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KBH Corp. Announces Promotions

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Taylor Cauthen and Jordan Moore, KBH Corp.

Taylor Cauthen (left) and Jordan Moore, KBH Corp.

The KBH Corp., a manufacturer of farm equipment headquartered in Clarksdale, MS, has announced personnel changes within its sales team.

Taylor Cauthen, a 12-year veteran of its in-house sales staff, has been promoted to Territory Salesman for the South Delta region. “Taylor is well known to many of our customers and brings immediate experience and knowledge of KBH’s product line to the position,” says Buddy Bass, president of The KBH Corp.

In a related move, Jordan Moore, a native of Calhoun City, Mississippi and recent graduate of Delta State University, joins the company as Assistant Sales Manager. “Jordan is a competitive, tireless worker and a fine young man — he will be a great asset for KBH and has a bright future,” says Mike Kinnison, the Statesmen’s Head Baseball Coach, of his former pitcher.


4 Critical Requirements Of An Employee Promotion

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The words “I was passed over for a promotion” are all too common in my line of work. Each week, I visit with a disgruntled individual who wants to leave their current employer due to a promotion opportunity that passed by. While some individuals may have a valid concern, my guess is that many do not.

Many of these employees feel ready to take the next step in responsibility since they have put in their time, and have proven their ability to perform. In their mind, they have earned that new title, pay raise and the opportunity to make a difference.

Many of you may feel the same about your current career. You are happy with your success thus far, and feel you are ready to take that next step. However, the unanswered question is — have you really proven to your employer that you’re ready?

The biggest mistake I see individuals make is the perception that success is equivalent to leadership. Simply because you have been leading your organization in sales, or have accomplished more than others in similar roles, doesn’t automatically prove you are ready to increase your responsibility. These factors alone simply show your ability to perform in your current role, but don’t offer much insight into whether or not you can lead.

The Qualities Of A Leader

So what shows your employer that you’re ready to lead? There have been many great books and articles surrounding this very topic. One of the authors that caught my eye was Dan Schawbel, who is most known for his books and articles on personal development and personal promotion. While there are many folks who have taken a very complicated approach to getting promoted, Schawbel has distilled that complex process into four very simple things:

  1. The ability to consistently prioritize work and meet deadlines.
  2. A positive attitude.
  3. Working well with the team.
  4. Consistently putting the team’s best interest ahead of their own.

I agree with this list 100%. Each time I’ve worked with an organization that has made a decision to either promote from within or hire an outside individual, these four items are key components to their decision-making process. While performance in the current role is a factor, it’s typically not as important as these qualities. Here is a quick review of why these qualities are so important.

1. Your ability to “get your stuff done” is a skill that shows your supervisor and coworkers more than you think. Consider this, it’s very easy to skip past difficult items on your to do list and stick with the easy ones first. An individual who can consistently get things done on time, and takes on the challenging tasks first, is providing insight into how they will handle leadership. You don’t want a leader that will ignore difficult situations in favor of easy things to do.

2. A positive attitude should be of no surprise on this list. Your ability to approach change, opportunities and challenges with a “glass half-full” perspective is necessary if you want to be a leader. People don’t want to follow someone that can’t help but react negatively to everything that comes along. In fact, a negative attitude is probably the fastest way to get labeled as a “bad boss.” Consider your reaction to changes in your organization. Were you positive, and planned to make the best of it? Or did you jump in with everyone else and start expressing your concerns?

3. Regardless of your role in the company, you are part of a team. If you find that the only time you interact with others in your organization is when you need something from one of them, or are being ordered to do so, you’re probably not well suited to be a leader. To be perceived as a leader, these interactions should be conveying team and leadership characteristics such as trust, respect, unselfish actions, etc.

4. I could call this item “The Silent Promotion Killer.” It sounds a bit extreme, but it’s true. This gets to the core of why an individual wants to be a leader. Is it for personal gain? Or is it for the opportunity to work with others and make a positive difference in the organization? Your ability to approach challenges and opportunities with a selfless attitude is insight into how you will lead. If that unselfish approach isn’t there — it’s a deal breaker.

These items are not quick fixes. These are perceptions and actions that build up over time. While I can’t guarantee that improving these four areas will get you the next promotion, I can guarantee that recognizing  how important they are, and working to improve yourself in these core areas will make you a better teammate, a better employee and ultimately a better prospect for future career opportunities.

A Pair Of Ag Worries For 2014

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This week, most of the ag retail marketplace is gathered in sunny Miami, FL, for the annual Agricultural Retailers Association (ARA) meeting. Besides visiting exhibitors and attending informational sessions, attendees at this event will likely discuss some of their views on how 2013 has played out and what they expect could happen in 2014. And if the early indications are correct, 2014 could be a very interesting year for agriculture.Note: There is a poll embedded within this post, please visit the site to participate in this post's poll.

Right now, there are two issues front and center that could have some serious impact on how well agriculture performs during the new year. First up is the ongoing lack of a Farm Bill. It’s been over a year since a new Farm Bill should have been passed and Congress seems no closer to implementing a new one today than it did in 2012. According to ag watchers, if a new Farm Bill has passed by the end of December, several ag-related programs will be affected. This could cause commodity prices to spike and cause produce, dairy and meat prices for consumers to immediately skyrocket.

Perhaps more troubling for the ag retail marketplace is the second worry – a reduction in the government’s ethanol blend mandate. For 2014, regulators are proposing reducing ethanol use by approximately 1 billion gallons, which would go into effect at the end of June 2014. If this occurs, one of the major end-markets for the nation’s corn crop will quickly dry up. According to several market watchers, this could leave approximately 1 billion bushels of corn looking for a market, ultimately depressing commodity prices in the process. As one speaker put it: “Ethanol growth for corn is largely at an end.”

It will be interesting to hear what other ag retail industry insiders say at the ARA meeting, about these challenges and whatever other worries they have. Stay tuned . . .

