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Today’s Topics
taxes
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California proposal: Tax rich to pay for wildfires and electric vehicles

Voters in California will decide on Nov. 8 whether to raise the state income tax on millionaires to pay for electric cars, charging stations and wildfire prevention programs. So-called Proposition 30 in California has strong support but the double-digit margin was eroding, according to a poll released early this month.

Biden says no to higher gas taxes to pay for infrastructure

If a bipartisan infrastructure deal holds, Midwesterners can expect upgrades to roads, bridges and broadband networks, President Biden said on Tuesday in LaCrosse, Wisconsin. "There is no gas tax (increase)," he said. "Working families have already paid enough."

Farmers worried by possible new capital gains, estate tax liability

To tax wealth, Biden would narrow ‘stepped-up basis’ loophole

President Biden proposed stricter application of capital gains taxes, potentially generating billions of dollars in federal revenue, on Wednesday by restricting use of the decades-old "stepped-up basis" that reduces liability on inherited property. Although the White House said it would not increase taxes on heirs who want to keep the family farm running, the largest U.S. farm group was skeptical that the protection could be fashioned into law.

farmed salmon
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AquaBounty, developer of GMO salmon, to cease fish farming operations

AquaBounty Technologies, which in 2015 became the first company to gain FDA approval of a GMO animal for human consumption, a salmon, said that after months of retrenchment, it would shut down its fish farming operations. Environmental groups had challenged the FDA decision in court for years and won promises from major grocers and food service companies not to stock the AquAdvantage salmon.

Why are Pacific salmon shrinking?

Pacific salmon returning to waterways up and down North America are shrinking. As Miranda Weiss explains in FERN’s latest story, published with bioGraphic, the fish are growing more slowly at sea and, in many cases, returning to spawn younger and smaller than ever before. <strong>(No paywall)</strong>

Maine pulls plug on controversial salmon farm project

The Maine Department of Marine Resources on Thursday killed a proposal by a Norwegian-backed company to build two massive salmon farms in the middle of pristine Frenchman Bay, next to Acadia National Park. The decision ended a long-running saga that had generated considerable opposition in the community over fears that the farms would foul the water and ruin the local fishing and shellfish industries.

In Maine, residents rise up against industrial-scale aquaculture

A proposal by a Norwegian-owned company to build two massive salmon farms in the middle of a pristine bay next to Acadia National Park in Bar Harbor, Maine, has the community in revolt over fears that they will foul the water and ruin the local fishing and shellfish industries.<strong>(No paywall)</strong>

National Organic Standards Board
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Workshops to ‘plot the next 30 years’ of organic

A series of four workshops beginning on Oct. 27 will focus on the future of organic production in the United States, said the Organic Trade Association and the Swette Center at Arizona State University on Wednesday. "We need everyone seated at the table to successfully plot the next 30 years of organic," said Swette Center director Kathleen Merrigan.

Slowest growth rate for organic food sales since 2009

Organic food is everywhere, from nationwide retailers to the local corner store, and facing increased price competition that slowed sales growth to its lowest rate since 2009, said the Organic Trade Association in an annual report on Wednesday.

USDA fills two vacancies on organics board

As the National Organic Standards Board opened its semi-annual meeting this week, the USDA announced two appointments to the group’s 15-member board.

Departing NOSB member supports ‘add-on’ organic label

Francis Thicke, who owns a certified organic dairy farm in Iowa, is ending his five-year term on the National Organic Standards Board with criticism of the influence of “big business” on the USDA organic program and with support for an add-on organic label that “represents real organic food.”

Roberts cites ‘dysfunction’ at organic ag board, hints at farm bill action

At a hearing to gather ideas for the 2018 farm bill, Senate Agriculture chairman Pat Roberts hinted at an overhaul of organic agriculture regulations, citing “uncertainty and dysfunction” at the National Organic Standards Board, which advises the USDA on what should be allowed in organic production.

La Nina
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A ‘pretty flat’ outlook for farm exports in 2023

After reaching a record high in 2022, U.S. farm exports will plateau amid a world of uncertainties, said the USDA chief economist on Tuesday. The strong dollar and slower economic growth worldwide will be a drag on exports, now forecast by USDA at $193.5 billion this fiscal year, down slightly from the estimated record of $196 billion in the fiscal year that ended on Sept. 30.

Drought in Plains and Southeast, says NOAA’s winter forecast

Winter will be drier and warmer than usual for the central to southern Plains and the Southeast, said government forecasters on Thursday, suggesting there would be little drought relief in major wheat-growing states or precipitation to restore water levels in the Mississippi River. It would be the third U.S. winter in a row under the La Niña pattern, which typically brings warmer and drier weather to the U.S. southern tier, from California to the Carolinas.

Heading into winter, drought forecast to spread in southern Plains

Drought will persist into the winter in the South and expand in the wheat-growing southern Plains, says the National Weather Service in a forecast running through Feb. 28. Some 30 percent of the nation already is in drought, and the past month has been very warm and dry east of the Rocky Mountains.

