Wheat Letter Blog Archive - Page 27 of 101

Wheat Leaders: Protect Lower Snake River Dams

Washington Senator Patti Murray and Washington Governor Jay Inslee recently announced their recommendations concerning a final Lower Snake River Dams (LSRD) Benefit Replacement Report. Basically, they state their belief that while breaching the dams would help salmon populations, breaching should not occur until economic impacts, including substantial negative effects on the U.S. wheat export system, are mitigated.

The National Association of Wheat Growers (NAWG) responded to the recommendations August 26, reflecting the position of U.S. Wheat Associates (USW) and local organizations representing U.S. wheat growers.

“The dams play a vital role in providing a safe, efficient and affordable way for wheat farmers to get their product to market,” said NAWG CEO Chandler Goule. “We are glad the recommendations released by Senator Murray and Governor Inslee recognize the role these dams play in agriculture and acknowledge dam breaching is not feasible at present.

“However, we remain concerned and opposed to breaching as it would be detrimental to wheat growers across the region. Last month, NAWG filed public comments outlining our concerns, whereby other modes of transportation cannot simply replace barging. Wheat farmers move grain most efficiently by using the waterway instead of rail or truck while reducing greenhouse gas emissions. NAWG remains committed to working with our federal partners and stakeholders to meet the challenge of helping facilitate a healthy river ecosystem while supporting wheat growers.”

The Idaho Wheat Commission produced the video story above about the Columbia Snake River System and its irreplaceable role in the Pacific Northwest U.S. wheat production and export system.

USW has also shared the following information about the Lower Snake River dams:

Facts About U.S. Wheat Exports And The Columbia Snake River System

USW Expresses Support For Maintaining Lower Snake River Dams

Report On Replacing The Benefits Of The Lower Snake River Dams Generates Concern

Capital Press Reports On Proposal To Remove Snake River Dams

August 26, 2022/by Steve Mercer

Freight Rail Service

Freight Rail Legislation Would Improve Market Competition for U.S. Wheat

This month, members of Congress, including the Chair of the House Transportation Committee introduced the Freight Rail Shipping Fair Market Act (FRSFMA). If adopted, the legislation will reauthorize the Surface Transportation Board (STB) and “create a fair marketplace” for railroads and shippers. A detailed look at what’s in the bill can be read here, while industry observations can be found here. The bill includes many updates that would provide fairer treatment for agricultural shippers, noted DTN.

Railroad users, wheat farmers, included, have been vocal about performance. Railroad executives and the shippers that depend on their service disagree on the reasons fueling the breakdown in reliability from the Class I railroads. The newly introduced legislation will go some way in creating a more even playing field for shippers, which will benefit farmers down the line.

Supporting Legislation

Most importantly, this bill would reauthorize the STB, a body that U.S. Wheat Associates (USW) supports and has worked with to put forward policies that benefit U.S. wheat farmers and their customers. The Agricultural Transportation Working Group (ATWG), of which USW is part, sent a letter to lawmakers encouraging the passage of FRSFMA. The letter was signed by 88 members of the ATWG, including the National Association of Wheat Growers (NAWG), with USW’s support.

According to the American Farm Bureau Federation, between the second quarter of 2021 and the second quarter of 2022, unfilled orders for grain cars went from 62,000 to 204,000, a 231% increase. During the same period, nearly 70% of grain car orders were 11 days overdue. Based on such challenges, the U.S. House of Representatives held two hearings and the STB held a hearing on poor freight rail performance since the start of the year. FRSFMA goes a long way to remedy the problems uncovered in those hearings.

Critical Components

Progressive Farmer, a news publication, explained some of the critical components of the bill that:

Strengthen the STB’s authority to address freight rail service emergencies. It requires rail contracts to include service delivery standards and remedies while leaving details to be privately negotiated between parties.
Provide the STB with a clear direction to resolve common carrier obligation complaints.
Create financial incentives for both railroads and their customers to move railcars efficiently.
Support freight railroad efforts to identify where freight is located on their systems while in transit.
Adequately fund the STB to allow for quicker dispute resolution when petitioned.

Meaningful Freight Rail Reforms

The American Chemistry Council, a trade group, commended the legislation saying, “This important legislation contains many thoughtful solutions that complement the much-needed reforms being considered by the STB. We urge Congress and the STB to work together on meaningful reforms that will incentivize the railroads to provide reliable and competitive service and hold them accountable when they fail to deliver.”

The CEO of the Association of American Railroads (AAR) pushed back on the legislation saying that it provides “unjustified government mandates” but failed to address the challenges that continued to plague the Class I railroads over the last year.

