Editorial

 

USDA FACES CHALLENGES OVER SNAP

Aug 19, 2016

    

The Law of Unintended Consequences may impact the intent of the USDA to encourage Supplemental Nutritional Assistance Program (SNAP) beneficiaries to improve their diets.

An article in the June 29th edition of The Wall Street Journal, details proposed USDA regulations to modify conditions under which stores can participate in the program.

  

There is considerable justification for the White House to promote increased purchase of fruits and vegetables by SNAP beneficiaries.  Low-income segments of our population consume diets high in fat, salt and calories resulting in a high incidence of obesity and metabolic syndrome.

Currently SNAP carries an annual cost of $74 billion.  There are now 45 million recipients with an average monthly support level of $127.  This compares to the 1969 “food stamp” program which paid $42 using inflation- adjusted values. 

The USDA in their attempt to promote consumption of fruits and vegetables will require that all stores participating in SNAP must stock a wider variety of vegetables, fruits, meats and dairy items. Concurrently they must reduce less healthful products including pizza, canned soups and frozen meals. 

This initiative will represent a problem for smaller stores including corner markets and tiendas which represent 195,000 of the 265,000 participating food outlets.  Complaints advanced by these small stores include a lack of space, inadequate refrigeration and display counters for the required foods. Operators of small stores justifiably claim that they would have losses associated with dated produce and spoilage.  In the words of one convenience store operator in a mid-west city, “most of the customers buy chips and soda”.  The owner added, “we tried that a long time ago but it didn’t sell much”.

From the perspective of consumers, disqualifying many corner stores and tiendas will create hardship since there will be fewer outlets in their neighborhoods. This will require frequent trips to conventional supermarkets and effectively extend the areas classified as “food deserts”.

Perhaps the intended SNAP regulations represent an opportunity to introduce eggs into corner stores and other outlets since most of the locations already have coolers for beer and drinks.

The Obama Administration should carefully review what they hope to achieve and recognize the problems inherent in restricting rather than in promoting the consumption of nutritious food.  The USDA, in conjunction with the Department of Health and Human Resources has a long way to go to promote sensible food choices. The problem of high fat and calorie intake with minimal exercise lies in existing social norms and ignorance in some demographics benefitting from SNAP.

Schools and community centers in addition to medical establishments have a role in promoting health through adequate diets.  Simply restricting the number of outlets using a bureaucratic hammer will be counterproductive.

   

Egg Industry News

 

Status of 2016 Corn and Soybean Crops

Aug 24, 2016

    

The USDA Crop Progress Report released Monday 22nd August indicated a continued favorable trend in corn and soybean crops in 18 states, expressed in the table below:-

                                                                            WEEK ENDING

Crop

August 14th

August 21st

5-Year Average

Corn dough

       73

 81

76

Corn dented

        21

             40

             35

Soybeans Blooming

        95

           100

           100

Soybeans setting pods

        80

89

             85

 

Crop Condition:

Crop

V. Poor

Poor

Fair

Good

Excellent

Corn

2

 5

18

54

21 slightly changed

Soybeans

2

5

21

55

17 slightly changed

The prospects for corn and soybean growth and yield depend on adequate soil moisture. USDA reported data for 48 contiguous states which shows only minor changes from the previous week, as shown in the table below:-

                                Moisture Classification (%) for Week Ending August 21st.  

 

V. Short

Short

Adequate

Surplus

Topsoil

      8

19

61

12

Subsoil

7

20

64

 9

   
   
 

CME Prices

Aug 24, 2016

    

At the close of trading on August 19th CME rounded quotations for corn, soybeans and soybean meal with values for August 12th reflecting the months as indicated in parentheses were:-

COMMODITY
Corn (cents per bushel)                       Sept.   334      (323)       Dec.    344      (334)       
Soybeans (cents per bushel)              Sept. 1,027     (994)      Nov.  1,004     (983)  
Soybean meal ($ per ton)                    Sept    330       (339)      Dec     326      (329)   

September corn up 3.4 percent   (11 cents per bushel)
September Soybean meal down by 2.7 percent ($9 per ton).

