Soybean growers in Brazil already have lower production costs than their U.S. counterparts, and Brazil is making some headway in cutting its inland transportation expenses as well, according to a new study by USDA’s Economic Research Service.
Production costs for soybeans in Brazil are on average 19.9% lower than production expenses for U.S. farmers, largely because Brazilian growers have lower land and capital expenses. U.S. growers typically get higher yields, especially in the Midwest, which helps offset that cost advantage.
But the lower production costs mean Brazil’s main soybean production region, the state of Mato Grosso, already is competitive with the U.S. despite higher inland shipping costs, and those are starting to come down. Average inland transport costs for shipping Mato Grosso soybeans through Brazil’s southern ports dropped from $98 to $77 per metric ton over a 10-year period that ended in 2021-22.
Why it matters: Brazil already has surpassed the U.S. as the world’s largest soybean producer and exporter. Together, the two countries supply 90% of world soybean exports.
Congress needs to get to work on new farm bill, Censky says
Congress has an ever-tightening window to complete work on a new farm bill before it will have to extend the 2018 bill again, American Soybean Association CEO Steve Censky said in a recent interview with Agri-Pulse.
House and Senate leaders already agreed to effectively extend the provisions of the 2018 bill until the end of 2024, but Congress needs to get cracking quickly in the new year to prevent an even longer delay, Censky tells Agri-Pulse’s Jeff Nalley on the latest installment of Open Mic.
“If we get into May, June, certainly by July, and they haven't passed a farm bill yet, then we are going to be needing a one-year extension because just the political process and the elections and recesses to go home for campaigning, that all takes precedence over any almost everything else,” he said.
Censky also discusses other issues important to ASA in 2024, including EPA’s herbicide strategy and import duties on phosphate fertilizers.
Smithsonian, APHIS sign MOU on exotic insect species
A new Memorandum of Understanding between the Smithsonian Institution’s Museum of Natural History and USDA’s Animal and Plant Health Inspection Service will “ensure accurate and timely pest species identification,” says Matthew Rhoads, APHIS associate deputy administrator for Plant Protection and Quarantine.
The collaboration advances the scientific community’s knowledge and resource collection of exotic insect species, weed seeds and other contaminant plant parts.
“The MOU provides USDA entomologists and botanists laboratory space in the museum and access to the Smithsonian's collections and libraries, and in turn, these scientists will invest their expertise in the curation and enhancement of those collections, which rank among the finest and most comprehensive in the world,” APHIS said.
The museum’s entomology collection includes more than 35 million specimens, including more than 5 million specimens in the United States National Herbarium.
Pizza Hut to lay off drivers ahead of California wage hike
Pizza Hut franchisees in California are set to lay off more than 1,100 delivery drivers ahead of a $4 increase in the minimum wage for fast food workers that goes into effect in April, the Los Angeles Times is reporting.
AB 1228, which was signed into law by California Gov. Gavin Newsom in late September, will increase the state minimum wage from $16 to $20.
The Service Employees International Union estimates the law will impact more than 500,000 fast food workers.
Republican lawmakers ask FCC for clarification on ACP participation stats
Four congressional Republicans are asking the Federal Communications Commission for more information about participation in the Affordable Connectivity Program after FCC Chair Jessica Rosenworcel told lawmakers 25 million families would lose internet access if the program were to run out of funds next year.
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The four lawmakers — Sens. John Thune of South Dakota and Ted Cruz of Texas and Reps. Cathy McMorris Rodgers of Washington and Robert Latta of Ohio — called the figure “speculative” in a letter to Rosenworcel and said the “vast majority” of ACP funds appear to “have gone to households that already had broadband prior to the subsidy."
Keep in mind: Rosenworcel has predicted the program’s funds could be depleted as early as April, leading President Joe Biden and several groups to call on Congress to step in and prevent the program from ending.
Bill would require artificial sweetener labeling
Members of Congress have introduced the TRUTH in Labeling Act – short for Transparency, Readability, Understandability, Truth and Helpfulness – that would direct the Food and Drug Administration to develop new front-of-package labels for foods and beverages sold in the U.S.
Rep. Jan Schakowsky, D-Ill., and Sen. Richard Blumenthal, D-Conn., said the bill ensures foods have clear front-of-package labels that highlight high levels of nutrients of high concern such as salt, sugar and saturated fat.
Sugar Association CEO Courtney Gaine called the legislation’s requirement for monitoring of artificial sweeteners encouraging, since there are currently no such disclosure requirements.
Gaine told Agri-Pulse, "While evidence shows that front-of-pack labeling has not improved health in countries like Chile where it has been implemented, the Sugar Association supports transparency for consumers with regard to calories and all ingredients, including sugar and artificial sweeteners.”
The bill is backed by about 20 advocacy groups, including the Center for Science in the Public Interest and Consumer Federation of America. Separately, FDA has already solicited comments and begun consumer testing for different package designs.
Send questions or comments to Associate Editor Steve Davies.
