady at 58% of the acreage in the good to excellent category.   Mature corn is estimated at 94% of the US acreage.  The prior 5-year average for corn maturity across the US is 87% (77% for ND).

For soybeans, USDA estimates 63% of acres will rate in the good to excellent category for crop condition (prior week of 64%).  However, North Dakota’s soybeans rate at only 47% good to excellent (down 1 point from 48% last week).  

The National Sunflower Association (NSA) estimated the nation’s sunflower harvest progress at 25% complete which would be about 2-4 weeks ahead of average pace.  The sunflower production is estimated at 2.81 bil lbs with an average yield per acre of 1,730 lbs (which would tie the record yield level).

By now, the traders know where this US crop is going to land for production and all eyes will be on the export and carry-over volumes looking ahead.

https://usda.library.cornell.edu/concern/publications/8336h188j?locale=en


Bayer AG® Stock Price Takes Another Hit

Bayer’s® communication to shareholders at the end of the 3rd quarter was pessimistic as they foresee a lingering pandemic response in agriculture on the global scale.  Bayer’s (BAYRY) stock price slump since then has eroded another $7.7 bil of company market value and now the entire Bayer company is valued less than the price they paid for Monsanto (US$63 bil) over two years ago (deal finalized in June of 2018).

Bayer’s® crop business is estimated at just under 50% of total sales for their company, and they forecast this segment of their business to face “deeper than expected” impacts that will expand past the short-term.

There has been speculation in the industry that BASF® wants a greater piece of the global agriculture business.  If this is true, maybe they should look towards Bayer® to potentially sell-off their agriculture assets.  It would make sense for the two German companies to combine assets as they should see more viable synergies with headquarters in the same country.

Meanwhile, Corteva’s® stock (CVTA) took a step upward in early October and currently is bringing over $33 per share – an all-time high for the company that began trading in June of 2019 at $24.50 a share.

It has also been rumored in the industry that BASF® is looking at opportunities to acquire Corteva®.  Let’s hope that doesn’t happen as I think a US based agriculture company is good for the American farmer as well as the American consumer, after all, the US is the largest food producing country in the world.  We’ll see how it plays out, but I think BASF® will have to look towards Bayer® or others if they want greater sales volume in agriculture.  In order for Corteva® to remain a pure play US based agriculture company, look for our stock price to continue upward movement to keep others from an aggressive move.

https://www.bloomberg.com/news/articles/2020-09-30/bayer-to-cut-1-8-billion-of-costs-as-covid-hits-agriculture


Corn Drydown Rates related to GDD’s

Last week, my numbers for GDD’s required to dry a point of moisture did not look right, so I went back to review some unpublished Pioneer data from 10-15 years ago and sure enough they were off a bit.  The data came from Nebraska and west, so much drier autumn climate in general but probably similar to our current 2020 conditions in eastern North Dakota and northwestern MN.  This prior mentioned data would indicate that it takes 17-22 GDD’s to lower the grain moisture each point from 35% to 22%, while 20-25 GDUs per moisture point are required from 22% to 15%. 

So, if we take a ball park figure of 270 GDD’s received this fall in our region from September 9th (our killing frost date) until now, we can estimate that we would have dried the corn around 15-20 points of moisture.  Now, most of the corn was not at black layer when the killing frost occurred, and if we assume a starting point of 37-38% grain moisture content on September 9th, you can easily figure current grain corn moisture contents in the upper teens to low 20% range.

As the corn continues to dry and we get later into the autumn, it will be more difficult to remove moisture as our air temperatures drop and humidity (if we can get a rain) is likely to increase.

As the corn gets drier, stalk integrity begins to fade as well, so keep a watch on hybrid standability as the autumn unfolds.

The University of Purdue had an article from September of 2018 on the drydown of mature corn:  https://www.agry.purdue.edu/ext/corn/news/timeless/GrainDrying.html

The article was written by R.L. (Bob) Nielsen and he reviews the key bullet points:

·        Weather conditions strongly influence the rate of grain drydown and each autumn is fairly unique to drydown rate – rain, humidity and sunshine all playing factors

·         Corn hybrid characteristics play a role as well

o   Ear husk number, thickness, length, senescence rate, and tightness around the ear all are factors

o   Pericarp (outside covering) thickness of the individual grain kernels – thinner pericarp allows the kernel to expel moisture more easily

o   Ear declination – ears that drop downward tend to dry more quickly as they are able to naturally shed any autumn moisture

·         Early maturity of hybrids typically means faster drydown – primarily due to the fact that there are greater chances of significant heat unit accumulation after reaching physiological maturity

·         Conversely, full season hybrids with later grain maturity will dry slower due to less potential of receiving significant heat units to dry the corn after black layer or physiological maturity is reached (this occurs later in the autumn for a full season hybrid versus an early season hybrid)

·         Corn grain dries through evaporative moisture transmission through the pericarp – there is no evidence of moisture loss through the pedicel (point of connection on the kernel where it attaches to the cob).