For each 10 cent per bushel change in corn :-

  • The cost of egg production would change by 0.45 cent per dozen
  • The cost of broiler production would change by 0.25 cent per pound live weight

For each $10 per ton change in the price of soybean meal:-

  • The cost of egg production would change by 0.40 cent per dozen
  • The cost of broiler production would change by 0.25 cent per pound live weight

See posting on the August USDA-WASDE Report #556 for an update on quantities and price projections for commodities

   
   
 

USDA Weekly Egg Price and Inventory Report, August 15th 2016

Aug 19, 2016

    

Midwest-wholesale prices for Extra Large, Large and Medium sizes increased by eight percent, this past week, from a slowly rising but low base. The pattern of prices during 2016 is depicted in the Figure reflecting three years of data, updated weekly by the USDA.

The USDA Combined Region value for Large commodity eggs delivered to warehouses, lagging the Midwest quotation by one week, increased 1 cent to $0.53 per dozen, compared to the 12-month trailing peak price of $2.77 per dozen in mid-August 2015.  The USDA Combined range for Large, was up 2 cents to $0.49 per dozen in the Midwest. In the South Central Region, price rose by 3 cents to $0.57 per dozen. The current USDA Combined Price is approximately $1.00 per dozen below the three-year average which is inflated by the rise in prices during 2015, attributed to the HPAI epornitic.

  

The lower prices prevailing during the second week in August suggests slightly higher prices through summer. The decrease in stock level for three successive weeks after a previous four-week build predicates a short-term rise in price. The National productive flock excluding pre-lay pullets and hens in molt, is back to levels held prior to the advent of HPAI, at approximately 294.3 million, although approximately 300,000 hens up this past week. Older flocks are evidently being depleted following extremely low mid-Summer prices and hens not required to supply contracts and established customers are being either depleted with replacement by pullet flocks or are being molted.

The market will respond to changes in availability of both shell eggs and breaking stock attributed to re-stocking and projected exports.  

   
 

JULY 2016 EX-FARM MARGINS STILL NEGATIVE BUT UP BY 35 PERCENT
ON LOWER FEED COST AND HIGHER PRICES

Aug 19, 2016

    

Introduction.

Comments supplementing the production summary tables for the latest series reflecting USDA July 2016 statistics and prices made available by the EIC on August 17th 2016 are tabulated together with comparison values from the previous July 12th 2016 posting, as amended.            

EGG-CITE also details USDA data on egg production and prices each week.

Disease.

Low-pathogenicity H5 avian influenza has been identified in live bird markets in New Jersey, New York and Pennsylvania in recent weeks. This implies that supply farms in the Northeast have infected flocks requiring trace back.

No diagnoses of avian influenza have been made in commercial flocks despite intensive surveillance. A minor outbreak of LPAI involving one turkey growing farm in Jasper County, Missouri was reported in early May but was rapidly controlled by flock depletion with no additional cases detected by surveillance.  The statutory 90-day post decontamination period required by the OIE has now expired with respect to this incident which should permit unrestricted exports.

Read the Full Statistical Report at
http://egg-cite.com/statistics/single.aspx?contentID=7606

   

 

   
 

Export of Shell Eggs and Products, January through June 2016.

