A five-minute summary of AAI, regulation, and industry activities for members of the largest state agribusiness association in the nation.
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REMINDER:
The main office in Des Moines is closed to visitors. AAI staff is still available to help you with your member needs via phone or email. Phones are still being answered during normal business hours. If you'd like to reach a specific member of the staff please visit our
staff listing
online.
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Weekly communications with IDALS critical for AAI members success
The Agribusiness Association of Iowa staff and members are a part of multiple conference calls each week with Secretary of Agriculture Mike Naig and his staff team at the Iowa Department of Agriculture and Land Stewardship (IDALS). This provides an opportunity for AAI to discuss current issues and concerns, hear from industry partners and provide additional feedback to Sec. Naig and IDALS staff.
Weekly Livestock Call Highlights Serious Supply Chain Issues
The erratic closing of meat processors and its impact on the livestock, feed, and grain industries was the dominant topic during the weekly IDALS livestock conference call this past Tuesday. Staff from AAI have taken part in this weekly call for the past six weeks, to look at the issues being faced by the livestock industry during the COVID-19 crisis.
The shutdown of packing plants in Iowa and surrounding states due to COVID-19 is having serious effects within the pork industry as tens of thousands of hogs ready for processing have no place to go and are backing up in the system. The change in the supply chain directly impacts grain mill operators as pork producers begin to aggressively cull herds and attempt to slow growth rates to deal with the lack of packing plant options.
Also highlighted in the call was the USDA plan to support farmers during the COVID-19 pandemic and the newly launched Pass the Pork program which will allow some hogs to be processed at local lockers and distributed to food pantries.
Weekly Crop Production Calls continue to address Applicator Certification Issues
Farmer planting and the agribusiness services needed to support it are providing a welcome respite for everyone in the agriculture industry as they work to get the crop in the ground and take part in activities that provide some level of normalcy.
For pesticide applicators, the backlog on entry of commercial applicators certifications from prior to mid-March are set to be completed early next week, according to IDALS. Additionally, about 400 people have registered with the new online pesticide applicator system. It was relayed and emphasized to IDALS by AAI CEO Joel Brinkmeyer that there have been some issues with the portal and the association is willing to help in whatever way we can to make that process easier for applicators. It was also emphasized that getting aerial applicator licensing and certification handled quickly is important to avoid problems with spring applications.
Of note, at least one ag retailer location has been completely shut down due to the possibility of an employee with COVID-19. There were multiple reports of ag retailers with employees who were tested for the virus, though no known positive cases have been reported.
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Work On Grain Liens Continues
The Iowa Supreme Court ruling in MidwestOne v Heartland has sparked continued action to deal with the grain lien issue for grain warehouses. This week, the Agribusiness Association of Iowa held a meeting to work on moving forward in light of the supreme court decision.
Legislation to guarantee grain warehouses to get paid for storing and conditioning grain is still the top priority and most effective method to deal with the grain lien issue. In the meantime, AAI is working on letters that grain warehouses could send to their customer’s banks to provide the grain warehouse with a stronger argument in the event of a lawsuit. Additionally, a letter that could be sent by a grain warehouse to customers alerting them to changes in business practices also is being worked on.
The association will provide additional information as progress is made on this topic.
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Important Instructions for the Pesticide Applicator Online System
Registration is required to use the new pesticide Self-Service Portal for License and Certification. Until you register, you do not have an account and will not be able to log in and access the system.
Note that registration is not instantaneous and registrations which are started outside of Iowa Department of Agriculture and Land Stewardship (IDALS) regular business hours (8:00 AM to 4:30 PM) will not progress until the next work day begins.
The process for registration is as follows:
- Click here to access the registration page.
- Fill out the required information.
Note: If you are an Applicator and currently have a Certification number, you must enter that number when you register. This will allow IDALS to link you to your information record.
If you are accessing records on behalf of a business, you will enter the License number of the business.
DO NOT
skip the Certification or License number if you have one or it will cause delays and require contacting the Pesticide Bureau to manually activate your account.
For extra information about the Registration process, click
here
.
The help guide starts with instructions for an applicator or business without a certification or license. If you already have a certification number or license, use pages 1 and 4 of the guide to complete your registration.
After you submit, this could take up to an hour, or will be sent the next business day if you are registering outside of business hours. A link will be sent to your email which you can click to set up your password.
Once your registration is completed, you can sign in using the
main login page
.
