The Rural Voice, 1999-02, Page 25Getting the edg_f_
Tips to squeezing a profit out of an unpromising year
By Mervyn Erb
Grain surpluses, South
American production, record
production levels and
declining demand due to the Asian
financial crisis have created low
commodity prices that you as
producers will be dealing with for at
least the next 18 months — yes I said
months! The editors' command was
"I'm looking for something that is
going to give people an edge for the
coming crop year". With all this in
mind, here is a list of proven
practices, practical suggestions and
reminders that may help you as crop
and livestock producers increase your
net income.
Hybrid and variety selection
Plant more mid-season corn
hybrids and fewer full -season
hybrids. I admit that anyone who
disregarded this and planted full -
season (and then some) hybrids in
1998 owns coffee shop bragging
rights. When you end up with the
longest growing season on record
plus 3200-3400 CHUs (in my area),
what would you expect! The hard
fact is that 1998 was an abnormal
year, just like 1991. Remember
1992? Another abnormal year.
Four out of five years are normal.
The average net income from early -
season, mid-season and full -season
hybrids entered in the Michigan State
University (MSU) hybrid
performance trials from 1990 to 1996
were compared in the four growing
regions in Michigan. Mid-season
hybrids produced the greatest net
income over this time period in all
regions. The comparison used a
market price of $2.50 US per bushel
and assessed the drying charges on
the dry bushels sold. Lower market
prices will favour earlier hybrids to a
greater extent as will applying drying
fees to the wet bushels delivered.
If planting up to May 6, you can
plant hybrids 125 CHUs over your
area. If you're in the 2850-2900 CHU
area, you can go 150 CHUs over.
From May 7 to 13, plant hybrids of
your CHU arca. After May 15 plant
hybrids that arc 100 CHUs under
your arca. This becomes much more
important if you farm north of
Number 8 Highway. Failing to do
this will result in harvesting a lot of
33% corn and low test weight corn,
especially in years with barely
normal hcat unit accumulations, likc
1996 and 1997!
Plant disease resistant varieties.
Look for wheat varictics that arc
resistant to rust and powdcry mildew
and less susceptible to fusarium head
blight, soybeans varictics that have
better -than -average tolerance to
white mold and have high natural
resistance or the RPS 1 k or lc
resistant gene to phytophtora root rot,
and dry bean varieties that arc
resistant to anthracnosc, bacterial
blight, viral diseases and have better -
than -average tolerance to whitc mold.
I realize that your choices may bc
limited duc to what is available in
your CHU zone, however there is
typically no extra cost associated
with these traits and thcy
significantly reduce production risks
and/or costs.
Watch corn hybrid tolerance to
grey leaf spot. I:m noticing an
increasing number of corn varieties
that are quite susceptible to this leaf
destroying disease. Mind you, not all
companies even mention it. Grey leaf
spot is becoming more and more
noticeable in the 3050 - 3400 CHU
areas.
Base hybrid and variety
selection, yield, maturity, disease
resistance and lodging and look for
transgenic pest management traits
after you have narrowed your
choices. Carefully compare the
benefits and costs of herbicide
resistant crops with alternative sccd
and herbicide programs. Remember
that you give up the right to save
your own sccd with Roundup Ready
soybean varictics. Bt hybrids arc
essentially insurance policies that
protect you from corn borer damage.
Pay the premium if your perception
of thc risk on your farm exceeds the
cost. Keep in mind that you have to
experience greater yield losses under
low market prices to recover the seed
prcmium than you would under
higher prices. Also consider that your
risk of having significant losses due
to corn borer arc no greater now than
they wcrc before Bt hybrids wcrc
introduced. Bt corn hardly paid its
way during 1998 in the
Monk ton/Milverton/Millbank/Lin-
wood/Poole/Brunner areas. Borer
pressure in this arca is usually light.
The Mildmay area is another such
arca. Check your local plot results.
Consider saving fob sccd
cleaning disease-free com-
mercial soybeans, whitc beans
and wheat. I'm not always a big fan
of saved -seed. When you save your
own you arc solely responsible for
how well it performs. The field must
bc inspected for seed -borne diseases,
the sccd must be kept in condition,
must bc tested for gcrm and vigor and
must be treated with the right secd
treatment. I have a whole mental list
of horror stories where any one of
these procedures were not done and
the results were very costly, in fact to
a point of wiping out a life -time of
sccd cost savings.
Calibrate your drill and plant
the right amount of seed. Seed size
varies tremendously in soys and
wheat. Drilled beans should be
planted at 175,000 viable seeds per
acre. Simply divide 175,0(X) by thc
germ test for the sccd (175,(XX) =.90
= 194,444).
If you have large sccd like
Novartis S08-80 (4800/kg or
2200/lb), you need to plant 88 lbs.
per acre. If your sccd is small like
OAC Erin or Pride PS63 (6300/kg or
2900/Ib), you will only need to plant
67 lbs. per acre. At S20 bucks for a
bag of sccd, over -planting by 20
FEBRUARY 1999 21