Aug 19, 2016

    

USDA-FAS data as collated by USAPEEC, reflecting export volume and values for shell eggs and egg products are shown in the table below comparing the first six months of 2016 with the corresponding period in 2015:-

U.S. EGG EXPORTS IN JANUARY-JUNE 2016 COMPARED WITH THE CORRESPONDING PERIOD IN 2015

    PRODUCT

  Jan.-June 2015

Jan.-June 2016

   Difference

Shell Eggs

 

 

 

Volume (m. dozen)

   79.4     

    58.1

 - 21.3      (-26.8%)

Value ($ million)

 101.2

    59.0

 - 42.2      (-41.7%)

Unit Value ($/dozen)

   1.27

    1.01

 - 0.26      (-20.5%)        

Egg Products

 

 

 

Volume (metric tons)

 21,894

10,372

-11,522    (- 52.6%)

Value ($ million)

    62.7

    31.3

 -   31.4    (- 50.1%)

Unit Value ($/metric ton)

   2,871

  3,018

 +   147    (+  5.1%)

Source USDA-FAS/USAPEEC

  

SHELL EGGS

Shell egg exports from the U.S. during the first six months of 2016 decreased by 26.8 percent in volume and 41.7 percent in total value. Unit value was lower by 26 cents per dozen for the six-month, year-over-year comparison. Hong Kong was the noteworthy importer, with 16.8 million dozen or 28.9 percent of U.S. shipments of shell eggs corresponding to 30.8 percent of value. Canada was second in rank with 28.1 percent of volume and 31.0 percent of value. Canada and Mexico reduced volume of imports of shell eggs during the first half of 2016 by 51 percent and 78 percent respectively.

Although shell-egg producers were relatively unaffected by HPAI during the Spring months of 2015 compared to liquid producers, the volume of exports was still restrained by diversion of all available shell eggs into the domestic table market and to breaking based on comparative unit values.

In June 2016 shell egg volume and value were down by 21.0 percent and 43.2 percent respectively compared to June 2015.

EGG PRODUCTS

The total volume of exported egg products during January-June 2016 declined by 52.6 percent and total value decreased by 50.1 percent compared to January-June 2015 although this was offset by a 5.1 percent increase in unit value to $3,018 per ton reflecting the disparity between supply and demand. Mexico was the largest contributor to the decline, reducing volume and value by 80.3 percent and 79.7 percent respectively as a result of HPAI embargos and unprecedented high domestic U.S. prices. The volume of exports to Japan was reduced by 23.4 percent during the first six months of 2016 compared to 2015. In June 2016 export volume of egg products was up by 17.8 percent but value was down by 1.9 percent compared to June 2015. This is reflected in a 21.3 percent decline in unit value from $3,786 to $2,981 with restoration of normal supply relative to demand as the flocks of in-line breakers have been repopulated.

COMMENT

There have been no further cases of H5 strain HPAI in laying flocks since mid-June 2015. The limited outbreak of H7N8 AI on ten Indiana turkey farms in January 2016 was rapidly eradicated. A similar outcome resulted from the “pop-up” case on a single farm in Missouri in early May. Importers are now applying the OIE principle of regionalization and permitting imports on a nationwide or state basis following H5 or H7 AI infection.

   
 

WHOLE GENOME SEQUENCING APPLIED BY FDA

Aug 19, 2016

    

Dr. Eric Stevens, Staff Fellow with the U.S. Food and Drug Administration, Center for Food Safety and Applied Nutrition outlined advances in whole genome sequencing (WGS) which is rapidly replacing pulse field gel electrophoresis (PFGE) as a diagnostic laboratory procedure.  Speaking at the 12thAnnual Commissioner’s Food Safety Forum in Raleigh, NC. on August 16th Stevens, explained that WGS was previously an expensive technique costing in excess of $1,500 per sample.

  

Using advanced automated equipment, the FDA can now perform a genome sequence assay for approximately $25.  Year-to-date the Office of Regulatory Science laboratories have conducted 60,000 sequence assays with an emphasis on Salmonella, Campylobacter, E.coli and Listeria.  Given the ease of whole genome sequencing, the FDA is cooperating with approximately 40 laboratories to establish the Genome Trakr.  The consortium comprises 14 U.S Federal labs and 16 state labs, a U.S. hospital and nine international laboratories, all submitting sequences to a common database. 