The Freight Rail Shipping Fair Market Act will significantly improve the issues piling up for the U.S. Class I railroads. FRSFMA also improves the farmers’ standing when dealing with the railroads. USW and the Transportation Working Group (TWG) supports the passage of FRSFMA and will continue to promote the work of the STB. Wheat farmers and customers of U.S. wheat know the importance of reliable freight rail service; it would positively help set U.S. wheat apart from other suppliers. This bill goes further toward improving that service.

By USW Market Analyst Michael Anderson

August 18, 2022/by Steve Mercer

Wheat Industry News

Recent news and highlights from around the U.S. wheat industry.

Speaking of Wheat

“We had to work on everything at once. We worked on [wheat] varieties to expand the market for Montana farmers. They not only had to have disease and sawfly resistance for certain areas, but varieties were also developed to make sure millers and bakers had the highest quality of winter wheat,” – Retired Montana State University Winter Wheat Breeder Dr. Phil Bruckner discussing his work with colleagues to develop hard red winter (HRW) wheat varieties for Montana farmers.

Happy Retirement to Wheat Breeder Phil Bruckner

Dr. Phil Bruckner, now retired Montana State University and Montana Ag Experiment Station winter wheat breeder, leaves behind a long legacy of developing strong winter wheat varieties that were popular with farmers and helped them be successful in the marketplace over the years. Bruckner began as MSU’s winter wheat breeder in 1992. He worked as breeder for 90 percent of his time and 10 percent teaching field crop production and genetics. Bruckner will always be known for the kind of cultivars that impacted Montana farmers favorably and helped them compete in export markets. Read more here.

Call for Reinvestment in Wheat as Foreign Policy Tool

Kansas Wheat CEO Justin Gilpin joined Boston University political science professor Rosella Cappella Zielinski in writing an editorial for “War On The Rocks” strongly advocating for the U.S. government to help increase the competitiveness of domestic wheat production. They suggested increased support for wheat breeding innovation, policies that reduce the cost of transporting wheat to export terminals, a renewed use of wheat in food assistance, and export credit policies that make it easier for developing countries to purchase U.S. wheat. Read “Breadbasket Diplomacy: Preserving Wheat as a Tool of American Statecraft” here.

Discovery Could Reduce Nitrogen Use in Wheat Production

Researchers at the University of California, Davis, have found a way to reduce the amount of nitrogen fertilizers needed to grow cereal crops like wheat and rice. The discovery could save farmers billions of dollars annually in fertilizer costs while also benefiting the environment. The research comes out of the lab of Eduardo Blumwald, a distinguished professor of plant sciences, who worked with rice plants to find a new pathway for cereals to capture the nitrogen they need to grow. Read more here.

Legislation Supports Agricultural Conservation

The Inflation Reduction Act signed into U.S. law Aug. 15 includes nearly $8.5 billion for the Environmental Quality Incentives Program, $7 billion for the Regional Conservation Partnership Program and $3.25 billion for the Conservation Stewardship Program. USDA also received $300 million to quantify carbon sequestration and greenhouse gas emissions from farmland. There’s money for farmers with prevented plant land to grow cover crops. Read more here.

Whole Wheat Dough Analysis

KPM Analytics has introduced an updated version of the Chopin Technologies “Alveolab” functional and rheological dough analyzer that analyzes whole wheat doughs for all rheological characteristics: tenacity, extensibility, elasticity and baking strength. Bakeries, milling companies, wheat breeders and grain storage facilities all my use the dough analyzer. Bakers may use the Alveolab to evaluate the quality of incoming wheat flours, test new recipes and adjust processes to provide brand-consistent products, according to Westborough-based KPM Analytics. Read more here.

Subscribe to USW Reports

USW publishes various reports and content available to subscribe to, including a bi-weekly newsletter highlighting recent Wheat Letter blog posts and wheat industry news, the weekly Price Report, and the weekly Harvest Report (available May to October). Subscribe here.

Follow USW Online

Visit our Facebook page for the latest updates, photos, and discussions of what is going on in the world of wheat. Also, find breaking news on Twitter, video stories on Vimeo, and more on LinkedIn.

August 18, 2022/by Steve Mercer

Wheat Production and Harvest

Bringing Home the Crop: The Work, Risk and Reward of Wheat Harvest

Every farmer marks the passage of the year by the work that must be done. U.S. Wheat Associates (USW) has described the care needed as the crop grows to protect its potential yield and quality in a sustainable way. Stunning fields of gold mark the culmination of a farmer’s time raising wheat.

Wheat harvest is a season that brings joy but also demands a determination to do whatever it takes to bring home the crop at its peak. In the photo above, Colorado wheat farmer Brian Starkebaum pushes through the evening to harvest his 2022 winter wheat crop.

