Seed E-News

March 9, 2007

Welcome to ASTA's electronic newsletter for members, allies and stakeholders. Please feel free to forward Seed E-News to others you believe might wish to receive news about the seed industry. ASTA respects your privacy and does not share this mailing list with other parties. If you have received this publication in error, you may unsubscribe at the end of this page. Questions, comments and your industry news are welcome — contact Lisa Dry at ASTA.

Past issues can be viewed here .

New Reports
USDA/ERS: The Changing Face of the U.S. Grain System: Differentiation and Identity Preservation Trends

ISU Seeks Manager Seed Testing Laboratory
Vacancy ID #070065

News of Interest
• SEED TODAY "According to ASTA": Chairman Harry Collins on Stewardship
• 3/7 ASTA member Scott Simplot on cloned beef in Business Week

4.1 Million Acres to Exit CRP 2007-10
USDA Agriculture Secretary Mike Johanns announced this week that an estimated 23.9 million acres out of 28 million acres of eligible Conservation Reserve Program (CRP) contracts are expected to be re-enrolled. Of the 4.1 million acres in CRP contracts that will exit CRP between 2007 and 2010, approximately 1.4 million acres are located in major corn producing states. Read more...

ASTA President and CEO Andy LaVigne (far right) joins USGC President Ken Hobbie, Economist Graham Brookes, and USGC Chairman Vic Miller at a news briefing in Washington.

Biotech Crops Help World's Farmers "Go Green"

A study by UK economist Graham Brookes, director of PG Economics Limited, documents major reductions in greenhouse gas emissions, fuel and pesticide use as biotech crops facilitate shift to conservation tillage.

Brookes presented his findings this week at a news conference held at the National Press Club in Washington which was sponsored by the U.S. Grains Council (USGC).

According to a news release from the USGC, biotech crops, planted during their 10th year of use on 215 million acres have reduced carbon dioxide emissions by 8.9 million tons. That's the equivalent to removing nearly 4 million family cars from the road for an entire year.

USGC Chairman Vic Miller, an Iowa corn producer, noted that "We are constantly being asked if North America can produce enough corn to meet food, fuel and export needs. The answer is yes, especially with the help of biotechnology. This study goes a long way toward documenting the production increases achieved with biotech crops. And greater yields mean more corn for ethanol, which -- unlike fossil fuels -- removes carbon dioxide from the air each time anew corn plant sprouts." Read more ...

USDA Halts Planting of Clearfield 131 Rice

Last weekend USDA officials issued an Emergency Action Notice (EAN) to advise rice growers that possible trace levels of genetical material not yet approved for commercialization in long grain rice had been found in Clearfield 131, marketed by Horizon Ag, LLC under license from BASF.

This week ASTA has participated in two briefings on the issue convened by USDA Under Secretary for Marketing and Regulatory Programs Bruce Knight. At press time, testing has not yet determined which event the genetic material is, but have eliminated Bayer's Liberty Link 601 and 62 which were found in Cheniere last fall, and plant-incorporated protectants and pharmaceuticals. USDA is coordinating with EPA and FDA, and believe that there is a very low possibility of any food safety risk, and FDA has not taken any action at this time.

According to rice officials, only three acres of CL131 had been planted, and precautions have been taken to prevent any further planting. Although several companies have conducted field trials with transgenic rice, none has been commercialized in the United States. For more information contact Bernice Slutsky.

State of the States...

California. An omnibus anti-biotech bill has been introduced. The California Seed Association (CSA) is preparing for the bill's first committee hearing later this month. ASTA is assisting with a legal analysis of the language for CSA to present in testimony. In general, the bill takes the approach of declaring everything biotech-related as a nuisance.

Missouri. SB 387, to establish the Missouri Rice Certification Act, has stalled. The bill prohibits the production, transporting, or handling of certain rice varieties except as provided by state regulations. Violations would have carried the penalty of at least ten thousand dollars but not more than one hundred thousand dollars per day per violation.