The purpose of whole genome sequencing is to expedite identification and characterization of pathogens in order to identify their source and to implement action to prevent further cases during an outbreak. Applying conventional PFGE, an agency might take as long as 30 days to identify the source of a multi-state foodborne disease. With whole genome sequencing, it may be possible to identify a supplier and a vehicle within four to five days.  Rapid resolution of foodborne outbreaks preserves brand integrity and reduces costs for treatment and recalls.

Sequencing was used to investigate outbreaks of Salmonella Bareilly attributed to infected tuna imported from India, responsible for an outbreak with 410 cases in 29 states.  Application of new molecular biological techniques by FDA and cooperating laboratories will provide epidemiologic information to reduce the incidence rates of foodborne disease but will also clearly identify plants or even items of equipment responsible for dissemination of infection.  This is very significant given increased cooperation between the FDA, the USDA and the Department of Justice in enforcing food safety.

   
 

SPOTTY LIVER DISEASE IN AUSTRALIA

Aug 19, 2016

    

Dr. Tom Grimes provided the American Association of Veterinarians in Egg Production with a slide set kindly circulated by Dr. Eric Gingerich relating to a condition which occurs with increasing frequency among free-range egg production flocks in Australia. 

Epidemiologic investigations have demonstrated that the incidence rate is higher during summer months and the prevalence is exacerbating by overcrowding or other predisposing management factors.

  

Dr. Grimes described “Spotty Liver Disease” in 2011 at the Western Poultry Disease Conference.  The condition is associated with losses due to mortality, reduced egg production and pale yolks.  Mortality usually commences at 23 to 28 weeks of age and persists for 2 to 6 weeks.

The typical gross lesions comprise focal necrotic areas on the liver, yellow discoloration of fat and splenomegaly.  On histological examination, necrotizing hepatitis with fibrinous deposits are observed.

Laboratory examinations have excluded pasteurelolosis, colibacillosis, salmonellosis and streptococcosis. Campylobacter is a consistent finding and correlates with the experimental reproduction of the condition in the UK by Crawshaw et al1 Affected flocks show a reduction in mortality when medicated with tetracycline or lincomycin, suggesting a bacterial etiology.

The description of the condition conforms to a syndrome observed in the Northeast of the U.S. during the late 1950’s, described by Peckham2 as Avian Vibrionic Hepatitis.

With the increase in numbers of non-caged flocks in the U.S., the possible emergence of spotty liver disease should be monitored with appropriate diagnostic evaluation to determine possible etiology.

1Crawshaw, T. R. et al Isolation of a Novel Thermophilic Campylobacter from Cases of Spotty Liver Disease in Laying Hens and Experimental Reproduction of Infection and Microscopic Pathology.  Veterinary Microbiology. (2015) In Press

2 Peckham, M. C. Avian Vibrionic Hepatitis. Avian Dis. 2:348-358 (1958)

   
 

AEB Partners with U.S. Olympic Gymnast

Aug 19, 2016

    

The American Egg Board has partnered with former gymnastics gold medalist Shawn Johnson to promote the benefits of consuming eggs to enhance athletic performance. 

Johnson a resident of Des Moines commented “I literally can’t start my day without eggs and that’s why I’m excited to partner with America’s egg farmers.”  She added “Eggs are packed with high-quality protein and are a nutritional powerhouse – perfect for fueling athletes, like me, and people with active lifestyles.”

During August Shawn will participate in media interviews promoting eggs and will share videos in addition to posting on her Facebook, Twitter and Instagram platforms.

  

 

Anne Alonzo, President and CEO of the AEB stated “We are thrilled to partner with Shawn Johnson, to show how the nutrition package of eggs can help athletes achieve peak performance when they need it most.”

This is a timely promotion with an excellent spokesperson given her achievements and consumer’s interest in the Rio Olympics.

   
 

Arthur W. Perdue Foundation Receives Poultry Science Association Award

Aug 19, 2016

    

At the 2016 annual meeting of the Poultry Science Association, the Arthur W. Perdue Foundation received the Torch Bearer award. This was in recognition of establishing post-graduate fellowship programs including a two-year stipend for students.

