Good morning.
No one wants their rice to be soggy. Buttttt, in this case, maybe we'll make an exception?
An ocean ag startup called Alora is attempting to genetically modify crops (like rice and soybeans) so that they can defend themselves against a saline environment—and actually grow in salty waters.
Alora is set to start a trial in Southeast Asia's Mekong Delta, a region that accounts for half of Vietnam's rice production and that's already been feeling the negative impacts of saltwater intrusion.
The tech is still pretty early-stage. But migrating terrestrial crops to the ocean? That could turn the tide of 21st century food production.
Stories:
- The High Court's Hog Debate
- Rail Union Negotiations Back Off Track
- AgriWebb Captures $6.7M
|
The High Court's Hog Debate |
Bacon took center stage at the Marble Palace (aka, the Supreme Court) Tuesday, and the jabs on both sides of the aisle were sizzling.
Oral arguments were heard in National Pork Producers v. Ross, with debate over California’s controversial Prop 12 hitting both moral and economic grounds.
Backstory: In 2018, California passed the proposition defining how much space sows, veal calves, and egg-laying hens should have in modern production facilities. The catch? It also banned the sale of animal-derived products that don’t comply with the regulations—even if they’re produced in other states.
99.87% of U.S. pork production happens outside of California and only 4% of U.S. sow facilities meet the Prop 12 standards. So, the National Pork Producers quickly challenged the law’s constitutionality...
And POTUS sided with pork: The Biden administration filed an amicus brief in June arguing Prop 12 "unduly restricts interstate commerce."
SCOTUS soundbites:
- Justice Samuel Alito: "Could a state say, 'We're really concerned about water shortages, so we're going to prohibit ... the sale within our borders of any almonds where the trees are irrigated'?"
- Justice Neil Gorsuch: "We’re going to have to balance your veterinary experts against California’s veterinary experts, the economic interests of Iowa farmers against California’s moral concerns and their views about complicity in animal cruelty. Is that any job for a court of law?
- Justice Ketanji Brown Jackson: "I don’t know what Iowa actually believes, but assume we have a state that thinks it’s not immoral to hold their sows in a particular way. To what extent does California get to control what Iowa does with respect to the housing of its pork?"
Where this goes: We're still not sure whether the Supreme Court will actually decide this case, depending on whether pork producers can prove Prop 12 would have a harsh economic impact on the other 49 states.
It's possible the justices instead send the case back to a lower court to resolve that factual issue—which could be another 1-2 years of arguments.
Confused? So is the Supreme Court!
|
→ Wheat woes. Wheat futures surged after Russian missile attacks in Ukraine—increasing concern that the current grain export deal won’t be renewed because of the tension, causing more disruption to supply.
→ USDA updates. According to its latest WASDE numbers, the USDA slightly lowered estimates for both corn and soybean yields.
→ Peanut trade is poppin’. After exporting $330.5M worth of peanuts in 2021, Brazil is expanding its trade horizons, with 47 of its peanut companies being approved to export to China.
→ Dry cotton. Extreme heat and drought have dramatically impacted the cotton harvest, especially in Texas. The USDA says more than 40% of planted cotton acres in the U.S. are expected to be abandoned.
→ Inflation deceleration? The IMF said it expects global inflation to peak in late 2022 at 8.8%, and it will likely decrease to 6.5% by 2023.
→ ASF comeback. Nearly 40K animals will be culled in Romania, after African Swine Fever was discovered at a pig farm in Timis. Recent outbreaks have also happened in Germany and Italy.
|
Rail Union Negotiations Back Off Track |
Tomas_Handfield from Getty Images
|
All aboard the strike express! And then back off it. And then… back on?
We choo-choo-choose no: A few weeks ago, a strike by railroad workers seemed imminent—until a tentative agreement was reached in the 11th hour (technically, the 21st hour—after a 20-hour negotiation marathon).
But now, a threatened strike is back on the table, after the Brotherhood of Maintenance of Way Employees Division of the International Brotherhood of Teamsters voted against the proposed contract. (All 12 railroad unions have to ratify their contracts to prevent a strike.)
Railroaded: The number one concern workers say wasn’t properly addressed in that tentative contract from September? Paid sick time. They also want to see better working conditions (like not being on call seven days a week).
Soundbite: "Railroaders do not feel valued. They resent the fact that management holds no regard for their quality of life, illustrated by their stubborn reluctance to provide a higher quantity of paid time off, especially for sickness." – Tony D. Cardwell, union president
What this means for ag: Nothing good! A potential strike would inject more chaos into an already-stretched (and expensive) supply chain. Plus, it would cause more backlog at grain processing facilities—potentially even forcing shutdowns.
How to get back on track: The union will start bargaining again with Class I freight carriers, in what’s called a "status quo" period. That period will stretch to mid-November, at which point there would either be a strike on Nov. 19, or a new deal—so here’s hoping we get a final resolution somewhere down the line.
|
Last week we mentioned that your Thanksgiving turkeys will be more expensive, so it’s no surprise that you will pay more for your real Christmas tree this year, too. (Thank you, inflation.)
The good news is that there should be plenty of Christmas trees to go around (even for you, Charlie Brown!). The bad news…? You can expect to pay ____% more this holiday season. (So start saving up now.)
Answer at the bottom of the email.
|
LeandroHernandez from Getty Images Signature
|
"Home, home on the range. Where an app tracks cattle gains and the best places to graze..."
Australian startup AgriWebb, which has built a livestock management platform for ranchers and farmers, just nabbed another $6.7M in its Series B funding round. Total funding is up to $29.3M.
This funding will enable the company to enter new partnerships and release features to support "improved animal productivity and sustainable land stewardship."
AgriWebb’s app helps users visualize their operations and provides information on livestock and grazing—all the way down to the best grass location and which animals are gaining. It also supports sustainable land management for better profits.
It’s becoming a pretty big deal: The company boasts that more than 16K farmers and ranchers worldwide are using its platform to manage 19M animals and 136M+ acres of grazing land, with major players in Australia, the U.S., and the U.K.
One of a kind: AgriWebb’s platform combines animal management, grazing management, team communication, task and compliance management, and daily record-keeping.
Soundbite: "Its grazing insights enable ranchers to maximize productivity, eliminate waste, and validate grazing and animal management decisions in a way that other record-keeping systems can’t touch," executive chairman and co-founder Justin Webb said.
AgriWebb, which started in Australia but has U.S. headquarters in Denver, was founded in 2014.
Investors Germin8 Ventures and iSelect Fund were new this round, joining existing investors Grosvenor Food & AgTech, Telus, and The Clean Energy Finance Corporation.
"Livestock producers deserve better technology to help them maximize their business, and consumers need more reliable provenance for the animal and environmental welfare of their food," Webb said.
|
Have friends or coworkers who'd love our newsletter too? Give them your unique referral link (below) and get Magnetic gear when you hit certain referral counts.
Your link:
*Curious where you stand? You can always check your referral hub and see rewards here.
|
5-15%. Of 55 wholesale Christmas tree growers who were surveyed, 36% of them said their inputs were up between 11-15% this year. Growers are concerned about supply chain issues and the impact of inflation on customer spending.
|
|
|
ADVERTISE
Not feeling Magnetic anymore?
Break our hearts and unsubscribe here.
Magnetic Ag
P.O. Box 7292
Greenwood, IN 46142-6423
United States
|
|
|
|