USDA Accepting New Enrollments For Conservation Stewardship Program

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The USDA’s Natural Resources Conservation Service (NRCS) is opening the Conservation Stewardship Program (CSP) for new enrollments for federal fiscal year 2014. Starting today through January 17, 2014, producers interested in participating in the program can submit applications to NRCS.

“Through the Conservation Stewardship Program, farmers, ranchers, and forest landowners are going the extra mile to conserve our nation’s resources,” NRCS Chief Jason Weller said. “Through their conservation actions, they are ensuring that their operations are more productive and sustainable over the long run.”

The CSP is an important Farm Bill conservation program that helps established conservation stewards with taking their level of natural resource management to the next level to improve both their agricultural production and provide valuable conservation benefits such as cleaner and more abundant water, as well as healthier soils and better wildlife habitat.

Weller said today’s announcement is another example of USDA’s comprehensive focus on promoting environmental conservation and strengthening the rural economy, and it is a reminder that a new Food, Farm and Jobs Bill is pivotal to continue these efforts. CSP is now in its fifth year and so far, NRCS has partnered with producers to enroll more than 59 million acres across the nation.

The program emphasizes conservation performance — producers earn higher payments for higher performance. In CSP, producers install conservation enhancements to make positive changes in soil quality, soil erosion, water quality, water quantity, air quality, plant resources, animal resources and energy.

Some popular enhancements used by farmers and ranchers include:

  • Using new nozzles that reduce the drift of pesticides, lowering input costs and making sure pesticides are used where they are most needed.
  • Modifying water facilities to prevent bats and bird species from being trapped.
  • Burning patches of land, mimicking prairie fires to enhance wildlife habitat.
  • Rotating feeding areas and monitoring key grazing areas to improve grazing management.

Eligible landowners and operators in all states and territories can enroll in CSP through January 17th to be eligible during the 2014 federal fiscal year. While local NRCS offices accept CSP applications year round, NRCS evaluates applications during announced ranking periods.

To be eligible for this year’s enrollment, producers must have their applications submitted to NRCS by the closing date.

A CSP self-screening checklist is available to help producers determine if the program is suitable for their operation. The checklist highlights basic information about CSP eligibility requirements, stewardship threshold requirements and payment types.

Learn more about CSP by visiting the NRCS website or a local NRCS field office.

Syngenta Supports Using Water Wisely

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Syngenta is highlighting the importance of water conservation as winter approaches because droughts are not limited to the summer months. In fact, much of the Southern and Western U.S. is currently experiencing abnormally dry to severe drought conditions, according to the National Drought Mitigation Center. With food production so closely tied to the world’s water supply, Syngenta is raising awareness among its employees on how they can effectively and simply conserve water at home, hosting events at its three largest sites this year.

“Agriculture uses about 70 percent of the world’s fresh water supply,” said Rahshek Ellis, a communications specialist at Syngenta. “But each of us can help contribute to sustainability by using water wisely.”

At one event, Syngenta employees in Research Triangle Park, NC, learned how to use rain barrels to collect water for their lawns and gardens and how to qualify for rebates when purchasing products like water-efficient toilets and clothes washers. The program featured the City of Durham’s Department of Water Management and Ryan Berglund of Rain Barrels International.

Berglund founded the company with his parents when he was just 12 years old, after he and his father built a rain barrel as a surprise birthday gift for his mother. Later, Berglund convinced a local garden center that his rain barrel had a better design than the center’s existing products because of a special lid that prevents mosquitoes from getting in the water and multiplying.

The rain barrels are now sold across the country, helped in part by a fund-raiser program where organizations can earn a portion of rain barrel sales for their charities. Syngenta, for example, has raised money for the FFA program at Millbrook High School in Raleigh, NC, where Berglund graduated in 2013.

At another event in Greensboro, NC, Syngenta vegetable seed team members shared tips with employees for producing homegrown vegetables. In Minnetonka, MN, Syngenta hosted the Minnehaha Creek Watershed District and local FFA students to explain how to redirect downspouts so that water flowing off rooftops can be used for lawns or gardens, rather than flowing onto driveways or sidewalks and down storm drains.

Syngenta understands that the process of conserving and recycling water starts at home. According to the EPA, the average family of four uses about 400 gallons of water per day, with about 30% of this devoted to outdoor uses.

“By raising awareness about water conservation, Syngenta is providing employees with the knowledge they need to use water more intelligently,” said Ellis.

Luckey Farmers, Sunrise Cooperative Form Plan To Benefit Local Farmers

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Luckey Farmers Co-op and Sunrise Cooperative have entered discussions to explore a joint venture in developing a state-of-the-art grain and agronomy hub in Wood County near S.R. 6 and U.S. 23 just a few miles west of I-75 near Bradnor, OH. The new facility would use the prime location, latest grain handling technology and access to CSX main rail to serve their farmer members and customers.

“We are in the beginning stages of organizing the structure of the LLC and gathering the necessary information required to build a facility of this nature,” said Luckey Farmers CEO Andy Swerlein. “This venture will expand both cooperatives’ presence into Wood County and grow both organizations with the goal of returning equity and value to our member owners.”

Currently, Sunrise Cooperative has seven facilities (three seasonal) in five counties and serves 3,240 farmer members. Luckey Farmers has 9 facilities and serves more than 2,000 farmers members in 6 counties. Today, all of Luckey Farmers grain handling facilities are in locations where grain must be trucked to other terminals. The new hub will allow farmers better access to other markets for selling their grain and for receiving better size, scope and product availability for incoming agronomy supplies.

The speed of grain handling with today’s technology will provide access to other markets and end users who can enjoy better size, scope and product availability.

If plans continue moving forward, the LLC aims to break ground in Spring 2014. The new facility could begin serving customers in 2015.

