In a previous post I wrote about the potential significance of new “smart subsidies” for agricultural inputs in Sub-Saharan Africa. Zambia, Tanzania, and Malawi have initiated such programs to help populations of small farmers acquire mineral fertilizer and hybrid seed at a lower cost. One key objective is to increase staple cereal yields from these […]
Thinking about the Des Moines Water Works Lawsuit and the History of Drainage
In March 2015, Des Moines Water Works (DMWW) filed a lawsuit against three Iowa drainage districts because of nitrate problems in Des Moines drinking water supplies. It alleges the nitrates have leached out of farm fields, through drainage district tiles, and ended up in the city’s drinking water supply. In July, the water utility reported […]
Preventing Postharvest Loss for Global Food Security
Last week, U.S. Secretary of Agriculture Tom Vilsack kicked off the 2015-16 International Food Security at Illinois seminar series with a talk on discuss how land-grant universities could help improve world food security. We face the global challenge to feed a world of 10.5 to 11 billion people by 2050. As incomes rise, people demand […]
New Research Directions on the Economic Impact of Climate Change on U.S. Agriculture
The attention generated by the impact of the summer 2012 drought on the Corn Belt exemplifies how vital it is for the U.S. agricultural sector to understand climate change and how to mitigate and/or adapt to it. While there is little controversy about whether agriculture is sensitive to changes in climatic conditions, significant uncertainty exists […]
Cropland Price Determinants and Risk Premiums
Cropland prices across the United States have appreciated at record levels in recent years. After a U.S. recession, in which a bubble in real estate prices was a factor, some have questioned if cropland prices are in a bubble. Schnitkey, Sherrick, and Kuethe (2014) show that the increase in cropland returns and the decline in […]
Current Issues Surrounding the Renewable Fuel Standard
Overview of the RFS The Renewable Fuel Standard is just a single component of our nation’s broader energy policy approach. The RFS was originally created under the Energy Policy Act (EPAct) of 2005. In 2007, the Energy Independence and Security Act (EISA) expanded the original standard to what is now often referred to as RFS2. […]
What is Driving the Decline in Ethanol Prices?
After briefly rallying in November 2014, the price of ethanol continued to fall through the beginning of 2015. With the collapse of oil prices continuing to dominate the news, it is tempting to assume that the decline in ethanol prices is being driven by the bearish news coming out of the crude oil market. However, […]
Palm Oil in West Africa: The New Frontier?
Recent changes in both the supply and demand for palm oil are rapidly changing the face of its world market. The underlying cause of this change is tension between conflicting desires: economic growth and environmental protection, which drive the choices of palm oil producers, consumers, and policy makers. The future of the palm oil industry, […]
“You Quit??” – Small Farmer Contracting and the Importance of Dropout
Over the past 20 years, international trade liberalization and various reforms have dismantled many government controls on agricultural markets in the developing world, opening new commercial spheres for farm products and new marketing choices for farmers in the Global South[1]. One class of these opportunities is linked to the modernization and expansion of agricultural value […]
Reviewing USDA’s Revised Conservation Compliance Regulation
On Friday, April 24, 2015, the Farm Service Agency (FSA) published its regulation for attaching conservation compliance to the portion of premium covered by the Federal Crop Insurance Corporation (FCIC), known as premium subsidy. Section 2611 of the 2014 Farm Bill (Agricultural Act of 2014) made Highly Erodible Land (HEL) and Wetlands conservation compliance provisions […]