Another bill, SB 68, which would create the Missouri Seed Availability and Competition Act, is also on hold. If passed, this bill would require farmers who want to retain patented seed from a current harvest for planting the following season to register with the Department of Agriculture and pay a fee of seven dollars per bushel of saved seed. Then, a farmer would only be liable for health, safety, or environmental impacts if he or she intentionally or negligently failed to follow the patent holder's or manufacturer's instructions and guidelines for planting. Violations would be considered a crime of misappropriation of patented seed and a Class D felony.

For more information contact ASTA Director of State Legislative and Regulatory Affairs Pat Miller.

Around the Agencies...

Johanns Names Dave Johnson Deputy Chief of Staff. Agriculture Secretary Mike Johanns has named David L. Johnson as a U.S. Department of Agriculture (USDA) Deputy Chief of Staff, joining Beth Johnson in that role. Most recently, Johnson served as chief counsel to the U.S. Senate Committee on Agriculture, Nutrition and Forestry. He specialized in food, agricultural credit, and environmental policy during his tenure with the committee from 1994 to 2007. Johnson holds a law degree from the University of Chicago Law School. He has a bachelor's degree from Purdue University. Johnson is an Indiana native.

On Capitol Hill...

Subcommittee Reviews Impact of Feed Costs on the Livestock Industry.

On March 7th, the House Agriculture Subcommittee on Livestock, Dairy and Poultry held a hearing to review the impact of feed costs on the livestock industry. The subcommittee heard testimony from two panels of witnesses. The first panel included U.S. Department of Agriculture Deputy Secretary Chuck Conner, accompanied by USDA Deputy Chief Economist Dr. Joe Glauber. The officials answered questions about the growth of domestic biofuels and its impact on the crop and livestock markets.
The second panel was comprised of seven witnesses. Six farmers, ranchers and producers across America representing the beef and dairy cattle, pork, and poultry sectors testified about the impact of feed costs on their production. The panel also included a professor from the University of Minnesota's Animal Science Department who spoke about that school's research into distiller's dried grains, an ethanol co-product that is used as a livestock feed. The opening statements of all eight witnesses are available on the Committee website.

Ag Subcommittee Reviews Renewable Energy Finance Structure. On March 8, the House Agriculture Subcommittee on Conservation, Credit, Energy and Research held a hearing to examine the financing structure of renewable energy sources.

The subcommittee heard testimony from 15 witnesses comprised of officals from USDA and other federal agencies as well as small banks, the farm credit system, venture capitalists, investors and project developers from across America who shared their perspective on the current federal finance structure for alternative energy projects and how that structure affects private investment. The opening statements of the witnesses are available on the Committee website.

Company News and People on the Move

Pickseed's Dr. Don Floyd has earned the American Society of Agronomy's 2006 Breeder of the Year Award. Floyd was recognized for his development of a ryegrass that crosses perennial and annual varieties. Unlike numerous other attempts at this type of cross, Floyd has achieved stability throughout subsequent cycles of seed multiplication for his grasses. Read more...

Monsanto and The Solae Company announce an agreement to develop and market Omega-3 products for a rapidly growing market that industry experts predict could grow to as much as $7 billion by 2011. Read more ...

This week Pioneer Hi-Bred International, Inc., announced a $50,000 contribution for a proposed bio-based products industry center at Iowa State University that will focus on the economic, business and policy aspects of the emerging bio-economy. Read more...

ASTA President and CEO Andy LaVigne addressed participants in the 20th ASTA Managment Academy held this week on the Purdue University campus in West Lafayette, Ind. More than 40 seed professionals gathered for a week of study designed to focus on the practical application of general management concepts that are critical to the long-term success of seed firms. The course is held annually, and information is available here.

Upcoming Industry Events

Western Society of Weed Science Annual Meeting
3/13 - 3/15
Portland, OR

ASTA/USDA Conservation Workshop
3/15 - 3/16
USDA South Building
Washington, DC Contact Leslie Cahill

APHIS/ASTA Phytosanitary Workshop
3/22
USDA Whitten Building
Washington, DC Contact Alexis Ellicott

California Seed Association Annual Meeting
3/25 - 3/28
Loews Coronado Bay Resort
Coronado, CA

Click here for a schedule of additional industry events