AAT Agronomists Host ESN Smart Nitrogen Tour

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Agrium Advanced Technologies (AAT) agronomists recently hosted the first annual Research and Demonstration Tour created to increase awareness around the successes occurring in a variety of crops using ESN SMART NITROGEN as a part of their nitrogen management program.

Tour stops included Mississippi State University (MSU) in Stoneville, MS; an ag retailer in Drew, MS; and the University of Arkansas Lon Mann Cotton Research Station (LMCRS) in Marianna, AR. Participants were able to walk through the research plots and speak with the scientists conducting the various studies.

Researchers at MSU are testing ESN on a variety of crops, including cotton, corn and soybeans, and monitoring effectiveness under different conditions. While yield results for this year’s crops are not yet available, ESN-fertilized crops appear to be more vigorous. For example, ESN-fertilized corn ears were larger and more filled.

The research in Stoneville has been conducted since 2011 by Dr. Bobby Golden, who also studied ESN at the University of Arkansas as a Ph.D. student. At Stoneville, he has been studying ESN use in cotton, corn and soybeans — comparing ESN with competitor products. At this location, participants saw first-hand how changes in rates, timing of application and blends can affect crop performance.

“In general, over the last couple years, ESN has performed well on cotton and corn in Mississippi. On corn, ESN applied at planting provides a yield increase when compared with top-dressed urea,” says Dr. Golden. “For cotton, we are seeing very similar yields when comparing ESN to urea. However, ESN appears to be providing a slight bump in cotton quality measures that may provide a premium. Our soybean work is just in the initial stages, and we hope to have some information in the near future.”

The stop in Drew, MS, featured a corn demonstration developed by a local ag retailer designed to address specific customer needs. The retailer wanted local data on corn so that he could confidently recommend ESN to his customers. ESN was side-dressed on corn, and compared with a conventional program utilizing two side-dress applications of nitrogen. The retailer now plans to use these locations to train sales staff and teach customers about ESN for corn production.

The LMCRS in Marianna, AR, was the last stop on the tour. Dr. Morteza Mozaffari shared his experience with ESN on corn and cotton. Corn fertilized with ESN has produced significantly higher yields than conventional urea during the past two years. ESN-treated plots were visibly greener and appeared to have greater yield potential than standard nitrogen sources.

“The results from the past two years suggest that pre-plant, incorporated ESN is a suitable alternative to standard pre-plant urea,” says Dr. Mozaffari. “The Tour was a huge success,” says Dr. Alan Blaylock, AAT Agronomy Manager. “It was an opportunity for participants to experience how ESN is working in different situations, as well as gain more knowledge about how to best use ESN with various crops. Plans are underway for a similar tour next year.”

Lincoln Land FS, Two Rivers FS Merge To Form Prairieland FS

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The shareholders of Lincoln Land FS, Inc., headquartered in Jacksonville, IL, and Two Rivers FS, Inc., headquartered in Rushville, IL, have approved the merger of their two companies effective December 1, 2013.

The new company – Prairieland FS, Inc. – will be headquartered in Jacksonville. Keith Hufendick, formerly manager of Two Rivers FS has been named CEO, while Matt Busby, formerly manager of Lincoln Land FS, has been named chief operating officer.

In addition, Joe Pickrell, Buffalo, IL, has been named President of the newly formed company, and Chet Esther, Frederick, IL, has been named Vice President. The combined entities recorded $300 million in sales for the most recent fiscal year ended July 31, 2013.

Prairieland FS is a full-service cooperative providing agronomy, energy, facility planning and logistics products and services, as well as grain marketing to farmers and other customers in Adams, Brown, southwest portion of Fulton, Menard, Morgan, Pike, Sangamon, Schuyler and Scott counties in Illinois as well as four counties in Northeast Missouri.

Source: GROWMARK news release


Morral Companies Named ARA Retailer Of The Year

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Morral Companies was named the Agricultural Retailers Association Retailer of the Year for 2013. The award was presented to Morral Sales Manager Lee Sundermeier today at the ARA Annual Conference.

“We are truly honored by this recognition,” he said. Innovation, quality and service have been founding principles of the organization, which celebrated its 50th anniversary this year.

“We always say we’re leading the way with quality,” said CEO Daryl Gates. “We’ve got a lot of young guys in our retail side of our business that are really good with technology, and that’s really helped bring the farmer from where he was 50 years ago to where we are today.”

Morral Companies, a family-owned business based in Morral, OH, has been a leader and innovator in many facets of agriculture: fluid fertilizer, crop production and environmental stewardship.

“Ag retailers make significant contributions to feeding the world and responsible stewardship of our natural resources,” said ARA President and CEO Daren Coppock. “Morral is a great representative of the industry and deserving of this award.”

In addition to retail operations serving farmers, Morral Companies offers manufacturing, packaging and wholesale distribution of a wide range of agriculture products. Morral was one of the first, and now one of the country’s largest, formulators and manufacturers of liquid fertilizer serving farmers and professionals in the agricultural and lawn/garden industries. In addition, the company formulates and packages a wide assortment of liquid and dry products.

“They often share ideas and mentor our organization,” said William F. Willard of Willard Agri-Services, who nominated Morral for the award. “I can’t think of any other company in the United States that would be more worthy of receiving the Retailer of the Year Award,” he added.

Recently, Morral has distinguished itself through its nutrient stewardship efforts. Morral actively promotes The Fertilizer Institute’s 4R Nutrient Stewardship Program, which provides a framework to achieve cropping system goals, increased production, increased farmer profitability, enhanced environmental protection and improved sustainability.

“Morral cares about doing the right thing for agriculture and the people of Ohio,” said David T. Daniels, Director of the Ohio Department of Agriculture. “Through Morral’s efforts, the 4R Nutrient Stewardship effort is helping to increase adoption of fertilizer best management practices – addressing the right nutrient source at the right rate, the right time and in the right place. Morral’s endorsement of this concept has helped spread the word about the importance of adopting these practices, and has fostered support in the farming community.”