The Poultry Science Association Foundation is a charitable corporation affiliated with the Poultry Science Association with the primary purpose of advancing the founding principles of the PSA.  For further information on the organization and the Capital Campaign access www.poultryscience.org/foundation/asp.

   
   
 

Call for Compartmentalization Standards Under the NPIP

Aug 19, 2016

    

All five major U.S. organizations representing segments of the poultry industry in the U.S. have addressed a letter to USDA-APHIS calling for uniform standards relating to compartmentalization to be included in the National Poultry Improvement Plan (NPIP).

Compartmentalization is a principle recognized by the World Organization for Animal Health (OIE) which allows a qualified and suitably structured and managed primary breeder or approved multiplier to distribute eggs and breeding stock from a facility despite being in an area such as a state or nation with the presence of a catastrophic disease including HPAI or END.

The distinction applied to a compartment is that it comprises an “island” protected by effective conceptual, structural and operational biosecurity, serving as a barrier to introduction of infection with freedom from disease confirmed by ongoing surveillance.

  

The issue is exceptionally relevant given the disruption caused by the 2015 avian influenza outbreak and subsequent isolated cases of low pathogenicity avian influenza which occur from time to time. Although inconsequential in their effect the statutory reports to the OIE result in importing nations imposing either regional, state or national bans affecting the ability to ship breeding stock as chicks or eggs.

As reported in the August 8th edition of MondayLine, the newsletter of the USAPEEC, the communication stated “The U.S. is the source of the vast majority of the global genetic breeding stock for meat-type chickens and turkeys.  A disruption in the supply of these genetic stocks significantly impedes the continued production of poultry products globally and here at home.”

Establishing NPIP standards for compartmentalization will in some measure duplicate the requirements imposed by the OIE.  In matters of international trade, OIE rules would prevail but the intent of the initiative would allow individual primary breeders to claim approval from a statutory body which could either exceed or supplement OIE standards.

Failure to recognize compartmentalization is a two-edged sword. It is a matter of record that for some countries, U.S. primary breeders lost sales and were obliged to supply customers and Franchisees from subsidiaries in other nations during 2015. However in the PRC, which has the most exclusionary and scientifically indefensible import policy, the poultry industries in that Nation are now suffering the effects of a shortage of grand-parent and parent level breeders which is impacting production capacity.

   
 

Sysco Reports on Q4 of FY 2016

Aug 19, 2016

    

In a press release dated August 15th Sysco (SYY) announced results for the 4th Quarter of Fiscal 2016 ending July 2nd.           

The following table summarizes the results for the period compared with the values for the corresponding quarter of the previous fiscal year (Values expressed as $ x 1,000 except EPS).

   
   
 

Aeros Scoreboard Data-Monitoring System Now Available for Egg Producers

Aug 19, 2016

    

Aeros, a subsidiary of the Cultura Company has introduced the Aeros Scoreboard system which integrates data associated with all aspects of egg production.  The Scoreboard system was conceived and developed by Keith Mangold, based on the technology and experienced gained through Chilson’s Management Controls, the original comprehensive management system for the egg industry.

  

Aeros Scoreboard is a data visualization, information and decision-making system.  It is possible to coordinate input from flock management, a feed mill, packing plant and accounting.

Presentation of data was developed to highlight deviations from predetermined standards and parameters.  Data is color-coded and is displayed in a format to allow decision making in real-time.

For egg producers that are still using Chilson’s and derived management information systems, Aeros Scoreboard offers an upgraded advance consistent with the challenges of modern production and control of costs.

For further information access www.getaeros.com/products/scoreboard.

   
 

Vermont Food Producers Urged to Maintain GMO Labels

Aug 19, 2016

    

According to the August 5th edition of Supermarket News the Vermont Retailers and Grocers Association, which was in favor of the Federal GMO labeling legislation, is advising members to disclose GMO information on labels.

