Deere, UAW in negotiations

MOLINE, Ill. (AP) — Deere & Co. and the United Auto Workers (UAW) union have begun negotiations on a new contract covering about 9,500 employees – or roughly 17 percent of Deere’s workforce – at 15 of the company’s facilities across the country.
The world’s largest maker of farm equipment and the UAW said in a joint statement they have agreed not to comment publicly on contract issues during the talks. The current contract went into effect Oct. 1, 2003, and expires at midnight Sept. 30. It covers about 17 percent of the 56,653 people employed by Deere at the end of 2008.

Deere plants represented by the agreement include the following in Illinois: John Deere Harvester Works in East Moline, John Deere Seeding Group/Cylinder Division in Moline and John Deere North American Parts Distribution Center in Milan.

In Iowa, they include John Deere Davenport Works, John Deere Des Moines Works, John Deere Dubuque Works, John Deere Ottumwa Works, John Deere Waterloo Works, John Deere Engine Works in Waterloo, John Deere Waterloo Tractor, Cab Assembly Operations, John Deere Product Engineering Center in Waterloo and John Deere Foundry in Waterloo.

Organic certification aid ending

NASHVILLE, Tenn. — The Tennessee Department of Agriculture wants the state’s organic food producers, processors and handlers to take advantage of cost share assistance to help pay for organic certification before federal funding ends on Sept. 29. Any organic producer or business based in Tennessee is eligible for help with their 2007, 2008 and 2009 certification.

Tennessee producers, processors, or handlers of organic agricultural products can be reimbursed for 75 percent of the cost of certification up to a maximum of $750, each in the last two federal fiscal years. Participants could actually get reimbursed up to $1,500 total for the past few years of certification costs.

To apply, or for more information, contact Jon Frady at 615-837-5344 or e-mail Jon.Frady@TN.gov

Information and the program application are also available at www.picktnproducts.org/food/organics.html

Purdue receives high ranking
WEST LAFAYETTE, Ind. — U.S. News & World Report has ranked the Purdue University Department of Agricultural and Biological Engineering (ABE) undergraduate program the nation’s second best in that discipline. The news comes just months after the magazine ranked the department’s graduate program No. 1 nationally.

Agricultural and Biological Engineering is affiliated with the university’s College of Engineering. There are more than 300 undergraduate and more than 90 graduate students in the department. ABE offers degree programs in agricultural engineering, biological engineering and agricultural systems management. For more information, visit www.purdue.edu/abe

Farm Storage changes in detail
INDIANAPOLIS, Ind. — Changes to the Farm Storage Facility Loan (FSFL) program have been implemented in accordance with the 2008 farm bill. The USDA Farm Service Agency (FSA) administers FSFL on behalf of the USDA Commodity Credit Corporation (CCC).

FSFL provides low-interest financing for producers of eligible commodities to build or upgrade farm storage and handling facilities. The maximum principal amount of a loan through FSFL is $500,000. Participants are required to provide a down payment of 15 percent, with CCC providing a loan for the remaining 85 percent of the net cost of the eligible storage facility and permanent drying and handling equipment.

Loan terms of seven, 10 or 12 years are available depending on the amount of the loan. Interest rates for each term rate may be different and are based on the rate which CCC borrows from the Treasury Department.

Applications for FSFL must be submitted to the FSA county office that maintains the farm’s records. An FSFL must be approved before any site preparation or construction can begin.

The following are eligible for farm storage facility loans: corn, grain sorghum, rice, soybeans, oats, peanuts, wheat, barley or minor oilseeds harvested as whole grain; corn, grain sorghum, wheat, oats or barley harvested as other-than-whole grain; pulse crops – lentils, small chickpeas and dry peas; hay; renewable biomass; and fruits (including nuts) and vegetables – cold storage facilities.
For more information about FSFL or other FSA price support program, visit your FSA county office or www.fsa.usda.gov

CoBank 2nd quarter finances
DENVER, Colo. — CoBank announced financial results for the second quarter of 2009, reporting strong net earnings and continuing solid levels of capital and liquidity. As expected, credit quality in the bank’s loan and lease portfolio declined moderately but remained within historical averages.

Net earnings for the second quarter were $156.1 million, compared to $158.4 million for the same period last year. Total earnings for the six months ended June 30 were $316.0 million, a 3 percent increase compared to the same period in 2008. Net interest income for the quarter rose 3 percent, to $239.7 million. Total loans and leases for CoBank were $44.9 billion as of June 30, compared to $44.6 billion at year-end.

Agribusiness lending has declined markedly this year due to the substantial drop in prices for grains and farm inputs from 2008’s extremely high levels. At the same time, the bank saw continued growth in U.S. government-guaranteed loans that support American agricultural exports, in loans to energy customers, and in loans to and participations with affiliated associations and other partners across the Farm Credit System.