Morral’s efforts as part of the 4R program – including a supporting certification program, training custom applicators, educating growers and participating in water quality working groups – have contributed to cleaner water, fewer algal blooms and reduced phosphorus loads in Lake Erie and the regional watershed.

“We believe we can accomplish maximum economic yield with minimum environmental impact, and we can do our share to clean up the lake,” said Sales Specialist John Oster. “There are many issues going on in that lake (Erie), but agriculture does take responsibility, and this is the way (Morral has) decided to go.”

Watershed stakeholders in government and the general public have taken note of Morral’s efforts and commitment.

“They have shown great courage by offering to pilot test the certification standard on their own operations,” said Bill Stanley, Ohio Assistant State Director of The Nature Conservancy. “The Morral Company is an integral partner in our efforts to improve water quality while maintaining agricultural productivity. We appreciate their candor, progressive viewpoints and hospitality.”

PotashCorp To Reduce Workforce By 18%

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Potash Corporation of Saskatchewan Inc. (PotashCorp) has announced it is taking the difficult but necessary step to reduce its workforce in Canada, the U.S. and Trinidad by approximately 18% from current levels.

The company expects workforce reductions by region as follows:

  • Saskatchewan – approximately 440 people
  • New Brunswick – approximately 130 people
  • Florida – approximately 350 people
  • North Carolina – approximately 85 people
  • Other U.S. locations and Trinidad –  approximately 40 people

Despite confidence in the long-term drivers of its business, a significant portion of fertilizer demand comes from developing markets where growth has been less robust than expected, said PotashCorp President and CEO Bill Doyle. “This sluggish environment has been most visible in our potash and phosphate businesses, and has contributed to challenging market conditions. As a consequence, we must make some difficult decisions to ensure the company continues to be well positioned for the future,” he said.

Following a comprehensive review of business and operational needs, changes were identified to:

  •     Respond to market conditions;
  •     Reduce costs to enhance the global competitive position of the company; and
  •     Maintain operational flexibility in potash to meet anticipated future demand growth.

The changes are intended to optimize PotashCorp’s lowest-cost operations, while retaining the ability to respond to expected demand levels and product needs of its customers, Doyle said. All three business operating segments (nitrogen, phosphate and potash), as well as corporate services, will be impacted by these reductions.

“This is a difficult day for our employees and our company,” Doyle said. “While these are steps we must take to run a sustainable business and protect the long-term interests of all our stakeholders, these decisions are never easy. We understand the impact is not only on our people, but also in the communities where we work and live, and PotashCorp will work hard to help those affected through this challenging time.”

Potash prices have been sliding since mid-summer, when the biggest global producer, Russia’s Uralkali OAO, quit its export partnership with Belaruskali of Belarus and said it would seek to maximize sales volume.

Doyle said he had “no idea” when or if Uralkali and Belaruskali will return to a strategy targeting higher prices and reverse what he has called “the single dumbest thing” he has ever seen.

The turmoil in the usually tightly controlled potash industry, dominated by Uralkali and North America’s Canpotex Ltd. export group, has caused buyers to head for the sidelines to await further price reductions.

“While the (job cuts) announcement blames soft demand in developing markets, we believe the real culprit is the BPC (Uralkali-Belaruskali) break-up and the resulting price declines in both (phosphate and potash),” BGC analyst Mark Gulley said in a note to clients.

Potash demand was weak even before last summer’s spat between Uralkali and Belaruskali; buying from key importers India and China has been particularly sluggish.

Typically, potash demand grows 3% annually, but it has been flat since 2007 due to the recession, Doyle said.

He said Indian demand, influenced by government subsidies on fertilizer, is unlikely to improve much until after Indian elections this spring.

Doyle said spot Chinese purchases should resume this month. A contract between Canpotex – the export arm of PotashCorp, Mosaic Co. and Agrium Inc. – and China’s Sinofert Holdings Ltd. will likely be reached by the end of January, he said.

PotashCorp said on Tuesday it would suspend production at one of its two mills in Lanigan by year-end and cut production at its Cory operations. Both operations are in Saskatchewan. It also plans to stop production at its Penobsquis facility in New Brunswick at the end of the 2014 first quarter.

Doyle said the company will still have the ability to supply buyers with more than 10 million tonnes of potash in 2014, combining production with its large stockpiles.

He could not predict how much potash the company will produce in 2014. But he said 2013 production is likely to amount to around 7.75 million tonnes, a little over half of the company’s capacity, reflecting output curbs.

“We’ll sell exactly what we were going to sell anyway,” without the job cuts, Doyle said. “This doesn’t affect in any way our ability to service our customers.

“We just had too much capacity versus what we were seeing needed in the foreseeable future.”

Sources: PotashCorp News release, Reuters

Former TFI President Recognized For Lifetime Achievement

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Ford West

Ford West, former president of The Fertilizer Institute.

The Agricultural Retailers Association (ARA) has recognized Ford B. West, former President of The Fertilizer Institute (TFI), with its Jack Eberspacher Lifetime Achievement Award.

ARA President and Chief Executive Officer Daren Coppock presented the award to West during the association’s Annual Conference on Wednesday, December 4.

The award is ARA’s highest individual honor, designed to recognize career-spanning achievements in and contributions to the agricultural retail industry. It was named after Jack Eberspacher, who served as ARA President and CEO from 2001 until his death in 2009. Past recipients include Jim Thrift, former Vice President of Regulatory Affairs and Corporate Relations for ARA; Bill Griffith, founder of AgriCenter; and Al McQuinn, founder, former Chairman and CEO of Ag-Chem Equipment Co.

“Jack was dedicated to ARA and the success of this industry,” West said. “I’m proud to be recognized with an award named in his honor.”