Retailers and suppliers expended both time and money to conform to Vermont Law 120 which was superseded by Federal legislation after one month.

  

Some suppliers declined to conform to the law and ceased delivering to Vermont, resulting in empty shelves, although restocking is now in progress.

The situation in Vermont illustrates the consequences of patchwork regulations relating to GM, welfare and other stipulations imposed by state or local legislatures and councils such as those contemplated or enacted in the Left Coast of the nation.

   
 

AEB Releases Virtual Farm Visit Video

Aug 19, 2016

    

The Hertzfeld Poultry Farm operated by the Hertzfeld family in Grand Rapids, OH was the focus of a joint AEB, Discovery channel video circulated to U.S. schools. Concepts including sustainability and the relationship of row-crop farming to egg production were emphasized

The 30-minute presentation was long on talking heads to the detriment of showing farms and specifically the packing plant. Aspects of egg safety and quality did not receive adequate attention.

  

Given trends in the Industry, hens housed in cage-free systems including slatted floors and aviaries should be selected for future videos. The video can be downloaded from the Discovery website www.EducationStation.DiscoveryEducation.com/field-trips

   
 

AEB Distributes Summer 2016 Edition of Nutrition Close-Up

Aug 19, 2016

    

The Egg Nutrition Center compiled and distributed the Summer 2016 edition of Nutrition Close-Up. The latest version contains an editorial by Dr. Tia Rains entitled A Nutrition Scientist’s Perspective on the New Food Label; Dr. Leslie Fisher Updates on Guidance on Cholesterol and Dietician, Kristen Arnold on Novel Strategies to Lower Inflammation through Diet.  Cardiovascular integrity was reviewed in Dietary Patterns to Optimize Endothelial Function by Dr. Elizabeth J. Reverri.

  

On July 6th the Egg Nutrition Center sponsored an educational dinner session with an address Putting the 2015 Dietary Guidelines for Americans into Practice with Patients delivered by Robyn Kirkman.

   
 

Justification for Soy-Free Layer Diets?

Aug 19, 2016

    

ForFarmers based in Holland has developed layer diets free of soybean meal for the U.S. market.  There does not appear to be any justification for this initiative although the company cites “societal concerns about the environmental impact of certain raw materials.”

Diets formulated without soybean meal are obviously more expensive and inherently less sustainable since they incorporate ingredients with a lower content of available essential amino acids compared to soybean meal. Alternatives to soy include lupin, pea, sunflower and canola meals which may contain anti-nutritional compounds. ForFarmers is also considering incorporating insect derived meal and duckweed into diets.

  

The developers of the program acknowledge that in addition to higher feed cost, other disadvantages include increased phosphate and nitrogen excretion, higher greenhouse gas emission and more cropland to feed flocks compared to conventional corn-soy formulations.  The company intends to pursue research to ameliorate these disadvantages. But why?

Given the availability of soybeans and the extent of their cultivation, the inherent cost per unit of lysine and methionine provides advantages in terms of cost per unit of edible egg. Also the composition of the vegetable-protein ingredients in the diet will not affect the nutrient composition of eggs nor will it change possible allergenic proteins to which susceptible consumers may be sensitive. Accordingly the justification for soy-free diets, other than as an incentive intended to appeal to an ill-informed narrow demographic is questioned.

   
 

Cornucopia Institute Protests WhiteWave Foods Acquisition by Groupe Danone

Aug 19, 2016

    

Predictably, the Cornucopia Institute has filed complaints with the Department of Justice and the Federal Trade Commission regarding the proposed acquisition of WhiteWave Foods by Groupe Danone of France.  The objection relates to consolidation within the organic dairy industry.

The Cornucopia Institute considers that the transaction “will have a chilling impact on both competition in the consumer marketplace and the wholesale market for organic milk”.

