1
PIERRE — Gov. Dennis Dau- gaard recently proclaimed this fifth month of 2012 as May Beef Month—a great time to recognize the huge contribution that the beef industry makes to the state of South Dakota. In making the proclamation, the executive director of the South Dakota Beef Industry Council (SDBIC) says the governor is hon- oring cattle producers and all of the allied industries that play a role in bringing beef to the plates of consumers in the state — and worldwide. “It is important that South Dakotans recognize the valuable contributions the beef cattle indus- try makes to our state,” explains Frederick. “This proclamation is a 45-year-old tradition that recog- nizes one of the state’s most im- portant economic sectors.” In fact, says Frederick, South Dakota’s number one industry, agriculture, has a $21 billion-eco- nomic impact on the state’s econ- omy, and the beef industry contributes $2.8 billion to that total — the largest segment. “We appreciate the governor’s recognition of the beef industry and its more than 15,000 cattle pro- ducers who not only contribute economically to our state but are good stewards of their land, utiliz- ing environmental practices that will ensure their ranches and farms will be productive for future gener- ations,” says Frederick. The SDBIC will be celebrating Beef Month with a number of beef promotion events throughout the month across the state. Frederick also encourages South Dakotans to simply enjoy a beef burger or steak this month as they begin the tradi- tional grilling season. “As you put that ground beef burger or steak on the grill,” says Frederick, “just remember the thousands of producers in our state who are dedicated to produc- ing a safe, nutritious and delicious product.” BY TIFFANY HSU AND RICARDO LOPEZ © 2012, The Los Angeles Times LOS ANGELES — Pink slime. Early death. Mad cow. In the span of just a few weeks, the beef in- dustry was hit by a string of crises this spring, resulting in the loss of hundreds of millions of dollars and hundreds of jobs. But it could have been worse. The industry, which had $79 billion in sales in the U.S. last year, was lucky that the most potentially damaging of the disasters turned out to be, so far, extremely limited in scope. And there are signs that the industry, despite stumbling in some of its public re- sponse, has learned to better handle such matters. The latest series of problems began in March with a double hit. There was a Harvard study that determined that eating beef could contribute to premature death. But it was the scandal over “pink slime” that was much more damaging. The ammonium hydroxide-treated ground beef product — formally known in the indus- try as lean, finely textured beef — has been around for decades. But when worries about the stuff suddenly erupted on social media, the industry was caught off guard. Before companies could mount a strong defense, unappetizing images of pulverized meat and stories focusing on the ammonium hydroxide treatment spread around the world on Twitter and Facebook. Beef historian and author Maureen Ogle said the industry should have responded by running polished advertisements featuring ranchers touting their American heritage. There should have been billboards proclaim- ing the safety of products and executives should have been sent to major talk shows, she said. Instead, because “the beef industry is a collection of not-very-well-connected sub-in- dustries,” Ogle said, there were some news releases and some promises of better label- ing but not much of a united front. “They did exactly what they always do, which is really not much of anything,” she said. “Frankly, they’re going to get killed from now on because of social media. It can do more damage in a day than old media used to be able to do in a month.” School cafeterias, food chains and super- markets quickly disavowed the ground beef product. Some meat companies went bank- rupt or suspended production. A study from two Iowa State University economics professors found that the pink slime controversy probably would affect more than 2,000 jobs in the industry and be- yond. In March, ground beef sales slipped to 37.7 million pounds, the smallest amount in a decade and an 11 percent slide from the pre- vious month, according to the U.S. Depart- ment of Agriculture. And as if the Harvard study and pink slime weren’t enough, April brought an even more frightening discovery: mad cow disease. The brain-wasting