“Wheat harvest represents the fruition of everything that we have worked for the last several months,” said Ohio farmer Jeremy Goyings. “You get to capitalize and collect those things that you hope you are doing right to make lots of high-quality, high yield product to sell.”

“The work is just an emotional roller coaster day by day, honestly,” said Montana wheat farmer Angie Hucke. “Farming is risky. Being able to manage that and control what you can to make the best of what you cannot control is something that farmers keep in their mind all the time. But this is what we decided to do, and we are going to dig our heels in and make the very best of it.”

As a part of its film, “Wholesome: The Journey of U.S. Wheat,” USW has shared individual chapters of the video since celebrating our 40th anniversary. “Harvest: Bringing Home the Crop” provides more information about the work, risk and rewards of each wheat harvest.

During the wheat harvest season, USW publishes a weekly harvest update. Subscribe here to receive this report directly to your inbox. On social media: follow hashtag #wheatharvest22 for updates throughout the season.

August 16, 2022/by Amanda Spoo

Precision Agriculture

How Will Precision Agriculture Help Farmers Meet Food Demand Sustainably?

U.S. farmers work every day to make the United States a sustainable source of wheat for domestic and overseas use. They assume enormous levels of risk. And, as they are asked to do more with less by their customers and society, farmers lead the way in the use of innovations like precision agriculture technologies.

Precision agriculture uses information technology and “smart” equipment to ensure that crops and soil receive exactly what they need for optimum health and productivity. The goal is to ensure economic and environmental sustainability for the farmer and the public.

The U.S.-based Association of Equipment Manufacturers (AEM) has published a whitepaper that identifies trends that may influence the future of global food production, including several that touch on precision agriculture. An online publication called Precision Farming Dealer recently summarized those trends.

Producing More with Less Environmental Impact

In 2021, AEM and other organizations also published a study on the Environmental Benefits of Precision Agriculture. The study found farmers using precision technology saw a 4% increase in crop production, 7% increase in fertilizer placement efficiency, 9% reduction in herbicide and pesticide use, and 6% reduction in fossil fuel use. According to the U.S. Sustainability Alliance, U.S. wheat yields increased more than 25% since 1980 through breeding and improved agronomic practices including precision agriculture technologies.

Interior of an agricultural vehicle with precision agriculture technology.

Precision Agriculture in the Cab. Farmers are adapting equipment that will continue to work smarter and do more with continued application of machine learning and connectivity, a pivotal part of increasingly sustainable wheat and other crop production systems.

Optimal Water Use

AEM noted that embracing precision irrigation will help ensure a stable food supply. The association’s study found growers using precision irrigation reduced their water use by 4%. U.S. wheat is a very water efficient crop with a less than 10% of U.S. wheat grown under irrigation. This includes the uniformly excellent quality Desert Durum^® grown in California and Arizona.

Improved Connectivity

“Connectivity is the lynchpin of agriculture’s future,” AEM report stated. Connectivity enables precision technologies, artificial intelligence and automation, and other components of the food chain of the future. And there is room to grow on the farm, and the U.S. federal government is helping by funding improved internet access in rural areas.

Farming With the “Internet of Things”

The AEM believes the agriculture industry is well-suited to maximize the influence of substantial amounts of “IoT” data. The report predicts artificial intelligence will begin to assume a prominent role throughout the entire crop production process over the next 10 years.

For example, precision agriculture equipment will work smarter and do more with continued application of machine learning and use of image recognition. Smart sprayers are already pairing image recognition with artificial intelligence for precise and only-as-needed crop protection applications.

Not Without Challenges

The rapidly advancing technology in agriculture holds exciting potential for positive innovations in wheat production and other crop systems. Yet there are always unexpected consequences. For example, equipment manufacturers’ use of proprietary repair tools, software, and diagnostics can limit the farmer’s ability to repair their own equipment. This means farmers have to pay dealer rates for repairs that they or third-party repair shop could do at a much lower cost. This is identified as the “right to repair” debate.

Still, as AEM stated, by adapting precision agriculture and other practices, farmers will always lead the way on sustainability.

“The world is changing,” AEM said. “Over the next 10 years, the one constant at the center of it all will be the American farmer, blessed with the ingenuity and tenacity needed to continue ensuring a reliable food supply here at home and abroad.”

Read more about innovation and sustainability at www.uswheat.org.

