From time to time PSPA member, Duncan Allison, publishes agricultural news, information and his own observations.  This column appears for the benefit of PSPA members and any views expressed are those of the author.

Fertilizer prices are on the downward trend according to DTN The Progressive Farmer. More than half of the eight major fertilizers registered significant price drops. Nitrogen has witnessed the highest reductions with urea 21% and potash 13% lower than a year ago. Fertilizers tend to follow the commodity markets and prices are not expected to be ”going up any time soon.”

Retail food price inflation has been extremely slow so far this year and USDA ERS has now reduced their projection for all of 2013 to 1.5-2.5% as a result. However the Bureau of Labor Statistics estimates the price of finished food products is growing at about 3% and the price of commodity inputs is running at 10.4%. So while the 2014 estimate of increases in food-at-home and food-away-from-home are expected to increase 2.5% to 3.5% over 2013, severe and abnormal weather events could drive up food prices significantly.

Seed treatment has been one of the fastest growing inputs in farming during recent years and the growth is expected to continue. Several market research companies offer annual or biennial reports studies to review world markets indicating the wide interest by chemical companies in this market segment. Not surprisingly the US is still the largest market but Latin America, particularly Brazil and Argentina, are growing rapidly. Seed has become much more valuable as genetically modified seed is more expensive since subsequent insecticide and herbicide costs are lower. Seeding rates may also be reduced so it becomes even more important to ensure that each seed has the best chance of survival and good early growth. The use of neonicotinoid insecticides has provided early protection from a variety of soil insects and early foliar insects and some seed treatments are now providing protection from early nematode attack. Seed treatment offers one of the most effective, environmentally favorable and economic means of providing crop protection and healthy vigorous plants.

Anglers, Hunters and Wildlife Watchers totaled 4.6 million in 2011 – 1.1 million fished, 775,000 hunted and 809,000 observed, fed and/or photographed wildlife. These numbers are 13%, 23% and 37% lower than 2001 with expenditure decreasing by 34% for anglers and 19% for hunters but increased 4% for wildlife watchers. Indications that we are getting to be a more urban/suburban society?

MRSA antibiotic research is being carried out at the University of Iowa to understand the possible link between farms and clinical cases of MRSA. MRSA causes around 94,000 infections and 18,000 deaths annually in the US. The European Union began phasing out antibiotics for growth promotion in livestock in the late 1990s. Denmark led the charge with a full ban in 2000. China has half the world’s pig population but has not restricted antibiotic use. FDA issued guidelines calling for “judicious use” of antibiotics on farms but not all the guidelines are yet approved. Tougher rules may be issued within three years if farmers and drug makers do not adopt the guidelines. The results of the research being carried out at the University of Iowa have the potential to create the first complete link between farms and clinical cases of MRSA. Article in Nature.

Food loss and food waste – ERS researchers have calculated that at the retail and consumer levels an estimated 133 billion pounds or 31% of the 430 billion pounds of food available for human consumption in the US in 2010 was not eaten. At 2010 retail prices this means that $161.6 billion worth of food was wasted. This does NOT include losses at the farm and between the farm and the retail level. Consumer losses include spoilage, cooking shrinkage and plate waste. Retail losses include dented cans, unpurchased holiday foods, spoilage and the culling of blemished or misshapen foods. Highest losses at both levels were for vegetables and dairy at 25 billion pounds followed by fruit and grain products each at 18.5 billion, added sugar and sweeteners and meat, poultry and fish between 16.7 and 15.3 billion pounds. Meat, poultry and fish was easily the largest loss in terms of value $48.5 billon, followed by Vegetables $30 billion, Dairy products $27 billion and fruit $19.8 billion. On an individual level 290 lbs. or 0.8 lbs. per day was wasted rather than eaten in 2010. Lots of room for improvement at every level!   GM updates – The Precautionary Principle has finally resulted in Monsanto on July 17 withdrawing all permits requested to the European Commission to grow genetically modified corn, soybeans and sugar beets because it does not see “a commercial outlook” for these products. Monsanto is investing in a major seed facility in the Ukraine costing $200 million with the emphasis on supplying conventional seeds to Ukraine and nearby countries.

Last year BASF decided to move its biotechnology center to the US.  The UK seems to be trying to break the trend of other European countries and grow GM crops to ensure Britain “is not left behind” in agricultural science.  The Independent paper reports that “Senior government officials said that ministers are increasingly concerned that the potential moral and ethical benefits of GM are being ignored by costly and bureaucratic licensing regulations.”

GM wheat and Canada Geese – Agriculture Canada has documents to indicate that “Pooping Canada geese” may have spread the viable seeds of genetically modified wheat grown at an experimental farm in Canada. Canada has not approved GM wheat but had two permits to run “confined research field trials” with a wheat variety designed to resist Fusarium fungus. The trials had been carefully designed to prevent the possible dispersal of any seed. Further dispersal of the seed is considered unlikely as the “dispersal of viable seed by urban and suburban populations of Canada Geese is minimal” since spring wheat seeds are unlikely to survive winter frosts.

Secretary of Agriculture Vilsack reports that “Agricultural exports continue to be a strong and growing component of U.S. exports. Farm exports in fiscal year 2012 reached $135.8 billion and supported 1 million jobs here at home. More than $23 billion worth of those agricultural products went to China alone.

Duncan A. Allison 8/21/2013