West, who recently retired from a 30-year career with TFI, was honored for his leadership and support on fertilizer issues and his efforts in building a strong collaborative relationship with ARA.

“I’ve enjoyed a great career,” he said in comments to the general session during the ARA Annual Conference. “The last few years have been challenging, but a great time to be involved in agriculture.”

Most recently TFI and ARA have worked collaboratively on a joint proposal to create ResponsibleAg, an industry-led effort to improve safety and regulatory compliance surrounding chemical storage.

“Ford exemplifies the characteristics ARA is seeking to recognize with the Jack Eberspacher Lifetime Achievement award,” Coppock said. “His steady hand in the industry’s response to the tragedy at the West Fertilizer plant in West, Texas, epitomized his leadership and commitment to this industry. His lifetime of contributions to the fertilizer industry and agricultural retail sector make him a deserving recipient of this award.”

West directed TFI’s response to the West Fertilizer accident, which was both sympathetic to a community devastated by a tragic accident and blunt with industry leaders.

“He sure didn’t sugarcoat things in talking to FFAA leaders up in Washington, DC, for Capitol Hill visits in May,” said Mary Hartney, president of the Florida Fertilizer & Agrichemical Association (FFAA) upon West’s retirement. “He said: ‘If you can’t afford to be safe and in complete regulatory compliance, you don’t need to be in business.’”

“Sometimes we think of ourselves as competitors,” West said about the relationship between retailers and the fertilizer suppliers. “But we are all in this together. Our work together means greater efficiencies for you and for our industry”

The Andersons Files Patent Infringement Suit

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The Andersons has initiated a patent infringement suit against Enviro Granulation of South Carolina; Plant Science of Ontario Canada and The Harrell’s of Lakeland, FL. The infringement suit, filed in the U.S. District Court for the Middle District of Florida, involves three patents related to dispersible granular fertilizer technology.

The Andersons’ investment in intellectual property is limited, however research and development is crucial to the success of its professional turf business and the company will defend its technology in this suit and others if necessary.

The Andersons introduced its revolutionary dispersible granular technology in 2004 under the brand name Contec DG. The Contec DG products have benefited golf courses nationwide. Information on these products can be found here.

CHS Putting Future First For Its Cooperative Owners

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CHS Inc., a global energy, grains and foods company, is committed to continued growth that will drive economic value to its farmer owners and the rural communities in which they live, its leaders told attendees at its recent annual meeting.

“Our ultimate responsibility is to invent the CHS of the future by making the decisions, executing the investments and managing the financial health of this company in a manner that not only adds value for you today, but continues to pay off 10 and 20 years down the road,” CHS President and CEO Carl Casale told attendees. “Ultimately, it’s about taking actions today that will benefit tomorrow’s owner, the generations that are now playing in farm yards or buying their first blue FFA jackets.”

The CHS Annual Meeting, held December 5-6 at the Minneapolis Convention Center, drew nearly 2,000 of the cooperative’s owners and other stakeholders. Included in the event was a special New Leaders Forum which drew nearly 175 promising young farmers and ranchers from across the U.S. for an exploration of issues facing agriculture and rural America.

In recent years, CHS has completed or committed to $4 billion in acquisitions, expansions and upgrades in its energy, grains, and processing and food ingredients businesses with a goal of adding long-term value for its farmer and cooperative owners, as well as customers worldwide. Casale said as CHS pursues its growth strategy, commitment to safety will be the company’s overriding priority.

CHS Board Chairman David Bielenberg, a Silverton, OR, farmer, said the board of directors’ primary goal is ensure the cooperative is appropriately capitalized to add value for its owners. In addition, he said, the 17-member farmer board must continue to expand its knowledge and ability to lead what is now one of the world’s major agribusinesses, as well as one of the largest companies owned by farmers.

“And closest to home we must drive the CHS commitment to agriculture and a vibrant rural America, especially for the next generations of farmers and ranchers who will be our owners and customers,” Bielenberg said.

Chief Financial Officer Tim Skidmore, who joined CHS in August 2013, told the company’s owners that his priority is to maintain the strong balance sheet, the financial flexibility and the liquidity that ensures that CHS has access to the capital it needs to fuel growth.

“Continuing to generate strong earnings as we have in recent years certainly helps, but we are in volatile commodity businesses and our strategic direction includes significant growth,” he said. “That means we must optimize our capital structure to manage both costs and the duration on our balance sheet of both assets and capitalization.”

In November, CHS reported its second-best earnings on record at $992.4 million for fiscal 2013 (September 1, 2013 – August 31, 2013), down from a record $1.26 for fiscal 2012. Earnings reached a record $44.5 billion. At number 69 in 2013, CHS is the only cooperative in the 2013 Fortune 100.The company is also ranked No. 5 on the CropLife 100 ranking of the largest ag retailers in the U.S.

Based on its fiscal 2013 earnings, CHS will return an estimated $433 million in cash to owners in fiscal 2014.

Report: Growers Along The Chesapeake Manage Nutrients, Protect The Bay

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Along the shores of Chesapeake Bay, farmers like Temple Rhodes, of Centreville, MD, prove farming can be productive and profitable while preserving the Bay. Few regions of the country are more closely scrutinized, and Rhodes is not alone in his efforts to reduce nutrient losses from his crop land.

Yesterday, the USDA Natural Resources Conservation Service (NRCS) released a new Conservation Effectiveness Assessment Project (CEAP) report for the Chesapeake Bay. The assessment indicates that producers in the Bay have significantly increased their conservation measures to improve and protect water quality.

A separate study performed by USDA NRCS and Maryland Department of Agriculture (MDA) to assess the Upper Chester River watershed in Maryland also indicated Bay farmers are taking action.

Complementing the CEAP results, the previous targeted watershed audit of the Upper Chester River found that 97% of the cropped acres had a nutrient management plan with more than 50% of the farmers utilizing multiple practices to manage nitrogen. That assessment was also performed in 2011 using a thorough assessment auditing 53 land owners representing 87% of the watershed acres.