illness, officially called bovine spongiform encephalopathy, infected nearly 24,000 cows during an epidemic in Britain in the early 1990s and also played a part in more than 150 human deaths there. North America dealt with several scares in the last decade. Tests on cows in the U.S. had come back negative for BSE since 2006. But last month, investigators discovered evidence of the dis- ease in a dead dairy cow in Central California. The USDA maintained that the case was “atypical” and that the risk of the disease spreading was low. There was still some backlash, especially in the crucial foreign markets to which the U.S. exports about $5.4 billion in beef a year, according to the U.S. Meat Export Federation. Two large retailers in South Korea quickly pulled American beef from their stores and Indonesia announced it would block beef im- ports. In 2003, after the first mad cow scare in the U.S., exports fell more than 70 percent. “Long after the science had proven that the U.S. beef supply was safe, it took a long, long time to get beef back into some of those countries,” said Tom Talbot, past president of the California Cattlemen’s Association. Negative reaction, however, quickly re- ceded when no more mad cow cases emerged. And because of its past experience dealing with the disease, the industry was far better equipped to handle the situation than it was with the surprise pink slime contro- versy. “The beef industry and its associations are finally catching up with the times, trying to do their best to reach out to consumers by using new tools,” said Mike Smith, special projects manager at Harris Ranch Beef Co. in Selma, Calif. “The outreach is there, it’s growing, and we’re hoping that it’ll be more and more ef- fective as we move forward.” The California Beef Council got its views out through social media and other online tools. Its home page declares, “Join the ‘I (heart) Beef’ discussion on Facebook, follow the California Beef Council on Twitter, watch our beef industry videos on YouTube, and view our pictures on Flickr.” The National Cattlemen’s Beef Association had established its BSEInfo.org site to gets its views on the disease out to the public, and it encouraged its Twitter followers to “push fac- tual information out to the public.” “Our strategy has and always will be to deal with sound science on these issues,” said the association’s communications chief, Daren Williams. “That’s the bottom line. But we’ve adjusted our strategy accordingly to adapt to whatever latest communications ve- hicle helps us get accurate information to consumers the quickest.” The next crisis might be brewing already. This week, California state Sen. Ted W. Lieu, a Democrat, sent a letter to the USDA calling for an investigation over a binding agent called transglutaminase, or “meat glue,” that helps patch pieces of meat together. So far, beef industry representatives said they haven’t heard much outcry on the topic. “Controversies have been distorted and blown out of proportion,” Ogle said. But “the meat industry,” she said, “needs to understand that this is the new normal.” Saturday, 5.5.12 ON THE WEB: www.yankton.net NEWS DEPARTMENT: [email protected] 4 PRESS DAKOTAN neighbors A prayer in it’s simplest definition, is merely a wish turned heavenward. –Phillips Brooks Riverview Reformed Church 1700 Burleigh St., Yankton, 665-9204 • www.riverviewreformed.org AMERICAN TRUCK DRIVING ACADEMY is proud to announce that the first round of our students have successfully graduated and are moving into a new career as a truck driver! We would like to recognize the following students for a job well done: Jim Ryan, Sam Langley, Chico Haught, Sandi Lineback, and Ethan Manning! We would also like to send a big thanks to Marquardt Transportation for the use of one of their trucks and trailers to train our students and Yankton Livestock for use of their grounds for our training yard! We appreciate all you have both done for our school! THANKS THANKS Dry Weather May Impact Nitrogen Applications BROOKINGS — Surface application of nitrogen fertilizer in late fall and early spring is a typical practice in South Dakota, however, the dry conditions this season may be putting that nitrogen in jeopardy, says SDSU Extension Soils Specialist, Ron Gelderman, during a recent iGrow Radio Network interview. “With the weather being so very dry, warm and windy, and if we didn’t get that third to a half an inch of precipitation on