August 10, 2022/by Steve Mercer

Technical Service Activities, Trade Service Activities

Promoting U.S. Wheat Around the World

As U.S. Wheat Associates (USW) President Vince Peterson often says, at any given hour of the day there is someone, somewhere, talking about the quality, reliability and value of U.S. wheat. Wheat Letter wants to share just some of the ways USW was working in June and July to promote all six classes of U.S. wheat in an ever more complex world grain market.

USW Beijing Builds Online Resources

Pandemic restrictions to movement and gatherings continue in the People’s Republic of China and have compelled a greater reliance on remote delivery systems. USW Beijing now offers a suite of regular programming made up of translations from the USW Price Report, Crop Updates and our monthly Supply and Demand presentations. By adapting as many materials as possible to deliver remotely or online, USW Beijing is able to keep USW technical support, trade service, and U.S. wheat quality information flowing to China’s flour millers

USW Seoul Sent Noodle Makers to Wheat Marketing Center

In June, USW Seoul conducted a Noodle Flour Development Short Course with the expert staff at the Wheat Marketing Center (WMC) in Portland, Ore. The team included noodle processors and milling quality specialists from Korea. They made 34 distinct types of general ramen and non-fried ramen noodles using various blends of U.S. wheat and Australian wheat flour. As a result of the general ramen test, these customers concluded that U.S. flour could be increased in a blend with Australian flour and maintain acceptable appearance and texture. In addition, the course participants identified that adding U.S. hard red spring (HRS) flour improved the hardness of stir-type noodles.

A team of Korean noodle experts produce ramen noodlesmade with U.S. wheat flour at the Wheat Marketing Center in Portland, Oregon.

Better Wheat…Better Ramen. USW and the Wheat Marketing Center (WMC) held a Noodle Workshop for Korean manufacturers in June to test several blends of U.S. wheat flour for ramen noodle production. Here the participants are observing ramen on the WMC pilot production line.

USW Mexico City Technical Support

USW Mexico City Director of Technical Services Marcelo Mitre and consultant Juan Manuel Tiznado conducted a cookie seminar in June for processing staff at a large Mexican manufacturing plant. The seminar helped demonstrate improvements in processing and end-product quality, including improved outcomes using U.S. soft red winter (SRW) and soft white (SW) wheat flour. Mitre and Tiznado identified several modifications, and they will continue working with the manufacturer to monitor progress and the customer’s satisfaction with those improvements.

Chung and Goh Teach Baking

In July, USW Singapore held the 42nd Baking Science and Technology Course (BSTC) in conjunction with the UFM Baking and Cooking School in Bangkok, Thailand. Noted USW Bakery Consultant Roy Chung and USW Biscuit/Bakery and Noodle Technologist Ivan Goh were the principal lecturers. This six-week course features ingredient functionality, bread and cake processing, and sections on flour specification and quality evaluation. USW Manila Baking Technician Ady Redondo participated in the course and received the second highest overall score among 19 students. Those participants now understand more about how U.S. wheat classes provide superior functionality for the most popular wheat-based foods in their markets.

USW Santiago Brings U.S. Harvest to Customers

A benefit to both USW and its customers from pandemic travel restrictions is the ability to reach a lot more customers in a single online activity. In June, USW Santiago was able to share a detailed, up-to-date look at the 2022/23 U.S. hard red winter (HRW) and SRW crops then being harvested to 138 customers from 85 different companies in the South American region. Justin Gilpin, CEO, Kansas Wheat Commission reported on the progress and quality of the HRW crop while wheat farmer and a past USW Chairman Jason Scott representing the Maryland Grain Producers Utilization Board gave the SRW update. USW Santiago reports that there was active participation in the question-and-answer session and that those customers now have added confidence that these crops will offer excellent flour and functional characteristics. Read more about the current U.S. wheat harvest and by-class quality in the USW Harvest Report here.

The Oklahoma Wheat Commission, USW and members of a trade team from Ecuador and Peru observing U.S. wheat production participate in a trade agreement signing ceremony.

Ecuador and Peru Team in Oklahoma. The Oklahoma Wheat Commission (OWC) recently hosted members of a wheat industry trade team from Ecuador and Peru touring wheat handling and processing facilities. The Oklahoma Department of Agriculture and OWC held a ceremonial wheat trade signing with the team and USW, represented by USW Santiago Technical Manager Andrés Saturno (seated). Oklahoma State Secretary of Agriculture Ms. Blayne Arthur (seated) greeted the team. Hear more as Ron Hays with Oklahoma Farm Report interviews team members at https://bit.ly/3d9zEe1.

USW activities are made possible through export market development programs administered by the USDA Foreign Agricultural Service.

August 8, 2022/by Steve Mercer

Wheat Industry News

Recent news and highlights from around the U.S. wheat industry.