Rhodes has multiple reasons for intensively managing the nutrients he applies to the soil his family depends on to grow corn, soybeans and wheat. As a businessman, he doesn’t want to spend his fertilizer dollars ineffectively. As a grower, he relies on fertilizer to enrich the productivity of the land. And as an avid outdoorsman, Rhodes is serious about the responsibility of taking care of the soil and water resources that enhance his life as well as the lives of the non-farm public.

To achieve his objectives, Rhodes works with Willard Agri-Service, a MD-based agribusiness to implement the 4Rs, fertilizer best management practices selected to apply the right nutrient source, at the right rate, in the right time and in the right place. Willard Agri-Service applies custom liquid fertilizers and crop protectants and offers Chesapeake Bay farmers data collection support and related crop production. Willard Agri-Services has worked closely with Rhodes for many years and believes his farming practices represent the direction many Bay-area farmers are headed.

“Embracing fertilizer best management practices improve yields and profitability of today’s harvests,” says Willard Agri-Service’s Vice President of Sales and Marketing Mike Twining. “These same practices also reduce the loss of nutrients to the Bay by converting ever higher percentages of the applied nutrients into healthy food and fiber for human consumption. Our clients are increasingly adopting practices similar to those on Rhodes farm.”

Rhodes’ farming practices offer insight to the types of practices being implanted in the Chesapeake Bay. To reduce nutrient loss, he never applies fertilizer on the soil surface. A modified strip-till planter enables him to place nitrogen, phosphorus and potassium eight inches below the surface for corn and soybean production. That gets nutrients right into the root zone where they’re readily accessible to plants while helping to eliminate runoff and volatilization. Nitrogen is further protected with a stabilizer added to the fertilizer to prevent loss to groundwater. This strip-till strategy puts the right source of nutrients in the right place resulting in better crop yields.

“The question for us was — can we use the same amount of fertilizer in a smarter way and grow a better crop?” Rhodes said. “We’ve proven that we can. The big bump in yield we’ve seen comes from putting the right fertilizer in the right place — right in the strip, right below the seed.”

Rhodes has measured an 18.6-bushel per acre advantage to the system compared to standard no-till production.

Timing is also important. Using his strip-till rig, Rhodes split-applies fertilizer on his corn ground, placing the nutrients about four inches beneath surface just prior to when the crop approaches its peak nutrient demand.

“It’s a matter of fertilizer efficiency,” he said. “We want to apply only what the plant needs, when it needs it.”

Nutrient application at Rhodes’ Chestnut Manor Farms is site-specific, guided by GPS-linked soil maps that enable Rhodes to match the right fertilizer and seeding rates to reflect the potential of specific productivity environments. GPS guidance systems utilizing RTK provide pinpoint accuracy for fertilizer, chemical and seed placement.

Tissue sampling during the growing season is used to assess plant nutrition status at each stage of development so that Rhodes can further fine-tune fertilizer applications.

In addition to high-tech techniques for managing nutrients, the Rhodes plants forage oilseed radishes as a cover crop to retain nitrogen, phosphorus and potassium through the winter, reduce soil compaction and prevent erosion. Buffer strips and waterways are also relied on to help protect soil and water.

Just as he takes a diversified approach to nutrient stewardship, his family farm is a model of diversification that seeks to make the most of the land Rhodes manages. The Rhodes family has a commercial Angus cowherd and they harvest straw from their wheat crop, transporting it to Pennsylvania where it is used as a growing medium in mushroom production. A passionate sportsman, Rhodes also guides and hosts turkey, waterfowl, sea duck and deer hunts along the Eastern Shore and raises Labrador Retrievers.

Source: The Fertilizer Institute

IPM Institute, Ag Retailers Team Up On 4R Nutrient Management Project

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Crop growers in the Western Lake Erie Basin have a new opportunity to improve nutrient management this winter. Under a new grant from the National Fish and Wildlife Foundation, growers can work with their ag retailers and resource specialists with the IPM Institute of North America to develop a plan for their farm to improve profitability and protect water quality.

“Nutrients are key resources required to grow crops,” reports Dr. Thomas Green, president of the IPM Institute. “When nutrients are lost from cropland, farmers lose money and water quality can suffer. Ag retailers are in the forefront of developing innovative and effective solutions. This new grant provides us an opportunity to work with farmers and their retailer to identify the best strategies for their farms.”

The project provides for a full-time plan writer to complete nutrient management plans that meet the needs of growers and ag retailers, and follow criteria set by the USDA Natural Resources Conservation Service. Plans will follow the 4R concept: right fertilizer source, at the right rate, at the right time and in the right place.

There are many benefits from having a current plan including:

  • Maintaining an adequate and balanced supply of nutrients to ensure optimum yields.
  • Minimize nutrient losses to surface and groundwater.
  • Optimize the physical, chemical and biological soil condition for future production.
  • Maintain profitability.

In addition to developing plans, the project will also include a training workshop for Certified Crop Advisors working at ag retail locations in the Western Lake Erie Basin to become Technical Service Providers, a requirement for NRCS programs.


A Downside To Ag Retailing In The Internet Age

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Is too much information a bad thing? Yes, according to some ag retailers.

I’ve just returned from the annual Agricultural Retailers Association (ARA) meeting, where most of the key players in the ag retail business gathered to exchange ideas, talk trends and share bits of insider information. As you might imagine, much of the industry talk at this event turned to how access to new and better technology is changing the way ag retailers and their grower-customers conduct their businesses. For the most part, everyone agrees that the proliferation of smartphones and tablets is rapidly changing how growers scout their fields, applicators run their big rigs and everyone shares data with the touch of a “send” button.

