🐷 Pork's Dilemma + Drought Domination, Pollinators Feel the Sting, and more...

With the 4th of July less than a week away, it’s the perfect time to do a status check on an American BBQ staple: pork.

Not so fast... The long simmering feud over pork processing line speeds will reach a crescendo as a federal judge’s order will go into effect.

Starting today, those line speeds will be capped at 1,106 hogs per hour. Research by Iowa State’s Dr. Dermot Hayes found that this change alone will reduce the U.S.’s pork processing capacity by 2.5% and lead to $80 million in lost revenue for small pork producers.

Back to the wild west? While processing speeds slow down, implementation of Prop 12 seems to be moving at breakneck pace.

The infamous California ballot measure aimed at establishing animal care requirements looks to be close to reality, and the news may not be all good for the consumer. Local supply is expected to see a 50% drop in California once the new requirements take effect. That supply shortage will lead to much higher prices.

A silver lining… maybe? Many in the industry were predicting a tough Q4, worried that the market-ready hog supply might outpace slaughter capacity. In its June report, the USDA showed a 3% drop vs. last year’s number of pigs under 120 pounds. Fewer small pigs in June means fewer to slaughter later in the year, which might keep everything buzzing along.

Quick Hits

→ A refiner-friendly ruling. The Supreme Court sided with small petroleum refiners last week, agreeing that they can receive extensions on their exemptions to the Renewable Fuels Standard, even if their earlier exemptions had lapsed.

→ China’s urea probe. The Asian nation’s lead investigator will look into industry practices and companies to determine why urea prices jumped 9% in the first ten days of June.

→ Shrooms need a labor kick. There's an estimated weekly shortfall of 1 million pounds of mushrooms per week due to labor shortages since the crop doesn't quality for H-2A worker programs.

→ EU farms just got greener. A three-year battle over EU farming subsidies came to a close yesterday after reforms passed that incentivize ‘eco-schemes’ or strategies and support smaller operations.

→ Court halts minority farmer debt package. A second federal district judge issued a preliminary injunction and has stalled efforts by the USDA to provide $4 billion in loan debt relief to minority farmers.

→ Big name heads to FAO. Cindy McCain, the widow of longtime Senator and former presidential hopeful John McCain, has been nominated to be the U.S. representative to the United Nations Agencies for Food and Agriculture.

Western states are feeling the heat as drought concerns hit all-time highs.

California posted its driest ever 12-month period, while 90% of the American West is suffering from some level of drought conditions.

Deja vu: 2012-2017 was another period of severe drought in the West. Experts say shifts in storm patterns and increases in global temps are making long dry periods more common.

Some even question if it’s not so much a drought... and more a new permanent state of being.

Tough choices: The region’s growers have few easy options. They’re reducing production acres, planting crops closer, and balancing scarce livestock feed and water supplies. Water is being diverted from annual crops (tomatoes, melons) to vineyard and orchard crops that are a longer-term investment.

Some are already culling cows and ripping up almond trees earlier than planned.

Dire consequences: Drought conditions can stoke deadly wildfires and drive wild predators to desperate behaviors. Farmworkers worry they’ll be out of work as production declines. And producers wonder about the long-term sustainability of their operations in the region.

Concerns of inflation and food scarcity are also out there. Looking back, the 2014-2015 drought cost California ag operations roughly $5 billion and 20,000 lost jobs.

#MoreDamStorage: While it doesn’t solve near-term problems, many are lobbying for new dams to capture winter floodwaters that current dams can’t capture. Ag Secretary Tom Vilsack notes that current systems aren’t designed for decade-long ongoing drought situations, and more support is needed for farmers facing climate risks.

Let’s just say AgButler has been busy…

With jobs available in 13 states and new gigs being posted daily, the on-demand platform is scaling and becoming the farm labor marketplace of choice.

Half of the users are laborers and their diverse skills, experiences, and backgrounds are plugging the holes of waning workforces across rural America.

Curious what’s trending right now? Lots of new jobs are already being posted for harvest, as well as fall livestock work and shows.

If labor is your bottleneck, don’t sweat it. Head to AgButler and find ag labor today.

A huge decrease in the bee population over the past year has agriculture feeling the sting.

From April 2020 to April 2021 the honey bee population in the U.S. has decreased by 45.5%. That’s the second-largest loss since recording began in 2006, according to surveys conducted by the Bee Informed Partnership (BIP) that help the industry identify and manage its losses.

If that turnover sounds high, it’s because it is. It’s worth noting the average annual loss rate is 39.4% — nearly double what beekeepers deem an “acceptable” rate of turnover (20%).

Why the buzz? Last week was National Pollinator Week organized by the USDA. This year’s theme was: “A bee-less future would sting us all.”

Pollinators help produce more than 100 crop varieties in the U.S. alone, adding $18 billion in value to important staples including fruits, vegetables, and nuts. One-third of our diets as we know them are dependent on pollinators like honey bees.