that urea to move it into the soil and protect it, fields could have experi- enced some significant loss,” Gelderman said. Typically, moisture moves the nitrogen down into the soil pro- file where it is protected from loss, but the lack of moisture may have allowed some of the nitrogen to volatize. Gelderman says a soil test can determine whether the nitrogen is still there, however, he recommends waiting to soil test, and to have the lab analyze the sample for both nitrate and ammonium. “We can’t assume that it’s all going to be lost. We think there could be significant amounts remaining. Problem is that some of it may still be in the urea form, and not too many labs can test for urea. So, what we’re suggesting is to soil sample later but still in time that we can fertilize these plants and still do some good,” he said. Gelderman says winter wheat, which is at, or close to jointing, will need a nitrogen application soon if significant loss of the ap- plied urea occurred. Producers have more time before they need to test spring- planted grains and row crops. Gelderman says grow- ers may want to use a urease inhibitor with future surface urea ap- plications to increase the odds of getting some moisture. For more information on this topic, visit iGrow.org. The iGrow Radio Network and SDSU Extension bring listeners an informative show each day. For more information on the iGrow Radio Network, or to listen to archived shows, visit www.igrow.org. Word-Of-Mouth Wars Beef Industry Struggles To Keep Up With PR Crises Daugaard Declares May As Beef Month In S.D. PHOTO: METRO GRAPHICS HURON — USDA Farm Serv- ice Agency (FSA) State Execu- tive Director Craig Schaunaman reminds producers that FSA of- fers specially-targeted farm ownership and farm operating loans to Socially Disadvantaged (SDA) applicants. “FSA targets a portion of its annual loan funds for socially disadvantaged farmers and ranchers,” said Schaunaman. “Farming and ranching is a capi- tal intensive business and FSA is committed to helping produc- ers start and maintain their agricultural operations.” In fiscal year 2011, South Dakota FSA dispersed $12.4 mil- lion in farm loans to socially disadvantaged producers. USDA defines socially disad- vantaged applicants as a group whose members have been sub- jected to racial, ethnic, or gen- der prejudice because of their identity as members of the group without regard to their individual qualities. For farm loan program purposes, SDA groups are women, African Americans, American Indians and Alaskan Natives, Hispanics and Asians and Pacific Is- landers. SDA producers who cannot obtain commercial credit from a bank can apply for either FSA direct loans or guaranteed loans. Direct loans are made to applicants by FSA. Guaranteed loans are made by lending insti- tutions who arrange for FSA to guarantee the loan. FSA can guarantee up to 95 percent of the loss of principal and inter- est on a loan. The FSA guaran- tee allows lenders to make agricultural credit available to producers who do not meet the lender’s normal underwriting criteria. The direct and guaranteed loan program offers two types of loans: farm ownership loans and farm operating loans. Farm ownership loan funds may be used to purchase or en- large a farm or ranch, purchase easements or rights of way needed in the farm’s operation, build or improve buildings such as a dwelling or barn, promote soil and water conservation and development and pay clos- ing costs. Farm operating loan funds may be used to purchase live- stock, poultry, farm equipment, fertilizer, and other materials necessary to operate a success- ful farm. Operating Loan funds can also be used for family liv- ing expenses, refinancing debts under certain conditions, pay- ing salaries for hired farm la- borers, installing or improving water systems for home, live- stock or irrigation use and other similar improvements. Repayment terms for direct operating loans depend on the collateral securing the loan and usually run from one to seven years. Financing for direct farm ownership loans cannot exceed 40 years. Interest rates for di- rect loans are set periodically according to the government’s cost of borrowing. Guaranteed loan terms and interest rates are set by the lender. For more information on FSA’s farm loan programs, con- tact your local FSA office or on the web at www.fsa.usda.gov. USDA Offers Farm Loans For Socially Disadvantaged Producers You’re News! The Press & Dakotan