  

Marie Burcham, an attorney with the Cornucopia Institute noted, “With this acquisition we are concerned that Danone will easily be able to beat out any competition by lowering prices beyond what farmstead dairies and more moderate size milk processors and marketers can withstand”.

Basically the Cornucopia Institute is objecting to a free-market scenario which can benefit consumers while making available USDA certified dairy products at a price lower than from small-scale producers.  The avowed object of the Cornucopia Institute is to protect the interests of their membership who through lack of investment, scale of operation and efficiency are unable to compete with larger integrations.  This sentiment is clear from the statement of Mark A. Kastel, co-Director of Cornucopia who stated, “Mergers like this one could eventually reduce options and raise prices for consumers”.  How?

   
 

DISSEMINATION OF ANTIBIOTIC RESISTANCE

Aug 19, 2016

    

A study was recently completed to investigate the relationship among Shigella sonnei isolates from human patients in Vietnam, Thailand, Cambodia, Australia and Ireland.  The isolates were all resistant to ciprofloxacin rendering this drug less effective in treating shigellosis which affects 125 million people annually. 

Whole-genome sequencing of 60 of the strains demonstrated that irrespective of the nation of origin, the isolates belong to a single lineage, probably originating in South Asia.  This lineage represents a single clonal event and is spread widely across Asia and into the EU. 

  

A similar observation has been made with respect to the mcr-1 gene which imparts resistance to colistin and is widespread in livestock and has recently been identified in two slaughtered hogs and a single patient in the U.S.

   
 

AMERICAN EGG BOARD ISSUES UPDATE

Aug 19, 2016

    

The President and CEO of the American Egg Board has addressed a circular letter to producers and supporters of the industry, outlining achievements and activities of the Board during the first six months of her tenure.

Anne Alonzo states that both egg category sales and consumption are up three percent on a dozen basis year to date, compared to the corresponding period in 2015. 

Regrettably comparisons are invalid given the impact of HPAI from April through June and the resulting unprecedented escalation in price through the supply chain to the supermarket shelf.

USDA has predicted an annual per capita consumption of 263 eggs again claiming an unrealistic increase of 10 eggs over 2015 when there was a reduction of 13.7 eggs compared to 2014. This data is provided to keep reality in perspective.

  

Anne Alono

The AEB can justifiably point to activities which stimulate egg consumption. 

These include:

  • Introducing the Kevin Bacon and Bacon Brothers consumer marketing campaign
  • Appointing k global and Ketchum as the public relations practitioners for the AEB and the Egg Nutrition Center
  • Co-promotions with Kraft cheese
  • Increases in eggs served in food service following introduction of all-day breakfasts
  • Featuring the Egg McMuffin® in celebration of Egg Day on June 3rd
  • Promoting hard-boiled eggs for school feeding and healthy snacks
  • Strengthening state support and outreach with improved communications
  • Implementing the USDA-required Diversity Plan
  • Promoting exports in cooperation with USAPEEC with missions to Mexico and Cuba 
  • Presenting the results of six studies funded by the Egg Nutrition Center at national scientific meetings.
  • Awarding eight new research grants
  • Improving communication with health professionals through the Annual Advisors Meeting in San Antonio TX
   
 

DR. JANET DONLIN APPOINTED EXECUTIVE VICE PRESIDENT AND CEO OF THE AVMA

Aug 19, 2016

Dr. Janet Donlin

    

Dr. Janet Donlin has been named Executive Vice President and CEO of the American Veterinary Medical Associations succeeding Dr. Ron DeHaven who is retiring after a nine year tenure. 

Previously Dr. Donlin served as Chief Executive of the AVMA Professional Liability Insurance Trust and has a proven background of diverse AVMA experience and has worked with leaders from all segments of the veterinary profession.

Dr. DeHaven stated, “Dr. Donlin is an experienced Association professional with an exceptional amount of knowledge of and experience with the AVMA membership”.  He added, “She is exactly the right person to continue what we are doing to meet member needs and take us to the next level”.