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AAI Supports Request for Additional Ag Research Funding
A letter was sent to congress this week requesting additional funding for agricultural research as part of the COVID-19 pandemic legislation. The Agribusiness Association of Iowa signed on to the letter to support the additional research funding that would be available to land grand institutions such as Iowa State University.
The request from the Association of Public and Land Grant Institutions encourages congress to allocate $380 million for USDA National Institute of Food and Agriculture’s capacity and competitive research programs. Such funding, if approved, would help Iowa, and all the states, address factors affiliated with COVID-19 disruptions of research, and support the invaluable work of extension programs in dealing with the crisis.
In addition to support from AAI, the letter received wide support from more than 100 other groups across the nation.
The letter can be found
here.
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Feed Manufacturers Guidance for COVID-19
The legal counsel for our national partner American Feed Industry Association provided a memo summarizing some recent updates to CDC/OSHA guidance. While the guidance is focused on how meat and poultry processing plants can establish or improve their COVID-19 response plans to continue operations, it can be applied to other manufacturing systems, such as animal feed and ingredients.
Many of the recommendations cover how to provide a safe environment for areas with multiple employees and how to maintain facilities to eliminate the virus from work areas.
The summary memo for Meat and Poultry Processing Workers and
Employers can be found
here.
The official CDC/OSHA guidance can be found
here.
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Paycheck Protection Program SBA Loans Reopened
Last Friday, the President signed a bill that provides additional money to the Small Business Administration Paycheck Protection Program (PPP). The program began taking applications again on Monday of this week.
SBA’s Paycheck Protection Program allows companies with 500 or fewer employees to seek loans of up to $10 million from banks, which are forgivable if the companies use 75 percent of the loan amount to keep employees on the payroll for eight weeks or hire back positions before July 1, 2020 to restore employment and salary levels for any changes made between Feb. 15, 2020 and April 26, 2020.
The bill also includes $50 billion for the Economic Injury Disaster Loan (EIDL) program loans and $10 billion for EIDL grants. EIDL loans may be used to pay fixed debts, payroll, accounts payable and other bills that can’t be paid because of the disaster’s impact.
The $484 billion package that includes the additional PPP funding also includes $75 billion for hospitals and $25 billion to “research, develop, validate, manufacture, purchase, administer, and expand capacity” for COVID-19 tests.
If you have any specific concerns about how the COVID-19 response is affecting your business, please contact
AAI staff
.
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Dicamba Training Available Online
Online training sessions have been approved for the state of Iowa. Info can be found at
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AAI Calendar of Meetings & Events
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Note:
Until further notice, all committee and board meetings will be held via conference call.
Conference call access information will be listed in calendar invitations.
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AAI Board of Directors Meeting
July 9
10:00 AM
Golf Tournament #1
July 21
Fox Ridge Golf Course
Dike, Iowa
(tentative)
Golf Tournament #2
July 22
Emerald Hills Golf Course
Arnolds Park, Iowa
(tentative)
Golf Tournament #3
August 10
The Legacy Golf Club
Norwalk, Iowa
(tentative)
Golf Tournament #4
September 17
TBA Location
(tentative)
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- Lawmakers ask for antitrust investigations after major packing plants shut down
- New program gets pork to food banks and a Presidential executive order for packing plants
- Farmers get busy with nearly a third of the corn crop planted last week
- More loan dollars for ag businesses trying to pay their employees
- Senator urges quick movement on relief efforts to help Iowa ag
Watch episodes from the past week anytime online!
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Monday's proclamation by Governor Reynolds extends the Public Health Emergency until May 27, 2020. All current relief measures will remain in force until that date. This includes agricultural truck weight limits and penalties for late payment of property tax.
Press release summarizing the proclamation can be found
here
.
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Iowa Secretary of Agriculture Mike Naig today announced several initiatives underway to assist Iowa pork producers impacted by meat processing plant closures related to COVID-19.
“The disruptions at the meat processing facilities have a ripple effect on the entire livestock industry and food supply chain,” said Secretary Naig. “We are working to get Iowa livestock producers the technical and financial resources they need as they look at all options to market and care for their animals.”
The Iowa Department of Agriculture and Land Stewardship has launched a Resources Coordination Center (RCC) to provide technical resources to pork producers impacted by meat processing plants that are running at limited capacity or have shut down.
