FY01 - NDSU Extension Service
PROGRAM #203 - COMPETITIVENESS AND PROFITABILITY OF CROP PRODUCTION


Program Planning Team:
Duane Berglund (co-chair), Dave Franzen (co-chair), Roger Ashley, Dwain Barondeau, Ron Benada, Gerald Bergman, Keith Brown, Pat Carpentier, Pat Carr, Morris Davidson, Alan Dexter, Greg Endres, Eric Eriksmoen, Dan Folske, Clint Gienger, Phillip Glogoza, Terry Gregoire, ElRoy Haadem, Mike Hanson, Ken Hellevang, Dale Herman, Aung Hla, Vern Hofman, Brian Jenks, Mohamed Khan, Jan Knodel, Scott Knoke, John Kringler, Art Lamey, Jerry Larson, Mike Liane, Terry Lykken, George Maher, Rich Maine, Kent McKay, Marcia McMullen, Denise McWilliams, Randy Melaas, Ken Nichols, Tom Olson, Michael Peel, Duane Preston, Rudy Radke, Mike Rose, Steve Sagaser, Tom Scherer, Bruce Schmidt, Al Schneiter, Bruce Seelig, Dale Siebert, Ron Smith, John Swenson, Andrew Thostenson, Al Ulmer, Shawn Vachal, LoAyne Voigt, Rich Zollinger

Overall Situation
Low crop prices, variable weather conditions, international trade fluctuations and increased environmental concerns face all producers in North Dakota. Farmers, rather than sharing the general prosperity of the state and nation, have been experiencing disappointing exports, low commodity prices, production problems from pests and diseases, and losses due to excessive rainfall/flooding. The low prices over the past year can be traced to the recession that began in Asia more than two year's ago and overproduction of certain crops.

In the short term, North Dakota farmers will likely be turning even more intensely to what has been, in the past, the one tried-and-true formula for maintaining profitability by reducing the costs of production. Which costs or inputs to reduce is the big question? For those farms that are the hardest pressed during the current period of slack demand from abroad, small efficiencies can mean the difference between survival and failure. Farm businesses that are not so hard pressed can continue to forge ahead with modernizations that will leave them better positioned once demand begins to pick up. These changes not only will affect farm profitability over the near term but also will affect supply conditions over the longer term.

Cash receipts from crops in 1999 accounted for 57.5 percent of the total farm income in North Dakota. Government payment for crops consituted 25.5 percent of total farm income, while livestock products accounted for 17 percent of the agricultural income. Crop agriculture is the major farming activity in the state. A need exists to explore the production and utilization of diverse crops which can offer the opportunity for enhanced economic growth both by diversification of production agriculture and by value-added systems for agriculture.

In addition, in this cycle of low crop prices, over-production, uncertain weather factors, high disease incidence, and increased input costs, "risk management" strategies in crop production and overall farm management cannot be over emphasized. Both short-term and long-term "risk management strategies" and efficient crop management must be put into place to remain viable crop producers into the future.

PROGRAM COMPONENT
EFFICIENT CROP MANAGEMENT

Persons Responsible
Duane R. Berglund, Dave Franzen, Terry Gregoire, Greg Endres, other specialists and area agronomists

Situation
The economic situation of most crop producers is based primarily on good market prices, government loan supports (oilseed crops primarily) and efficiency in crop production management, to make the best possible use of all input costs including both fixed and variable costs of production. This increased efficiency can begin with better planning, market analysis and crop selection practices. Increased attention by crop producers to nutrient management is a must. This includes both macro and micronutrients in certain crops. New alternative crops require special nutrient and micronutrient needs. Also, the proper placement of nutrients will greatly enhance the utilization and efficiency of plant nutrients. The use of crop rotations and strategies for crop sequencing also adds to crop efficiencies in the control of disease and other pest problems. Another area which needs further refinement and suggested guidelines includes the efficiency of machinery sharing, leasing of equipment formation of both purchasing alliances and marketing alliances for farmers. By planning and certain partnering, farmers may increase efficiency in many facets of crop agriculture. Organizational and management skills are fast becoming more important skills than actual crop production skills.

Along with increased efficiency management, more risk reduction options must always be considered if and when reducing inputs.

Anticipated Measurable Outcomes (Objectives)

Educational Program

Evaluation Plan

PROGRAM COMPONENT
ADOPTION OF NEW TECHNOLOGY

Persons Responsible
Zollinger, McKay, McMullen, McWilliams, Peel and Hofman

Includes: Biotech Crops, Micronutrient Utilization, Micro-rates of Herbicides, Dormant Seeding, Oil/Adjuvants Use, New Crops, Precision Farming

Situation
This program will provide a forefront into new and current agricultural practices through Extension. Providing information on new biotech crops will enable farmers throughout the region to assess the need, use or marketability of specific crops. Working with micronutrient utilization will allow farmers to pinpoint fertilizer needs to more accurately diagnose requirements and problems across fields. Further work with micro-rate utilization as well as past problems and advantages of using micro-rates with herbicides should be carefully explored. Current weed resistance in the area as compared to other areas requires that chemicals, rates and timing of herbicides on specific weeds be further explored. Dormant seeding benefits and how to utilize this technology within the seasonal weather patterns must be further defined and refined for use in North Dakota. Oil and adjuvant use and how to maximize profit by minimizing cropping inputs should be continually redefined. New crops on the horizon for the area must continue to be checked, subjected to trials within cropping constraints for specific areas of the state and considered within cropping rotation possibilities. Precision farming is a broad title for many of the new technologies currently emerging in agriculture. Economics of the use of new techniques that allow better, less costly and more efficient cropping options is needed and can be refined by exploring precision farming ideas.