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Page 1: ON THE WEB: PRESS DAKOTAN NEWS …tearsheets.yankton.net/may12/050512/ypd_050512_SecA_004.pdfslime controversy probably would affect more than 2,000 jobs in the industry and be-yond

PIERRE — Gov. Dennis Dau-gaard recently proclaimed this fifthmonth of 2012 as May BeefMonth—a great time to recognizethe huge contribution that the beefindustry makes to the state ofSouth Dakota.

In making the proclamation, theexecutive director of the SouthDakota Beef Industry Council(SDBIC) says the governor is hon-oring cattle producers and all ofthe allied industries that play arole in bringing beef to the platesof consumers in the state — andworldwide.

“It is important that SouthDakotans recognize the valuable

contributions the beef cattle indus-try makes to our state,” explainsFrederick. “This proclamation is a45-year-old tradition that recog-nizes one of the state’s most im-portant economic sectors.”

In fact, says Frederick, SouthDakota’s number one industry,agriculture, has a $21 billion-eco-nomic impact on the state’s econ-omy, and the beef industrycontributes $2.8 billion to thattotal — the largest segment.

“We appreciate the governor’srecognition of the beef industryand its more than 15,000 cattle pro-ducers who not only contributeeconomically to our state but are

good stewards of their land, utiliz-ing environmental practices thatwill ensure their ranches and farmswill be productive for future gener-ations,” says Frederick.

The SDBIC will be celebratingBeef Month with a number of beefpromotion events throughout themonth across the state. Frederickalso encourages South Dakotans to

simply enjoy a beef burger or steakthis month as they begin the tradi-tional grilling season.

“As you put that ground beefburger or steak on the grill,” saysFrederick, “just remember thethousands of producers in ourstate who are dedicated to produc-ing a safe, nutritious and deliciousproduct.”

BY TIFFANY HSU AND RICARDO LOPEZ© 2012, The Los Angeles Times

LOS ANGELES — Pink slime. Early death.Mad cow.

In the span of just a few weeks, the beef in-dustry was hit by a string of crises thisspring, resulting in the loss of hundreds ofmillions of dollars and hundreds of jobs.

But it could have been worse.The industry, which had $79 billion in

sales in the U.S. last year, was lucky that themost potentially damaging of the disastersturned out to be, so far, extremely limited inscope. And there are signs that the industry,despite stumbling in some of its public re-sponse, has learned to better handle suchmatters.

The latest series of problems began inMarch with a double hit. There was a Harvardstudy that determined that eating beef couldcontribute to premature death. But it was thescandal over “pink slime” that was muchmore damaging.

The ammonium hydroxide-treated groundbeef product — formally known in the indus-try as lean, finely textured beef — has beenaround for decades. But when worries aboutthe stuff suddenly erupted on social media,the industry was caught off guard.

Before companies could mount a strongdefense, unappetizing images of pulverizedmeat and stories focusing on the ammoniumhydroxide treatment spread around theworld on Twitter and Facebook.

Beef historian and author Maureen Oglesaid the industry should have responded byrunning polished advertisements featuringranchers touting their American heritage.There should have been billboards proclaim-ing the safety of products and executivesshould have been sent to major talk shows,she said.

Instead, because “the beef industry is acollection of not-very-well-connected sub-in-dustries,” Ogle said, there were some newsreleases and some promises of better label-ing but not much of a united front.

“They did exactly what they always do,which is really not much of anything,” shesaid. “Frankly, they’re going to get killed fromnow on because of social media. It can domore damage in a day than old media used tobe able to do in a month.”

School cafeterias, food chains and super-markets quickly disavowed the ground beefproduct. Some meat companies went bank-rupt or suspended production.

A study from two Iowa State Universityeconomics professors found that the pinkslime controversy probably would affectmore than 2,000 jobs in the industry and be-yond.

In March, ground beef sales slipped to 37.7million pounds, the smallest amount in adecade and an 11 percent slide from the pre-vious month, according to the U.S. Depart-ment of Agriculture.

And as if the Harvard study and pink slimeweren’t enough, April brought an even morefrightening discovery: mad cow disease.

The brain-wasting illness, officially calledbovine spongiform encephalopathy, infectednearly 24,000 cows during an epidemic inBritain in the early 1990s and also played apart in more than 150 human deaths there.North America dealt with several scares inthe last decade.