The RCC brings public and private resources together to explore every option to help producers harvest livestock and meet the protein needs of Iowans. However, livestock farmers may need to explore euthanasia as a last resort to prevent animal welfare issues. Through the RCC, the Department is working with the Iowa Pork Producers Association, the Pork Industry Center and Iowa State University Extension and Outreach to provide technical assistance to impacted pork producers. Additional details will be released in the coming days.
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In a
letter to Vice President Mike Pence, the head of the White House Coronavirus Task Force, Iowa Governor Kim Reynolds, U.S. Senators Joni Ernst and Chuck Grassley along with Iowa Secretary of Agriculture Mike Naig are asking for additional support from the administration for the state’s pork producers.
The Iowa leaders write in part: “While the announcement by USDA Animal and Plant Health Inspection Service that they are standing up an incident command is helpful and the Interim Guidance from the Centers for Disease Control and Prevention and the Occupational Safety and Health Administration provides useful steps for protecting workers, we urgently request the additional following resources and authorities, including invoking the Defense Production Act, that will be required to keep Iowa pork production viable.
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The ongoing pandemic has dealt another blow to the struggling ethanol industry. ADM, one of the country’s major grain companies and a big ethanol producer, will idle dry mills in Cedar Rapids, Iowa, and Columbus, Nebraska.
The company informed the 180 people who work at the two locations Thursday that they will be furloughed.
“During the furlough, employees will continue to receive medical benefits and will be eligible to apply for state and federal unemployment benefits,” the company said in a statement posted on its website. “They will also have the option to apply for other open positions at ADM.”
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Iowa Governor Kim Reynolds, Lt. Gov. Adam Gregg and Secretary of Agriculture Mike Naig today announced a new “Pass the Pork” program to connect Iowa pig farmers with food insecure Iowans. The program is an initiative of Gov. Reynolds’ Feeding Iowans Task Force led by Lt. Gov. Gregg.
Through “Pass the Pork,” Iowa Pork Producers Association (IPPA) and the Iowa Department of Agriculture and Land Stewardship are helping Iowa pig farmers donate pigs to Iowa food bank feeding programs. Local meat processors are extending their hours of operation to process and package the pork donations to help meet the growing demand for food bank and food pantry resources. Iowa food banks are getting the pork into the hands of those in need.
“From family farms to the family’s dinner table, our entire food supply chain has been impacted by COVID-19,” said Gov. Reynolds. “‘Pass the Pork’ is an innovative partnership to put Iowa pork on the tables of families in need of food security while creating a new destination for pork which might otherwise go to waste. I’m grateful to Iowa’s pork producers, processors and others for stepping up to make this possible.”
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Soybeans are Iowa’s top agricultural export – spanning 9.9 million acres of farmland. That’s a lot of beans. But have you ever wondered how those soybeans go from fields to your kitchen table?
That’s what David Geiger (‘13 journalism) wanted to find out. His curiosity for the global food system turned into a three-and-a-half-year project – a documentary called “Journey of a Bean.” As an agribusiness reporter, Geiger spends a lot of time with farmers across the region.
“I got the idea while talking to someone who worked in the grain transport system,” Geiger says. “He mentioned that he could track the amount of crop being transported from field to factory. Once I heard that, I knew it was a story I wanted to tell.”
The 41-minute documentary follows the story of one soybean planted in Illinois. Geiger then tracks the soybean to its final destination, South Korea.
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Without a doubt, the biggest story of 2020 is the coronavirus pandemic. For the overall economy across much of the globe, the spread of this highly contagious virus to three million people has disrupted daily life, shut down multiple businesses, and made “social distancing” the new catchphrase for society.
But for ag retailers and their grower-customers, the COVID-19 outbreak hasn’t really interrupted business. In fact, most ag retailers I’ve spoken with over the past month have essentially echoed the comments from John Oster of The Morral Companies, Morral, OH (which I wrote about in March): “Vendor supply, so far, is not an issue,” said Oster. “[We had a] minor hiccup on truck arrangement, but for now, we have no major issues.”
One month later, other ag retailers located in states such as Illinois, Iowa, and California also say this is the case. “Despite the COVID imposed conditions, we are having a very good spring,” said these individuals.
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WATCH THE AGRIBUSINESS REPORT EACH DAY
Cedar Rapids - KCRG
Des Moines - WHO-TV
Ottumwa - KYOU-TV
You can follow David Geiger on Twitter to get all things agribusiness:
@GEIGERREPORTS
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STAY ENGAGED WITH AAI
The Agribusiness Association of Iowa is on multiple social media platforms. We publish event and learning session updates on our social media accounts.
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