No 1099 Being Sent-out for PPP Loans

The federal IRS announced in late September that they are informing financial banking institutions to not distribute 1099 forms regarding PPP (Paycheck Protection Program) loan income.  This announcement basically transforms your PPP loan into tax-free grant dollars.  If your tax accountant has questions, forward them this weblink and state there is a phone number for assistance to help answer any concerns:

https://www.irs.gov/pub/irs-drop/a-20-12.pdf

 

Product Spotlight – P8736AM

 


Are there any corn hybrids that are consistently rising to the top during the corn harvest within Pioneer’s® line-up?  Well, for those in the 85 CRM zone, Pioneer’s® 87 RM hybrid is looking like a clear winner this autumn.  With its strong late season drought stress and stellar genetics against Goss’s Wilt, this hybrid is shining bright after the 2020 season.  We do have some concerns around harvest standability with scores of “4” for both roots and stalks, but we did recommend a kernel drop of 32,000 seeds/ac maximum last winter to assist with better standability.  Ear flex is good and the hybrid is responding well to these management tips so far this harvest.  The hybrid also rates at 87 RM for corn silage along with good quality scores for beef and milk production.  Silage Relative Maturity (RM) is the maturity it takes from corn planting to 65% whole plant moisture.  Typically, a rough rule of thumb is add 10 RM to a standard corn grain maturity for the area for hybrid silage production.

If you have questions or concerns about Pioneer’s corn line-up for silage and/or grain production, please be sure to contact your local Pioneer representative or myself.


EPA Reviewing a Phase-out of some Bt Hybrids

With pesticide resistance continuing to gain momentum across the US (and globally for that matter), the EPA is looking to implement some tactics to continue to combat the ever-evolving threat in the US. 

Multiple strategies are being discussed, but one idea is to eliminate the use of most Bt corn and cotton hybrids that contain only a single or dual Bt proteins – which is most of today’s hybrids.  Another tactic is to bring back isolated and separate refuge requirements for a “pure” insect breeding ground without the presence of Bt proteins (no blended products like AcreMax or RIB). 

Moving forward, new Bt proteins and multiple (three or more) stacks of different Bt proteins could be required to keep pest pressure susceptible to the technology and farmers satisfied with the control witnessed in the field.  Products containing Bt traits from Corteva®, Syngenta®, and Bayer® are being proposed for phase-out in only a 3 to 5-year timeframe.

The EPA is taking written comments until November 9th and it’s always informative if they can gather some insight from farm managers and ag-consultants.  If you’d like to submit your comments please see this site: https://www.federalregister.gov/.../epa-draft-proposal-to-improve-lepidopteran-resistance-management-notice-of-availability

http://news.agropages.com/News/NewsDetail---36787.htm


Random Agricultural Facts – Christopher Columbus

With Columbus Day occurring this Monday (Oct. 12th), here are some popular and unpopular facts about Christopher Columbus and the holiday in his honor:

  • Columbus Day has been a Federal US holiday since 1937, and since 1971 has always occurred on the second Monday of October
  • The date reflects Columbus’s arrival in the West on Oct. 12, 1492
  • Back in the 1700’s, scholars of the world were convinced the earth was circular in shape, but Columbus thought the planet was much smaller in size.  Thus, he thought they landed in Asia when reaching what is today the Bahamas
  • Once Columbus seen the natives, he called them “Indians” assuming he was in India
  • Although Columbus was of Italian nationality, he claimed the Bahamas and other Caribbean islands for the country of Spain as he was sponsored by the Spanish King and Queen to explore on their behalf
  • Columbus never set foot in the current contiguous United States
  • Columbus and his men are reported to have treated the natives very harshly, with some occurrences of enslavement and murder
  • He was sent back to Spain in shackles at one point because of his ruthlessness, poor leadership and lack of found riches
  • He died in May of 1506 – only 14 years after his maiden voyage west – still believing that he had found the shorter sailing route to Asia from western Europe
  • Columbus’s tie to agriculture?  He and his group started the first agriculture trading between the West and East.  Wheat, coffee, sugar and horses where some of the key items the native Americans first enjoyed from Europe.  While tomatoes, potatoes, and corn were the first products the Europeans enjoyed from the West
  • Many political groups across the US have successfully installed the observance of “Indigenous Peoples’ Day” on this same date.  These groups are looking to replace the Christopher Columbus holiday on a national scale with a day celebrating the indigenous native Americans – not a terrible idea, but let’s not forget the significance and history of Christopher Columbus in the process
  • On a side note, many historians believe that Leif Erikson was the first European to lead an expedition to North America.  It is believed that Erikson ventured west and south from Greenland into present day far eastern Canada around 1000 years ago – which was about 500 years before Columbus

·         If you are interested in a good read on Erikson and a couple cold hard facts about Norwegian inhabitance on the North American continent, it can be viewed here: https://cdnhistorybits.wordpress.com/2015/12/08/leif-erikson-vikings-canada/

 

https://www.biography.com/explorer/christopher-columbus



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