Tests on cows in the U.S. had come backnegative for BSE since 2006. But last month,investigators discovered evidence of the dis-ease in a dead dairy cow in Central California.

The USDA maintained that the case was“atypical” and that the risk of the diseasespreading was low.

There was still some backlash, especiallyin the crucial foreign markets to which theU.S. exports about $5.4 billion in beef a year,

according to the U.S. Meat Export Federation.Two large retailers in South Korea quicklypulled American beef from their stores andIndonesia announced it would block beef im-ports.

In 2003, after the first mad cow scare inthe U.S., exports fell more than 70 percent.

“Long after the science had proven thatthe U.S. beef supply was safe, it took a long,long time to get beef back into some of thosecountries,” said Tom Talbot, past president ofthe California Cattlemen’s Association.

Negative reaction, however, quickly re-ceded when no more mad cow casesemerged. And because of its past experiencedealing with the disease, the industry was farbetter equipped to handle the situation thanit was with the surprise pink slime contro-versy.

“The beef industry and its associationsare finally catching up with the times, tryingto do their best to reach out to consumers byusing new tools,” said Mike Smith, specialprojects manager at Harris Ranch Beef Co. inSelma, Calif.

“The outreach is there, it’s growing, andwe’re hoping that it’ll be more and more ef-fective as we move forward.”

The California Beef Council got its viewsout through social media and other online

tools. Its home page declares, “Join the ‘I(heart) Beef’ discussion on Facebook, followthe California Beef Council on Twitter, watchour beef industry videos on YouTube, andview our pictures on Flickr.”

The National Cattlemen’s Beef Associationhad established its BSEInfo.org site to gets itsviews on the disease out to the public, and itencouraged its Twitter followers to “push fac-tual information out to the public.”

“Our strategy has and always will be todeal with sound science on these issues,”said the association’s communications chief,Daren Williams. “That’s the bottom line. Butwe’ve adjusted our strategy accordingly toadapt to whatever latest communications ve-hicle helps us get accurate information toconsumers the quickest.”

The next crisis might be brewing already.This week, California state Sen. Ted W. Lieu, aDemocrat, sent a letter to the USDA callingfor an investigation over a binding agentcalled transglutaminase, or “meat glue,” thathelps patch pieces of meat together.

So far, beef industry representatives saidthey haven’t heard much outcry on the topic.

“Controversies have been distorted andblown out of proportion,” Ogle said.

But “the meat industry,” she said, “needsto understand that this is the new normal.”

Saturday, 5.5.12ON THE WEB: www.yankton.net

NEWS DEPARTMENT: [email protected] PRESS DAKOTANneighbors

A prayer in it’s simplest definition, is merely a wish turned heavenward.

–Phillips Brooks

Riverview Reformed Church 1700 Burleigh St., Yankton, 665-9204 • www.riverviewreformed.org

AMERICAN TRUCK DRIVING ACADEMY is proud to announce that the first round of our students have successfully graduated and are moving into a new career as a truck driver! We would like to recognize the

following students for a job well done: Jim Ryan, Sam Langley, Chico Haught, Sandi Lineback, and Ethan Manning!

We would also like to send a big thanks to Marquardt Transportation for the use of one of their trucks and

trailers to train our students and Yankton Livestock for use of their grounds for our training yard! We appreciate all you have

both done for our school!

THANKS THANKS

Dry Weather May Impact Nitrogen ApplicationsBROOKINGS — Surface application of nitrogen fertilizer in late

fall and early spring is a typical practice in South Dakota, however,the dry conditions this season may be putting that nitrogen injeopardy, says SDSU Extension Soils Specialist, Ron Gelderman,during a recent iGrow Radio Network interview.

“With the weather being so very dry, warm and windy, and if wedidn’t get that third to a half an inch of precipitation on that ureato move it into the soil and protect it, fields could have experi-enced some significant loss,” Gelderman said.

