MARKET NEWS HIGHLIGHTS
January 16, 2018
USDA December Hogs and Pigs report showed the total US hog
population of 74.550 million head, up 2% on the year and an all-time
record for this time period. This is the second-largest hog
inventory on record for any time period, exceeded only by September
2018. Market hogs were estimated at 68.225 million head, up 2% on
the year. The breeding herd was reported at 6.326 million head,
also up 2%. The September-November pig crop was pegged at 33.978
million head, up 2%. Sow farrowing intentions for the
December-February were expressed at 102% of the previous year.
Spectron, one of the world's largest commodities brokers, announced
that it signed an agreement to acquire the customer business of
Rosenthal Collins Group, LLC (RCG). The deal is expected to close
this month. Marex will maintain the RCG name and brand. Scott
Gordon, RCG's Chairman and CEO, will become Vice Chairman of the new
Marex Spectron's RCG division.
federal judge in Iowa has thrown out a state law created to try to
block undercover activist investigations into the state's livestock
operations. The 2012 law made it illegal to come on a livestock
facility under false pretenses, or lie on a job application to work
for a livestock operation. The law was meant to effectively
criminalize undercover investigations on livestock farms. US
District Judge James Gritzner ruled that the law was too broad in
scope, and the right to make the kinds of false statements
prohibited under the Iowa law is protected by our country's
guarantee of free speech and expression.
Pat Roberts of Kansas announced January 4th
that he will not seek reelection in 2020 for a fifth Senate term.
Roberts has served in Congress for 39 years and is the only two-time
chairman of the House and Senate Agriculture Committees in Congress
. He worked on eight different farm bills during his tenure in
Congress, the latest being the Agriculture Improvement Act of 2018
which was signed into law by President Trump by a historic vote
Andersons, Inc. successfully completed its acquisition of Lansing
Trade Group, LLC. The company previously owned approximately 32.5%
of Lansing, and paid cash and stock valued at approximately $324
million for the remaining equity. The transaction closed effective
2019. The Andersons entered into a 3-year employment agreement with
Lansing's former president and CEO Bill Krueger.
approved the import of five varieties of genetically modified
soybean, canola, and corn products on January 8th.
The new approved traits are 1) Enlist E3 soybeans (Corteva), 2)
Qrome corn (Corteva), 3) MGI soybeans (Syngenta and Bayer), 4) RF3
canola (BASF), and 5) MON 88302 canola (Bayer). In addition to the
five new approvals, 26 other GMO varieties were given renewed
approvals for importing into China.
Randy Constant of Chillicothe, Missouri, was charged with one count of wire fraud in the case where he ripped off consumers nationwide by falsely marketing more than $140 million worth of corn, soybeans, and wheat as certified organic grains. The charging document calls on Constant to forfeit $128 million to the government along with his interest in 70 pieces of farm machinery and equipment. Three Nebraska farmers who sold their crops to Constant pleaded guilty in October to their roles in the scheme and are awaiting sentencing. Constant was the owner of Organic Land Management, which held USDA certifications to grow organic corn and soybeans on farms in Missouri and Nebraska. He was also the owner of Jericho Solutions, which operated in Ossian, Iowa, and sold and marketed grain labeled as organic to customers nationwide.