Grain prices to remain low into 2017

The global grain glut and weaker demand from China will keep grain prices low into next year, according to analysts at Olam International, one of the world's largest commodities traders, reports Bloomberg.

Chances of La Niña weather pattern plummet

NOAA has shelved its La Niña watch because its forecasters see little prospect for the weather pattern, somewhat of a mirror to the better-known El Niño, for the next six months. In June, La Niña chances were 75 percent but they are now 40 percent because air and water temperatures in the southern Pacific Ocean are relatively neutral between the two weather patterns.

food access
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Food insecurity rises 10 percent in low- and middle-income countries

Nearly one-third of the people in 77 low- and middle-income countries are food insecure, meaning they lack consistent access to enough food for a healthy and active lifestyle, said an annual USDA report. The 9.8-percent increase to 1.3 billion people this year included 41.7 million affected by higher food, fuel and fertilizer costs attributed to Russia's invasion of Ukraine.

Reports: As digital grocery market expands, questions of access, fairness, and affordability loom

The rapid rise of food delivery and online grocery shopping, particularly among SNAP recipients, is both transforming the food system and raising new questions about how to measure and improve access to food and food security, according to two new reports from the Brookings Institution.

Q&A: A rural Montana school district scrambles keep kids fed during pandemic

Like school nutrition staff across the country, Marsha Wartick, food service director for the Ronan School District in tiny Ronan, Montana, spent the last six months feeding hungry kids and their families under a USDA emergency meals program. Now, as kids head back to school, Wartick is scrambling to react to mixed signals from the administration and hoping the emergency program is allowed to continue through the entire school year. <strong>(No paywall)</strong>

USDA food boxes for charity called ‘inefficient’

The "farmers to families food box," a $3 billion part of the Trump administration's coronavirus relief package, may not be an efficient use of taxpayer dollars although it is aimed at two vexing issues during the pandemic – crops with no buyers and food banks overwhelmed by demand, said a panel of analysts on Monday.

Donad Trump
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Trump puts agriculture on list of potential ‘wealth fund’ investments

In a speech on Thursday, former president Donald Trump included “new and modern agricultural techniques” on a crowded list of potential investments from a yet-to-be-created wealth fund that might be bankrolled by import tariffs.

Sam Clovis, tainted in Russia probe, resurfaces in Trump campaign

A national co-chair of the 2016 Trump campaign, Sam Clovis, is a member of the newly announced Farmers and Ranchers for Trump, according to the organization's website. Clovis withdrew his nomination for USDA chief scientist on Nov. 2, 2017, after investigators said he encouraged a campaign staff worker to try to contact Russians claiming to have harmful information about Democratic nominee Hillary Clinton.

Soybean stocks to surge if Sino-U.S. trade war flares

Trump tariff payments and E15 take a hit from shutdown

The partial government shutdown is putting a kink in the Trump tariff payments to farmers and it could prevent the EPA from approving the sale of E15 by the summer, as promised by President Trump. But farm groups have made few public complaints about the shutdown, now in its third week.

Disruption in U.S. cotton and soy exports loom due to trade war

One of the world's largest grain companies warned of a "skinny export season" for U.S. soybeans and an intergovernmental body said the United States might need to seek new markets for its cotton due to President Trump's trade war with China. Meanwhile, the Trump administration threatened on Wednesday to put 25-percent tariffs on $200 billion worth of Chinese imports as leverage for reform.

Price Loss Coverage
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USDA payments on corn and wheat more likely with PLC

After looking at the latest USDA price projections for corn, wheat, and soybeans, and taking into account price patterns for the crops, five university economists say the Price Loss Coverage subsidy is a better choice for growers than the Agricultural Risk Coverage subsidy for corn and wheat grown this year.

USDA gives growers the chance to switch crop subsidy programs

For the first time since the 2014 farm bill was implemented, the USDA is giving farmers the option of changing enrollment between the insurance-like Agriculture Risk Coverage and the traditionally designed Price Loss Coverage subsidies.

Sign-up for ARC and PLC may begin Sept. 1

Late this summer, growers will get their first chance in years to switch between the Agricultural Risk Coverage and Price Loss Coverage subsidies, Agriculture Secretary Sonny Perdue told lawmakers last week. During testimony at two hearings, Perdue also said the USDA would hold a "general" sign-up for the Conservation Reserve before the end of the year.

Farm bill proposal on yields ‘does not seem prudent,’ say analysts

House Agriculture chairman Micheal Conaway says he tried to help every section of the country in his version of the 2018 farm bill, which was ratified by his fellow House Republicans but now is stalled by myriad House-Senate disputes. One of the House provisions, to give some but not all growers the opportunity to potentially increase their subsidy payments, "does not seem prudent," said four university economists.