Typically, moisture moves the nitrogen down into the soil pro-file where it is protected from loss, but the lack of moisture mayhave allowed some of the nitrogen to volatize. Gelderman says asoil test can determine whether the nitrogen is still there, however,he recommends waiting to soil test, and to have the lab analyzethe sample for both nitrate and ammonium.

“We can’t assume that it’s all going to be lost. We think therecould be significant amounts remaining. Problem is that some of itmay still be in the urea form, and not too many labs can test forurea. So, what we’re suggesting is to soil sample later but still intime that we can fertilize these plants and still do some good,” hesaid.

Gelderman says winter wheat, which is at, or close to jointing,will need a nitrogen application soon if significant loss of the ap-plied urea occurred. Producers have more time before they needto test spring- planted grains and row crops. Gelderman says grow-ers may want to use a urease inhibitor with future surface urea ap-plications to increase the odds of getting some moisture.

For more information on this topic, visit iGrow.org. The iGrowRadio Network and SDSU Extension bring listeners an informativeshow each day. For more information on the iGrow Radio Network,or to listen to archived shows, visit www.igrow.org.

Word-Of-Mouth WarsBeef Industry Struggles To Keep Up With PR Crises

Daugaard Declares May As Beef Month In S.D.

PHOTO: METRO GRAPHICS

HURON — USDA Farm Serv-ice Agency (FSA) State Execu-tive Director Craig Schaunamanreminds producers that FSA of-fers specially-targeted farmownership and farm operatingloans to Socially Disadvantaged(SDA) applicants.

“FSA targets a portion of itsannual loan funds for sociallydisadvantaged farmers andranchers,” said Schaunaman.“Farming and ranching is a capi-tal intensive business and FSAis committed to helping produc-ers start and maintain theiragricultural operations.”

In fiscal year 2011, SouthDakota FSA dispersed $12.4 mil-lion in farm loans to sociallydisadvantaged producers.

USDA defines socially disad-vantaged applicants as a groupwhose members have been sub-jected to racial, ethnic, or gen-der prejudice because of theiridentity as members of thegroup without regard to theirindividual qualities. For farmloan program purposes, SDAgroups are women, AfricanAmericans, American Indiansand Alaskan Natives, Hispanicsand Asians and Pacific Is-landers.

SDA producers who cannotobtain commercial credit froma bank can apply for either FSAdirect loans or guaranteedloans. Direct loans are made toapplicants by FSA. Guaranteedloans are made by lending insti-tutions who arrange for FSA toguarantee the loan. FSA canguarantee up to 95 percent ofthe loss of principal and inter-est on a loan. The FSA guaran-tee allows lenders to makeagricultural credit available to

producers who do not meet thelender’s normal underwritingcriteria.

The direct and guaranteedloan program offers two typesof loans: farm ownership loansand farm operating loans.

Farm ownership loan fundsmay be used to purchase or en-large a farm or ranch, purchaseeasements or rights of wayneeded in the farm’s operation,build or improve buildings suchas a dwelling or barn, promotesoil and water conservationand development and pay clos-ing costs.

Farm operating loan fundsmay be used to purchase live-stock, poultry, farm equipment,fertilizer, and other materialsnecessary to operate a success-ful farm. Operating Loan fundscan also be used for family liv-ing expenses, refinancing debtsunder certain conditions, pay-ing salaries for hired farm la-borers, installing or improvingwater systems for home, live-stock or irrigation use andother similar improvements.

Repayment terms for directoperating loans depend on thecollateral securing the loan andusually run from one to sevenyears. Financing for direct farmownership loans cannot exceed40 years. Interest rates for di-rect loans are set periodicallyaccording to the government’scost of borrowing. Guaranteedloan terms and interest ratesare set by the lender.

For more information onFSA’s farm loan programs, con-tact your local FSA office or onthe web at www.fsa.usda.gov.

USDA Offers FarmLoans For Socially

Disadvantaged Producers

You’re News! The Press & Dakotan