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Veteran Advisor

I call BS!

Many know my stand on E.

Not against the product I am against the mandate and the Gov. interference that led to it's establishment outside of free Market forces. But the Livestock industry better find a new punching bag real soon because the lies are going over the top now.


This was in western dairy mans weekly update.


WUD invites national dialogue on ethanol mandate issue
Western United Dairymen has called on the leaders of several national milk organizations to join with it in a dialogue on the federal mandate requiring ethanol to be blended into gasoline.
In a letter sent to the leaders of Land O’ Lakes, Dairy Farmers of America, California Dairies, Inc. and the National Milk Producers Federation, CEO Michael Marsh said the ethanol mandate is “the biggest economic driver contributing to the neg-ative margins for dairy families.” Marsh wrote, “Dairy cooperatives and producers owe it to the families that invest in feed-ing the cows to work together to repeal the U.S. mandate.”
WUD is supporting a Congressional effort calling on the EPA to grant a waiver of the ethanol fuel mandate due to the mas-sive drought in the Corn Belt. Marsh called on the dairy leaders to join with WUD in advancing this effort among all live-stock operators in the country. “A comprehensive public relations effort should be undertaken that will rally consumers, poli-ticians and environmentalists to our cause,” wrote Marsh.



Really this the biggest underlying factor?


Hows about the community reinvestment act that allowed all those California golden boys to sell land at astronomical prices because of Government intervention in the banking laws that allowed for ridiculous loans to be given to folks who couldn't pay them back whereby driving real estate values to all time highs, allowing these dairyman to sell farms for millions so they could just relocate ,expand, and keep right on going? 


Or hows about the elimination of 50 million consumers thru abortion that would have been able to utilize our ability to produce such huge amounts of milk?


E isn't good but it sure ain't the great Satan these guys make it out to be.


And the number one reason that Milk is being so negatively impacted is..................The Dollar manipulation that goes on daily.


If we had a sound currency we wouldn't have E we wouldn't have to big to fail anything and we sure as heck wouldn't have the current civil war. But as usual we have the ability to point out symptoms but we never point out the disease.



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7 Replies
Senior Advisor

Re: I call BS!

What puzzles me is why feeders don't import cheaper feed from elsewhere. I our corn is too high buy from someone else. Grain farmers have to import fertilizer from over seas and at times we have to pay insanely high prices. Those fellows around us with large livestock projects do not give their free fertilizer away. Even with $1.80 corn they didn't do that.


In fact I can remember dairy men dumping milk rather than provide lower cost dairy products at the grocery shelf. We aren't dumping our corn. We are selling to the highest bidder. I take it you would prefer that we ignore part of our market.

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Veteran Advisor

Re: I call BS!

I don't understand why this is a discussion at all at this point.  Our problem as farmers comes down to one basic fact - that farmers don't set the prices for thier products.  We have allowed others to set the price, be it the govenment (who is trying to ensure cheap food around the world on the farmers backs) or the futures market (who don't care what the price is - they just try to steal money from anyone willing to gamble - oh - that's right - "invest").  It's time that farmers wake up and do what every other industry does.  It costs this much to produce it, we need this in return.  If it costs more to feed the cows - pass the charge on to the consumer.  If the price for the comoddity is too low, then either it's not wanted, or not wanted in the quantity that is being produced.  But don't blame the input cost on not being able to make money in a given sector.  You don't hear the ethanol plants crying about the price of the corn.  Which tells me that all along they have been making big$ with the cheap corn ove the years.


We farmers are the CEO's of the most important product this earth produces _ food!   It's time that we make a wage like the other CEO's of the world. 

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Re: I call BS!

Without the gov mandate ethanol is dead, gone, done, no hope in hell of surviving, and it is not due to its lack of merits(which I don't believe, I think it is a superior product), it will be due to oils hatred for anything that takes away from their profitability, I used to work for BP in research just as these mandates where being introduced and the venim towards farmers over ethanol was incredible).  If we want to talk ethanol it shouldn't be whether we have a mandate as it will always be needed just to get the oil companies to include it in their fuel but whether we want the ethanol at all.  Because the way it sounds thanks to the campaign by oil and now livestock they would rather have us burn dirty oil rather than clean ethanol. The same holds true whether it is ethanol derived though switch grass or supposed more environmentally friendly means or corn, the oil industry wants nothing to do with it.    The livestock industry is opening up a hornets nest by trying to get the environmentalist nut jobs onto their side that they will never be able to close.  


I would also argue that the feed grains has actually increased since the mandate due to the increase in corn acres, creating more feedstock and ddg's than was previously available.  These prices are not due to ethanol but due to drought.  If we had the corn acres we had ten years ago and this same drought I would argue that the prices would not be much different than they are today, its just today the livestock industry oil and anyone else who dislikes ethanol is taking their oppoutunity to kill the industry.  



"Or hows about the elimination of 50 million consumers thru abortion that would have been able to utilize our ability to produce such huge amounts of milk?"  This is perhaps the stupidest statement I have ever heard.  How about allowing more cheap labour ie immigrants into the country to do the crappy milking jobs the American dairy farmer is too lazy to do himself anymore and too cheap to pay an American to do.  


Perhaps the best solution would be to have a formula based on the price of oil, licestock and corn.  As the price of corn increases relative to livestock the mandate is reduced a certian percentage.  To eliminate the ethanol mandate would put a stake through the heart of the American grain industry.  


And to say the grain farmer is making a killing off of the livestock industry is pure bs, cant make much money when you raise no grain due to the drought.   You seem to be placing all the blame for the drought on the ethanol industry, perhaps your vitriol would be better placed at those for not having a better insurance program in place to help you get through this drought.  I have no idea what the insurance is like for livestock is like but I assume it is not adequate with all the pissin and moaning coming from the industry.  

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Frequent Contributor

Re: I call BS!

Isn't the school lunch program and food stamps essentially a food mandate.  I think the price of corn is being highly manipulated by WIC.  Ironic it is that the whole population of the US is predominately obese and we need to kill the fuel oxygenate to keep people fat and happy.  If they ate 1/2 as much they would be more healthy and the price of food would decrease.  If we just didn't waste all the food we do the price would go down. 


Not to be unsympathetic but when I go to Pizza Hut and stop seeing all the pizza people leave then maybe food will be high enough.

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Senior Reader

Re: I call BS!

Can I post now?

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Honored Advisor

Re: I call BS!

You have my permission.

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Senior Contributor

Re: I call BS!

They're working on it.  I read tonight where Texas dairies are inquiring about importing Candian wheat for feed.  Most endusers have had a plant ever since 2008.  Most will liquidate to the bear bones, then they'll import feed.  It's up to the gov't just how bad it gets in the next six months or so.  

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