Short-term U.S. grain exports to Japan likely to slow
INDIANAPOLIS, Ind. (AP) — Agricultural experts said last week the United States will likely send less food to Japan in the coming weeks as damage from the March 11 earthquake and tsunami makes shipping to some areas difficult. They also expect to see the Japanese eating less as they bury their dead and focus on emergency work.

But agricultural analysts say it’s unclear what Japan will need from America’s bread basket in the longer term. The island nation with the world’s third-largest economy is typically a top buyer of U.S. grains and meats.

Some analysts say grain sales could remain slow if damage to feed mills and other facilities leaves the Japanese without the means to process food. But other analysts say that will only create more demand for finished pork products and ready-to-eat items such as cereal.

On March 15 The Associated Press reported commodities prices were plummeting as the nuclear crisis in Japan raises more questions about the nation’s ongoing demand for such items as grains, metals and oil. The steepest price declines in that day’s trading included wheat (which later climbed on fears of more Russian shortages), corn, soybeans, gasoline and palladium.
Potentially dangerous levels of radiation are leaking from a crippled nuclear plant in Japan. Investors are awaiting more clarity about what lies ahead for its economy. Many were selling commodities in favor of assets considered relatively safe, such as U.S. Treasurys and the dollar.

Wheat prices climb after Russia cuts crop forecast
NEW YORK, N.Y. (AP) — Wheat prices are climbing after Russia cut its forecast for this year’s harvest, renewing concerns that global supplies will tighten.
Wheat settled up 2 percent Friday after a Russian official predicted 84 million-85 million tons of wheat would be harvested this year. That compares to an earlier estimate of 85 million-87 million tons. The news comes after Russia’s wheat harvest was damaged last year by a drought, prompting an export ban that remains in place.

Corn prices were soaring a second day Friday as strong export sales raised expectations for improving demand. Other commodities were mixed. Oil and other energy products were falling while metals were mostly higher.

Congress sends 3-week funding bill to Obama
WASHINGTON, D.C. (AP) — Congress approved an additional $6 billion in spending cuts Thursday, passing legislation to keep the government running through April 8 and allow time for talks on a larger package of reductions demanded by Republicans.

The measure brought the total of cuts to $10 billion since Republicans took control of the House in January on a promise to rein in the federal government. It cleared the Senate on Thursday on a 87-13 vote, one day after passing the House.

According to the National Assoc. of Wheat Growers, cuts included $358 million from agricultural research funds, including $122 million from the National Institute of Food and Agriculture’s research and education mission; $115 from the Agricultural Research Service; $24 million from Animal and Plant Health Inspection Service (APHIS) salaries; $37 million from conservation programs; and $11 million from extension services.

Agriculture chief aims to ease fear on EPA dust rules
DENVER, Colo. (AP) — Agriculture Secretary Tom Vilsack said March 14 that farmers shouldn’t be overly concerned that new federal air regulations will hurt their livelihoods.

Farms frequently produce dust clouds during harvests, and farmers are waiting nervously to hear whether the U.S. Environmental Protection Agency (EPA) plans to clamp down on dust and dirt. The American Lung Assoc. and others have called for tougher dust controls when the EPA revises air pollution standards.

But members of Congress from rural areas have asked the EPA not to tighten rural limits on the so-called coarse particulate matter. Tighter controls could require farmers to pave more gravel roads or use costlier no-till farming practices.

“I don’t think that farmers should presuppose that there’s going to be a significant amount of regulation” about farm dust, Vilsack told reporters.
Vilsack said he was confident the revised air-quality standards won’t burden farmers. But a farming group that sued over farm dust rules five years ago reacted cautiously to Vilsack’s assurances.

“We’ve learned not to take anything for granted from any agency and not to believe what any agency says until it happens,” said Richard Krause, senior director of Congressional affairs for the Washington-based American Farm Bureau Federation.

Barn fire causes up to $1M damage in Boone Co.
ADVANCE, Ind.— An early morning fire destroyed a barn in rural Boone County on March 17. It happened just before 4 a.m. on a farm off State Road 75 just north of the town of Advance, according to WXIN-Fox 59 News in Indianapolis.
The fire set off several small explosions from propane tanks on two combines that were housed in the barn. Fire crews were concerned the blaze would spread to a nearby field, but it was contained in time.

No one was reported injured. Firefighters told WXIN damage is estimated between a $500,00-$1 million. The cause of the fire is not yet known.