2006Drought Relief Claims Due By Jan. 15

Friday, January 5,2007                          By Shawn Wade

      High Plains cotton producersadversely impacted by drought in 2006 still have time to seek relief throughthe trait and seed drought assistance programs offered by Monsanto and variousseed companies serving the West Texas market.

      Many producers made aconscious decision to try technology-enhanced cottonseed on dryland acreage in2006 based on the trait and seed drought relief programs offered by Monsantoand later matched by other cottonseed vendors.

      The programs opened the doorfor dryland producers to plant technology enhanced seed by providing the addedsecurity of knowing that their technology fees and all or part of theirplanting seed expense would be refunded if their crop yielded less than 150pounds per acre due to drought.

      With the filing deadline formany of these programs right around the corner, it is critical that any growerthat has not already filed a drought relief claim with their seed and/ortechnology supplier submit their paperwork before the deadlines that wereestablished for participation by the various companies offering drought reliefprograms. The deadline for filing drought relief claims with Monsanto isJanuary 15.

      Any producer who believesthey have cotton that will not yield 150 pounds which will not be ginned beforeJanuary 15, and do not have a Federal Crop Insurance appraisal to document anestimated yield for the affected acres, should contact their local seedretailer and/or their local seed company representative prior to January 15.

      It is important that growersact before the deadline to submit a claim under any of these programs.Producers should contact their local seed retailer and/or local seed company assoon as possible to ensure that claims are entered before the deadline andremain eligible to be processed.

      Claims submitted or receivedafter the announced deadline, cannot be accepted according to federalregulations governing these types of programs.

      The Monsanto Trait Reliefprogram applies to any variety that contains Monsanto technology traits. The MonsantoSeed Drought Relief Program applies to Stoneville and NexGen brand cottonseedvarieties.

      Like the Monsanto programs,the Seed Drought relief programs offered by All-Tex Seed, Americot, BeltwideCotton Genetics, Croplan Genetics, Delta & Pine Land, Dyna-Gro andFiberMax/AFD Cotton Seed utilize a 150-pound per land acre threshold to triggerrebates to eligible growers.

      All of these programs, exceptfor the D&PL and All-Tex seed drought relief program, also share theJanuary 15 claim deadline. The deadline for the D&PL drought relief programwas December 29, 2006, while the All-Tex submission deadline was January 2,2007.

     Growers who planted D&PL or All-Tex seed, whether or not they filed a claimwith the seed company, still have until January 15 to file a claim withMonsanto for refund of their paid 2006 technology fees on drought affectedacres.

 

Upland Cotton AveragePrice Received by
Growers Through November 2006

Friday, January 5,2007                          By Shawn Wade

      CumulativeUpland cotton marketings for the first four months of the 2006-marketing yeartotaled 4.263 million-bales according to information released December 28 bythe USDA National Agricultural Statistics Service.

      That figure isonly 230,000 bales shy of the total amount marketed through the same periodlast year. More telling, however, is the fact that the November 2006 marketingswere more that 700,000 bales below the November 2005 pace.

      USDA estimatedthat November 2006 marketings were 1.117 million bales with an average sellingprice of 47.60 cents per pound.

      Based onNovemberŐs sales, and reports that market activity continues to be slow, thereis nothing that indicates the amount of cotton marketed in December 2006 willbe anywhere close to the 3.264 million bales sold in December 2005.

      So far the 2006Upland Cotton Weighted Average Price calculated through November 2006 stands at46.41 cents per pound. With the first third of the marketing year now past, thecalculated 2006 Weighted Average Price is still more that five cents below the52-cent threshold where Counter-cyclical payment rates begin to drop. Thepreliminary mid-month price reported for December 2006 was 47.90 cents perpound.

      The followingtable shows the average price received each month by farmers and the associatedweighted average price based on prices and cumulative marketings from August 1through November 30, 2006.

     The 2006 Counter-cyclical payment rate authorized under the 2002 Farm Bill willbe based on the 12-month Weighted Average Price Received by growers. For cottonthe 12-month Weighted Average Price will reflect price and marketings for the2006 marketing year. The 2006 cotton marketing year began in August 1, 2006 andends July 31, 2007.

Average Price Received For2006-crop Upland Cotton
(Weighted byMarketings)

 

Marketings

Prices

 

(000's of Running bales)

(cents/Lb.)

 

Monthly

Cum.

Monthly

Weighted

August

1,970

1,970

45.80

45.80

September

182

2,152

47.30

45.93

October

994

3,146

46.10

45.98

November

1,117

4,263

47.60

46.41

December

na

na

47.90*

na

Source: National AgriculturalStatistics Service; * = preliminary

 

2006-cropCotton Quality Summary

      Thefollowing is a summary of the cotton classed at the Lubbock and Lamesa USDACotton Division Cotton Classing Offices for the 2006 production season.

 

Week Ending January 4, 2007:

 

Office

Bales

Color

Leaf

Staple

Lamesa

31,026

21+ – 67%

31 – 29%

3.09

35.86

Lubbock

119,985

21+ – 51%

31 – 41%

3.13

36.02

 

Mike

Strength

Uniformity

Bark

Lamesa

3.92

29.11

80.54

22.6%

Lubbock

3.69

28.91

80.76

40.1%

 

 

Season Totals To Date:

 

Office

Bales

Color

Leaf

Staple

Lamesa

703,024

21+ – 65%

31 – 30%

2.98

35.99

Lubbock

2,566,665

21+ – 55%

31 – 40%

3.13

36.16

 

Mike

Strength

Uniformity

Bark

Lamesa

4.02

29.18

80.69

11.3%

Lubbock

3.81

29.63

81.06

19.8%

 

High Plains ProductionConferences
Offer CEU Opportunities for Producers

Friday, January 5,2007                          By Shawn Wade

      Helping farmers stay up onthe latest trends in crop production, marketing, and management ideas is thenumber one goal of High Plains crop production conferences. Sponsored by TexasCooperative Extension, the Conferences offer production information for producersentering the 2007 growing season.

      Conferences are scheduled atmultiple locations throughout the area to provide growers an opportunity toreceive this information without having to travel too far from home.

      By attending the conferencesproducers can also earn continuing education units (CEUs) necessary to maintainprivate and commercial applicator licenses.

      This yearŐs conference datesand locations are:

 

January 15

 

Hockley County Cotton Conference

 

For more information contact Chris Edens, Hockley CEA-AG at 806-894-3159.

January 16

Caprock Cotton Conference

 

For more information contact J.D. Ragland, Floyd CEA-AG, at 806-983-4912.

January 23

SW Farm & Ranch Show

 

For more information contact Mark Brown, Lubbock CEA-AG at 806-775-1680.

January 24

Southern Mesa Ag Conference

 

For more information contact Jeff Wyatt, Dawson CEA-AG at 806-872-7539.

January 26

Llano Estacado Cotton Conference

 

For more information contact Curtis Preston, Bailey CEA-AG, at 806-272-4584.

February 6

Sandyland Ag Conference

 

For more information contact Terry Millican, Gaines CEA-AG at 432-758-4006.

February 7

Hale/Swisher Crops Conference

 

For more information contact Michael Dolle, Hale CEA-AG at 806-291-5268.

February 7

South Plains Ag Conference

 

For more information contact Chris Bishop, Terry CEA-AG, at 806-637-4060.