Concerns related to the adoption of new technology are largely economic and learning based. Use of any technology is contingent on a proven track record of success and economic constraints. As biotech crops become available, questions on yield, economic returns, marketing and consumer acceptance need to be considered. Refining cropping practices through micronutrient utilization, micro-rate applications of herbicides and precision farming is available but must be used in an economic and sound way in order for this technology to succeed. Continued work with oil/adjuvants in pesticide mixtures should be encouraged in order to optimize the use of crop chemicals from both an economic and an environmental standpoint.

Anticipated Measurable Outcomes (Objectives)

Educational Program

Evaluation Plan

PROGRAM COMPONENT
QUALITY OF PRODUCTION TO ENHANCE MARKETING

Persons responsible
Michael Peel, Ken Hellevang, Rudy Radke, Dwight Aakre, George Flaskerud, and other state and area specialists.

Situation
Trends in marketing are moving towards an identity preserved system where crops are produced with specific production techniques, on a specific variety basis, or to meet a specific quality parameter. Specific programing needs are in the areas of quality and marketing parameters, how they are measured, sampling techniques, and why they are important. Examples would include measuring protein and vomitoxin and why they are important. Other needs are in the area of marketing and understanding contracts.

Anticipated Measurable Outcomes (Objectives)

Educational Program
Directed at: Producers, crop consultants, county, area and state extension specialists.

Delivery: A series of news releases, fact sheets, circulars, news letters, magazine articles, list serves, web development, power point presentations, meetings, and other media.

Evaluation Plan
Spot surveys, and at educational meetings, will be made of agents and producers to assess how many read published material, how it changed their understanding, and to determine if they will use the information. An evaluation will also be made to determine if individuals were already aware of and using the information.

PROGRAM COMPONENT
SAFETY IN CROP PRODUCTION

Persons Responsible
George Maher and nearly everyone else on the program team

Situation
The use of machinery, pesticides, anhydrous ammonia and other chemicals is essential to the production of all crops in North Dakota. Injuries of all kind happen in crop production. Education can reduce the number of injuries when it is delivered persistently. Injury and fatality is not essential to the production of crops in North Dakota. Safety education efforts must be conducted to minimize the loss.

Anticipated Measurable Outcomes (Objectives)

Educational Program

Evaluation Plan

PROGRAM COMPONENT
INTEGRATED PEST MANAGEMENT (IPM)

Persons Responsible
Marcia McMullen, IPM Coordinator, Richard Zollinger, Phil Glogoza, Art Lamey, Denise McWilliams, Vern Hofman, Ken Hellevang, Cheryl Ruby, Ron Smith, Marcus Jackson, Roger Ashley, Terry Gregoire, Greg Endres, Jan Knodel, Kent McKay, New Area Crop Protection Specialist at Carrington

Situation
Pests decrease yields, quality and income, and often increase input costs. IPM manages pests using a variety of control methods in ways that are economically sound and environmentally safe. With seven years of above normal precipitation in much of North Dakota, crop problems due to diseases, insects, and weeds have magnified and become very damaging to farm profitability. In addition, home owners and the turfgrass and ornamentals industry also employ pesticides. Additional information on potential pest risks and appropriate and economic management options is needed for several client groups.

Anticipated Measurable Outcomes (Objectives)

Educational Program

Audience

Educational materials

Evaluation Plan

Persons Responsible
R
on Smith, Marcus Jackson, Dave DeCock, Steve Sagaser, Jerry Larson

Situation
Interest continues in horticulture (herbs, vegetables, and cut flower crops) forestry, and turfgrass management. In both the private and commercial realm, individuals have shown an increasing interest in these subjects to not only enhance their lives, but to generate income as well.

Anticipated Measurable Outcomes (Objectives)

Educational Program

Evaluation Plan
Solicit responses from field day attendees on what impact plantings and tour information will have on their practices; survey homeowners in Fargo and Dickinson who instituted some xeric principles or plant selections.

PROGRAM COMPONENT
PESTICIDE APPLICATOR TRAINING AND CERTIFICATION

Persons Responsible
Andrew A. Thostenson, Pesticide Advisory Board, Pesticide Control Board, ND Department of Agriculture, Certain State Specialists, and Extension Agents

Situation
Weed, insect, and disease problems are major production constraints for ND producers. The use of pesticides to control these pests have been clearly demonstrated. Herbicides, insecticides, and fungicides were applied one or more times to 18.8, 1.3, and 0.6 million acres, respectively in ND in 1996. Approximately 14,000 private applicators, 1,200 private fumigators, and 3,900 commercial applicators or retail dealers were certified to sell, purchase, or apply restricted use pesticides in 2000. Each of these persons must be recertified every three years.

The trend towards increasing restrictions on pesticides is clear as the public and regulators become wary of their use. Further, the economic, legal, and environmental consequences of off target drift of pesticides has been identified as a priority issue at the federal regulatory level and by the 1997 and 1999 ND Legislatures. Finally, pesticide use is becoming more complicated by the introduction of genetically modified crops and emerging application technology.

The benefit of pesticide applicator training and certification is that pesticide applicators will be able to legally and knowledgeably purchase and apply pesticides. Knowledgeable pesticide applicators will use care and good judgment to apply pesticides effectively, efficiently, and in an environmentally sound and socially acceptable manner.

Anticipated Measurable Outcomes (Objectives)

Educational Program

Evaluation Plan