There were, however, a few ag retailers that felt these kinds of smart devices were “spoiling” their grower-customers – especially when it came to gathering information from online sources. “Many growers have so much access to information anymore that they look up field suggestions on the Internet before they even come to visit me,” said one Midwestern ag retailer. “So when I give them my suggestions, I feel like they are testing me a little. But the problem is some of the information they are finding on the Internet is wrong, so I end up having to help them tell good information from bad information.”Note: There is a poll embedded within this post, please visit the site to participate in this post's poll.

Another ag retailer summed up this problem more directly: “When does technology make us order takers and not agronomists?”

Despite these concerns, I believe most ag retailers have nothing to fear in this area. Over and over in grower surveys and other stories from the ARA show floor, customers have made it clear that the interpersonal relationships they have with their ag retailers are highly valued. Therefore, I think information gathered over the Internet will remain secondary to that gained directly from the ag retailer themselves for some time to come.

XSAg.com To Change Name After Record 2013

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Farmtrade LLC, announced today it will be changing the XSAg.com name to Farmtrade.com in the summer of 2014.

“We are excited to announce the new name for the first and only Web-based agricultural chemical exchange, Farmtrade.com,” said Jeff Stow, President of Farmtrade LLC.

“While we are proud of the XSAg name and its 14-year history, the business has evolved into much more than the XSAg name implies,” Stow continued.  “We have become the premiere online destination for growers, dealers, distributors, and manufacturers to connect and trade crop protection chemicals conveniently and securely. Our focus is on working with suppliers to increase sales by expanding their market reach for selling new inventory, and servicing buyers with lower delivered pricing, and locating scarce products nationwide.

“When Farmtrade LLC purchased the XSAg business in January of 2013, we were excited about our new direction. But, we did not predict this level of success in year one,” stated Stow.  “We owe our success to our loyal customers as well as the new relationships we have developed with both channel members and growers.  We are enthusiastic about continuing our growth in 2014 and beyond.”

Novozymes, Monsanto Team Up To Provide Sustainable Bioagricultural Solutions

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Novozymes and Monsanto Co. have announced a long-term strategic alliance to transform research and commercialization of sustainable microbial products that will provide a new platform of solutions for growers around the world.

The BioAg Alliance will allow the companies to leverage employees, technologies and commercial assets in the companies’ agricultural biologicals portfolios. The BioAg Alliance is unique in the industry, bringing together Novozymes’ commercial BioAg operations and capabilities within microbial discovery, development and production with Monsanto’s microbial discovery, advanced biology, field testing and commercial capabilities. The result will be a comprehensive research, development and commercial collaboration to help farmers globally meet the challenge of producing more with less in a sustainable way – for the benefit of agriculture, consumers, the environment and society at large.

“As the world population grows at tremendous pace over the next decades, we need to significantly increase the output from our land without increasing the pressure on the environment,” says Peder Holk Nielsen, CEO of Novozymes. “Today, we forge a game-changing alliance with the potential to transform global agriculture. The combined capabilities of Novozymes and Monsanto create an innovation powerhouse with a unique opportunity and approach to unleash the transformational opportunity in naturally derived microbial solutions in agriculture.”

“Monsanto, Novozymes and the farmer customers we serve share a need to meet growing demand in a sustainable way, and investing in the research and development of agricultural biological technologies like microbials is another step in that direction and a natural extension of our core business,” says Robb Fraley, Ph.D., Chief Technology Officer of Monsanto. “Just as Monsanto has done with leadership investments in our precision agriculture platform, we see this collaboration as being the same type of catalyst for taking our biologicals work from a technology to a full-fledged platform that represents the next layer of opportunity for growers to drive yield and productivity while helping the preservation of finite natural resources in our precious planet.”

Sustainable Biological Solutions In Agriculture

Microbial solutions are a significant part of the agricultural biologicals industry, which today represents roughly $2.3 billion in annual sales and has posted mid-teens sales growth each of the last several years. Microbial-based solutions are derived from various naturally occurring microorganisms such as bacteria and fungi. They can protect crops from pests and diseases and enhance plant productivity and fertility. With faster development cycles compared to other agricultural innovations, as well as broad geographic and crop applicability, microbial solutions offer tremendous potential to deliver sustainable, cost-effective solutions that can increase yield using less input.

The emerging agricultural biological technologies complement the integrated systems approach that is necessary in modern agriculture, bringing together breeding, biotechnology and agronomic practices to improve and protect crop yields.

The BioAg Alliance

Novozymes has over the last decade leveraged its know-how and experience in industrial enzymes and microbial technologies to build global positions in the agricultural biologicals market with a broad and proven product portfolio and annual revenue of approximately $120 million in 2012. Combining its strengths within microbial discovery, application development and fermentation and its leadership position in the agricultural biologicals market, Novozymes brings an established and unique starting point for the alliance to accelerate from in both the short and long term.

Monsanto has a research team working on microbial solutions and has one of the most extensive seeds and traits discovery, field-testing and commercial footprints in the industry. All this will help accelerate microbial development through the alliance, enabling more farmers to get more solutions, faster. Last year the company introduced its agricultural biologicals platform and earlier this year acquired the assets of the agricultural company Agradis Inc. as it builds out its discovery capabilities in the microbial space.

In bringing together Novozymes’ and Monsanto’s capabilities, the companies are poised to deliver an entirely new category of more effective microbial solutions for global broad-acre crops, fruit and vegetables. Under the collaboration:

  • Monsanto and Novozymes will maintain independent and complementary internal and external discovery research programs to identify microbial targets with the potential to help farmers.
  • Novozymes will be responsible for production and supply of the microbial solutions to Monsanto, building on its expertise within fermentation. Monsanto will serve as the lead for field testing, registration and commercialization of all alliance products.
  • The companies will co-manage the alliance and co-fund research and development efforts.
  • Monsanto will pay Novozymes an aggregate upfront payment of $300 million net in recognition of Novozymes’ ongoing business and microbial capabilities, and for Novozymes to supply alliance products.
  • Marketing responsibility for Novozymes’ current product portfolio in agricultural biologicals will be transferred to Monsanto along with much of the Novozymes commercial organization currently responsible for that work. The two companies will work to ensure that existing customer relationships and know-how are maintained and further built on for short- and long-term success.
  • Both companies will benefit from profits on commercialized products resulting from this alliance and those products brought into the alliance by the parties. Through the alliance, the companies will also test and sell commercial microbial products purchased from other suppliers to bring additional value to farmers.

