Bureau County Republican

Facing the challenges together

IVCC and the U of I Extension will partner for the 2018 Farm Outlook and Ag Leasing Seminar

OGLESBY —With ice and snow still covering the Illinois Valley, spring planting may not be at the front of our thoughts, but being aware of 2018's upcoming agricultural challenges and program developments is necessary if farmers wish to have a successful year.

With that in mind, the University of Illinois (U of I) Extension, which serves Bureau, LaSalle, Marshall and Putnam counties, is inviting farmland owners, operators and others in the agricultural industry to attend an upcoming seminar at Illinois Valley Community College on Jan. 25.

The seminar will provide in-depth and unbiased, research-based information regarding the economic agricultural outlook for 2018 and current ag leasing options. The program will be presented by Gary Schnitkey, a U of I professor of agricultural and consumer economics and Extension specialist.

"Landlords on Class A, top-producing soils are going to more cash-rent leases with very little change in the amount of rent paid. Class-B soils cash rents are moving slightly lower in our area," Daryle Wragge, Extension program coordinator for Ag and Natural Resources, said.

Crop-shares, flexible leases, cost centers, price projections and returns to land will also be covered.

"Crop-share leases are at a stable rate, and some interest is developing in variable cash- rent arrangements. Land is still extremely competitive in our area, even though profit margins are lessening," Wragge added.

Additionally, Jonathan Coppess, a clinical assistant professor of law with the U of I, as well as the policy director of the Bock Agricultural Law and Policy program and Extension specialist, will be speaking about information on the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) crop insurance options reflecting 2018 pricing and risks.

Wragge's outlook for price improvements is currently minimal, but he added the overall outlook depends greatly on the supply factor supported by three years of record production from all major grain producing areas of the world, including the United States, which is unprecedented in the history of crop production record keeping.

"This world production is due for a problem somewhere, and this supply situation can be used up rather fast. Four-dollar corn and ten-dollar beans is a goal that could be achieved if and when a problem of production arises, but hopefully it's just not here," Wragge said.

Some of the risks Wragge is expecting area farmers to be facing this year include high seed costs; no or minimal government payments; adverse weather and growing conditions; resistant weed control; low profit margins; and the high costs of land rentals or purchases.

Coppess will also be discussing the current conservation programs that benefit the bottom line for ag producers.

Wragge said federally funded Conservation Reserve Programs (CRP) have been highly successful and are continuing to develop. Additionally, local farmers are embracing an increased use of cover crops; variable rate fertility and seeding practices, pattern tiling; and sound water management practices.

While these conservation practices have been steadily increasing in popularity, there are some that Wragge would like to see more of, including a broader use of fungicide applications; the introduction of simple cover crop programs into local soil management; split applications of nitrogen applied closer to the plant’s need; and more farm-based wildlife habitat introductions.

The 2018 Farm Outlook & Ag Leasing Seminar presentations will begin at 7 p.m. on Jan. 25 at IVCC in room CTC 124, and preregistration is required by Jan. 20. To register, call 815-224-0889 or register online at https://web.extension.illinois.edu/registration/?RegistrationID=17675. There is a $10 fee that can be paid online or at the door.

For questions regarding the program, call Wragge at 309-364-2356. If you need a reasonable accommodation to participate in this program, please indicate during registration.