Cottonseed becomes eligible for crop subsidies under USDA funding bill

In a novel step, cotton growers would be eligible for two different crop-subsidy programs under a provision in the USDA-FDA funding bill approved by the Senate Appropriations Committee. The provision designates cottonseed, harvested from the boll along with cotton fiber, as one of the "other oilseeds" that can collect Price Loss Coverage subsidies while USDA runs a separate, insurance-like subsidy program for cotton fiber.

USTR
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U.S. suspends trade engagement with Burma in wake of coup

USTR nominee says he will give priority to agriculture trade

President Trump's nominee for U.S. trade representative, Robert Lighthizer, said at his confirmation hearing that he will follow Trump's "America first" policy. Reminded by farm-state senators of the importance of exports to the agricultural economy, Lighthizer responded, "I assure you we will prioritize agriculture," reported DTN.

South Africa to resume imports of U.S. chicken meat

South Africa to resume imports of U.S. bone-in chicken meat, "initially 65,000 tonnes a year, under an agreement reach by the two countries," said Reuters.

US and Japan to meet on agriculture market access

U.S. and Japanese officials are to discuss agriculture market access issues this week in Tokyo. Market access has become a major obstacle to a Trans-Pacific Partnership trade agreement involving...

South Sudan
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FAO sees high risk of hunger in eight nations, famine possible in three

In a “global early warning” report, the UN Food and Agriculture Organization lists eight nations with a high risk of hunger and says famine is possible in three of them: Yemen, South Sudan, and Somalia.

UN official says 8.4 million Yemenis ‘a step away from famine’

The Saudi-led blockade of ports into Yemen "is limiting supplies of fuel, food and medicines," said a senior UN official in the country. "The lives of millions of people, including 8.4 million Yemenis who are a step away from famine, hinge on our ability to continue our operations and to provide health, safe water, food, shelter and nutrition support." The statement by humanitarian coordinator Jamie McGoldrick follows an assessment by the Famine Early Warning Systems Network (FEWS NET) that there is a credible risk of famine in 2018 in Yemen, South Sudan, Somalia and Nigeria.

Trump seeks 15-percent domestic cut to pay for big military spending

President Trump would pay for his proposed $54-billion increase in military spending in fiscal 2018 by cutting domestic discretionary programs by 15 percent, said the think tank Center on Budget and Policy Priorities. "The president's proposal would continue a severe, multi-year squeeze" on discretionary programs such as education, job training, clean water, and medical and scientific research, said the think tank.

In South Sudan, 100,000 people face starvation in man-made famine

Three U.N. agencies said war and a collapsing economy have put 100,000 people at risk of starvation in South Sudan. An additional 1 million are on the brink of starvation, said the agencies, which warned, "The total number of food insecure people is expected to rise to 5.5 million at the height of the lean season in July if nothing is done to curb the severity and spread of the food crisis."

Famine possible in three East Africa nations; drought is a factor

Drought is depriving millions of Somalis of enough to eat, the nation's president said in an appeal for international aid. The Famine Early Warning Systems Network, created by the USAID, said famine is possible in Somalia, South Sudan and Yemen, all in East Africa. Armed conflict has aggravated the effects of drought.

FDA
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FDA updates its standards for use of ‘healthy’ on food packages

With most Americans eating too much saturated fat, salt, and added sugar, the Food and Drug Administration updated its regulations on Thursday for when food makers can say on their packages that their products are healthy. Consumer groups said the rule, the first update since 1994, was a significant improvement but that further steps are needed to make it easier to eat a nutritious diet.

AquaBounty, developer of GMO salmon, to cease fish farming operations

AquaBounty Technologies, which in 2015 became the first company to gain FDA approval of a GMO animal for human consumption, a salmon, said that after months of retrenchment, it would shut down its fish farming operations. Environmental groups had challenged the FDA decision in court for years and won promises from major grocers and food service companies not to stock the AquAdvantage salmon.

FDA is doing ‘not much’ against diabetes and obesity epidemics, says Sanders

The Food and Drug Administration ought to take on the food industry to protect Americans from ultra-processed foods loaded with salt, fat, and sugar, said Senate Health committee chairman Bernie Sanders on Thursday. “That is your job,” Sanders interjected when FDA commissioner Robert Califf said improvements in the U.S. diet will require societal consensus over the long term.

Trump picks Kennedy, vaccine skeptic, for health secretary

Robert F. Kennedy Jr. will head the Department of Health and Human Services in the new administration, said President-elect Donald Trump on Thursday. “For too long, Americans have been crushed by the industrial food complex and drug companies who have engaged in deception, misinformation, and disinformation when it comes to public health,” said Trump in announcing the nomination.

FDA sets new target for less salt in foods

Food makers and restaurants were asked by the Food and Drug Administration on Thursday to voluntarily reduce salt levels in 163 categories of food over a three-year period. Americans still would consume more salt than is recommended in the Dietary Guidelines, 2,750 milligrams a day vs. 2,300 milligrams, but "even modest improvements across the population could produce a large public health benefit," said the agency.