Dr. Donlin commented, “I am passionate about member service and I am honored and humbled to be entrusted with what I consider to be one of the most important positions in veterinary medicine”.  She will commence her new position on September 12th.

  

   
 

Wal-Mart Stores Reports on Q2 of FY 2017

Aug 18, 2016

    

In a press release dated August 18th Wal-Mart Stores Inc. (WMT) announced results for the 2nd Quarter of Fiscal 2017 ending July31st 2016.

Results exceeded analysts’ estimates for sales and EPS.

  

The following table summarizes the results for the period compared with the values for the corresponding quarter of the previous fiscal year (Values expressed as $ x 1,000 except EPS)

   
 

CME Prices

Aug 17, 2016

    

At the close of trading on August 12th CME rounded quotations for corn, soybeans and soybean meal with values for August 5th reflecting the months as indicated in parentheses were:-

COMMODITY
Corn (cents per bushel)                       Sept.   323      (324)       Dec.    334      (332)       
Soybeans (cents per bushel)              Aug.    994   (1,003)      Nov.    983      (975)  
Soybean meal ($ per ton)                    Sept    339     (335)        Dec     329      (332)   

September corn down fractionally (1 cents per bushel)
September Soybean meal up by 1.2 percent ($4 per ton).

  

For each 10 cent per bushel change in corn :-

  • The cost of egg production would change by 0.45 cent per dozen
  • The cost of broiler production would change by 0.25 cent per pound live weight

For each $10 per ton change in the price of soybean meal:-

  • The cost of egg production would change by 0.40 cent per dozen
  • The cost of broiler production would change by 0.25 cent per pound live weight

See posting on the August USDA-WASDE Report #556 for an update on quantities and price projections for commodities

   

Shane Commentary

 

DeCoster’s Requesting Re-hearing on Sentencing

Aug 19, 2016

    

Peter Keisler, the attorney representing Austin “Jack” DeCoster and his son Peter has predictably entered an application for a re-hearing before the entire bench of the U.S. Court of Appeals for the 8th Circuit. The DeCosters were both sentenced to a three month term of imprisonment in addition to a substantial fine after pleading guilty to misdemeanor charge arising from the extensive 2010 SE outbreak. At issue is whether a jail sentence can be imposed for a strict liability misdemeanor.

  

The 22-page brief filed by Attorney Peter D. Keisler contends that the 2-1 decision conflicts with established law.  Applying the Park Doctrine handed down by the U.S. Supreme Court, “responsible corporate officers liable under the Food Drug and Cosmetics Act for company offenses requires proof of individual fault.”

The Park Doctrine also referred to as The Responsible Corporate Officer Doctrine arises from U.S. v. Park U.S. 658(1975). In 1970 John Park served as the president of Acme Markets. At this and subsequent times inspection by FDA officers detected rodent infestation in stores and warehouses operated by the Company. Park was found not guilty since he claimed no knowledge or intent to adulterate food products. The decision of a lower court was overturned by the Supreme Court resulting in payment of a fine on each of five counts. The Department of Justice in recent years has established a cooperative relationship with the FDA. Criminal proceedings are predicated by persistent violations and evidence of causation of injury.

It is understood that a number of Amicus briefs have been filed with the 8th Circuit in support of the DeCoster’s as the sentence has profound implications for executives responsible for food companies in the event of disease outbreaks associated with their products.

Attorney Keisler maintains that the appeal is exceptionally important and if the sentence is allowed to stand, the three-month term would be an unprecedented expansion of Federal powers to imprison.

   

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Dr. Simon M. Shane
Simon M. Shane
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Industry Prices: Thu Aug 25
 Corn3.36 $/bu
 Soybeans10.05 $/bu
 Soybean Meal326.90 $/ton
 Eggs, Producer52  ¢/doz
 Eggs, Warehouse 64-67  ¢/doz