The agreement is subject to the approval of the relevant national antitrust authorities to the extent required. The alliance is expected to close in early 2014. Further terms of the alliance were not disclosed.

Topcon’s O’Connor Inducted Into AEM Hall Of Fame

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Topcon’s Ray O’Connor (right) pictured with Stu Levenick (left), 2013 AEM Chair, who announced the induction of O’Connor into the AEM Hall of Fame.

Topcon’s Ray O’Connor (right) pictured with Stu Levenick, 2013 AEM Chair, who announced the induction of O’Connor into the AEM Hall of Fame.

Ray O’Connor, president and CEO of Topcon Positioning Systems, and senior managing executive officer with Topcon Corporation, was inducted into the Association of Equipment Manufacturers (AEM) Hall of Fame during its 2013 annual conference held in early November.

The AEM Hall of Fame recognizes and celebrates outstanding individuals in the off-road equipment industry, and their legacy of innovation, service and leadership.

O’Connor said, “I am extremely humbled by the award and to join so many of the great leaders of our industry in the Hall of Fame. This honor can’t be achieved by an individual but only by a team of people with a passion to succeed. The team of employees and distributors we have at Topcon exemplifies this. Without their dedication, expertise and partnership in sharing a common goal, Topcon would not be making the positive global impact that it is in the diverse industries we serve.”

In his acceptance speech he acknowledged the great opportunities that America presents. He said as an Irish immigrant, “It didn’t take me long to realize that I had found the only place on the planet where a kid from another country had the freedom to dream big dreams and could actually make them come true!”

He is the youngest person ever inducted and joins 47 others described by AEM as pioneers whose vision and hard work have been critical to advancing global economic and social prosperity; their legacy strengthens continued industry contributions to improving our quality of life, and serves as an inspiration for tomorrow’s leaders.

Past inductees include such notable industry giants as John Deere (inducted in 2012), William Otis (inventor of the steam shovel), Jerome Case, Dr. Hans Liebherr, Reinhard Wirtgen, and Gary Vermeer to name a few.

O’Connor joined Topcon in 1993 as the first employee dedicated to the laser product industry. Announcing the induction, Stu Levenick, the 2013 AEM Chair cited O’Connor for having a key goal to automate the construction and agricultural industry. In addition to striving to meet the global requirement of positioning automation, O’Connor developed a global “ring of technology centers where the brightest geospatial engineers…create the next generation of products,” he said.

He also noted O’Connor’s leadership in implementing the Topcon Educational Partnership Program, which now helps provide the latest positioning technology to construction and agricultural related programs at more than 500 universities and associations worldwide.

O’Connor is also the 2006 recipient of Toshiba Corporation’s Business Performance Award (the first recipient of non-Japanese descent) for “his superior leadership and performance.” In 2012, Pompeii, Italy honored him for supporting “preservation and renovation” of the landmark city; the University of Naples awarded him an honorary doctorate degree for his efforts.

O’Connor also received an honorary doctorate from The Dublin Institute of Technology for his “global leadership in precision measurement technology.” Geospatial World magazine named him Business Leader of the Year earlier this year.

Inducted with O’Connor were Dr. Helmut Claas, CEO of CLAAS farm machinery company, and Friedrich Schwing, Sr., founder of Schwing GmbH who has more than 1,200 patents relating to innovations in material handling and construction equipment that powers the majority of modern concrete pumps.

More information, including videos of this year’s induction speeches and the complete list of the AEM Hall of Fame members is available at www.aem.org/HallOfFame.

Kinze Launching First Electric Multi-Hybrid Planter

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In order to help farmers optimize their seed hybrids and increase their yields, Kinze Manufacturing, Inc. announces the world’s first electric multi-hybrid concept planter. Multi-hybrid technology provides farmers with the ability to change the seed hybrid they are planting automatically as the planter moves through the field. Instead of selecting an average seed variety for use across an entire field, seed hybrids can be selected and automatically planted to suit different field management zones.

For example, in parts of the field with high productivity soil, a “racehorse” seed variety can be utilized, whereas a “workhorse” seed variety can be used in the less productive areas. In fields with poor drainage, a variety that can handle moisture can be planted in the lower areas, with a more productive variety used in field locations with a higher elevation.

“The electric multi-hybrid planter will allow farmers to maximize yield in every part of their field, and not have to make compromises,” said Rhett Schildroth, senior product manager at Kinze Manufacturing. “The yield gains in our trials varied from 2 bushels per acre to more than 10 bushels per acre by utilizing multi-hybrid planting. And unlike other crop practices that seem to have good results one year and negative results the next, every trial we’ve conducted with multi-hybrid planting has resulted in a yield increase.”

The new Kinze electric multi-hybrid concept planter has new row units that incorporate two meters for every row. The meters feed a single seed tube, so the row unit gauge wheels, openers, and closing wheels are identical to a standard Kinze 4000 series row unit.

“This was only possible by using the new electric drive option on the Kinze 4000 series meters. By eliminating the drive chain and clutch, we were able to orient the meters close together so that they feed a single seed tube,” said Schildroth. “It is a very elegant way to add the multi-hybrid planting capability.”

Kinze will be partnering with Midwestern farmers during spring 2014 to showcase the technology in the field on several electric multi-hybrid concept planters.

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