Farm Catch Up

Spring has finally arrived! Well, sort of. At least according to the calendar if not the weather. It’s been too wet and too cold to be able to do much of anything outside except cleaning up the flower beds and yard. So let’s take a look at what’s going on in the ag industry since the last time I did one of these.

Dean Foods For Sale

If you’ve ever had a hankering to own one of the largest dairy processors in the world, now is your chance. Dean Foods, once the largest dairy processor in the U.S., is apparently trying to sell itself off. The company has been having a difficult time of it. It’s been forced to close processing facilities, it lost a major contract with Walmart, and its efforts to rebrand some of its products and buy into other businesses haven’t been successful, or at least not successful enough to prop up the company’s dwindling sales. It’s been missing its sales targets for something like two years in a row now, and there are no signs things are going to get any better. Supposedly Canadian based Saputo, the 8th largest dairy company in the world, is interested in acquiring Dean. If successful this would be just the latest in a wave of mega-mergers among agriculture related businesses in the last few years.

If you find these mega-mergers to be troubling, well, you should. Despite claims to the contrary, these mergers are resulting in the creation of huge, multinational companies that dominate their markets and often they have virtual monopolies on the product lines they sell.

Bayer Stockholders Angry

Speaking of mega-mergers, Bayer’s management is facing repercussions from stockholders over it’s acquisition of Monsanto. It was expected that a lot of large stockholders were going to disapprove of the board of directors’ and management’s acquisition of Monsanto at the annual general meeting of the company. While this doesn’t change what management has done, it does indicate that a lot of stockholders are very angry over the decision to buy Monsanto, and the subsequent legal problems over the lawsuits about the adverse health effects from RoundUp, and most importantly, Bayer’s plummeting stock value.

Frankly, buying Monsanto was a really bad idea from the beginning, and if the executives at Bayer didn’t realize it, the company’s lawyers sure as hell should have. Even back when the negotiations for the purchase started Monsanto was already facing thousands of lawsuits over the alleged cancer risks of glyphosate. Now there are about 13,000 lawsuits in the pipeline concerning the herbicide. No, that was not a typo. Thirteen thousand.

And that isn’t the end of Monsanto’s legal problems. There is the whole dicamba fiasco to be concerned about as well. The lawsuits over the damage the company’s dicamba based herbicide has done since it was released a couple of years ago, along with lawsuits over Monsanto’s marketing tactics for it’s dicamba resistant soybeans, are starting to pop up now and are only going to get worse. Basically Monsanto is a legal nightmare and it is dragging down Bayer with it.

Beef Industry Lawsuits

While I’m on the subject of legal problems, the beef industry has been hit with two separate but related lawsuits alleging the four biggest beef packing companies, Tyson, JBS, Cargill and United Beef Packing (together they control 80% of the US beef market) conspired together to manipulate the price they paid to cattle growers and the prices charged to consumers. Basically it’s another claim of monopolies using their lock on the market to manipulate prices. Just those four companies control about 80% of the beef market in the US. Anyway, I won’t go into depth on this one. I’ll leave it to you to follow the link and sort out the details if you’re interested.

Walmart Gets Into Beef

I mentioned Walmart briefly when I talked about Dean Foods. Dean lost a huge contract to make Walmart’s house brand liquid milk not long ago when the retailer decided to experiment with eliminating the middleman and become its own processor. It built a large milk processing facility, cut deals with dairy farms to supply milk, and cut Dean Foods out completely in one district.

Walmart is now trying to do the same thing with beef. It is developing its own end to end supply chain to supply beef to some 500 Walmart stores. This won’t take care of all of Walmart’s meat. Most of it will still be supplied by Tyson and Cargill. But it does indicate a troubling trend where these big companies are trying to develop a complete monopoly over not only sales, but supply as well. Costco is doing something similar with chicken, developing its own supply chain that will supply about 40% of its needs.

Trade Wars Continue: Updated 5/6/19

I had this section all wrapped up and ready to go when the you-know-what hit the fan and… Okay, here’s what’s going on.

I really want to talk about the China situation, but let’s deal with something closer to home first, the new NAFTA treaty, USMCA, the US-Mexic0-Canada-Agreement. The USMCA negotiations finished some time ago, a treaty was agreed to, and all is well and good now, right? (Side note: Am I the only one who thinks USMCA is the title of a Village People song?)

Well, no. Yes, the treaty was negotiated, but everything is most definitely not good because not only are we still operating under the old NAFTA treaty, the administration has still left the punitive tariffs in place that have been causing disruptions of the economies of all three countries.

So what the hell is going on? We have the new treaty, so why are we still operating under the old NAFTA and why are the tariffs in place yet? Because before a treaty can go into effect it has to be ratified by the US Senate, and the US Senate has been doing what it does best, acting like a bunch of petulant, spoiled brats who are more interested in back stabbing each other and playing at politics and dabbling in personal attacks than they are in actually doing their bloody jobs. Supposedly one of the reasons why the tariffs are still in place is because the administration is trying to use that to goad the Senate into doing something. And since that hasn’t worked, the administration has threatened to cancel the existing NAFTA treaty, which would cause utter chaos, if the Senate doesn’t get off its ass and actually do its job for a change.

Now let’s move on to China. Now if you haven’t really been following what’s been going on there, you can be excused for thinking that all is sweetness and goodness and we’re all well on the way to being best buddies and all of this trade war nonsense will be over soon and, well, no. Sorry, but no.

As you’ve probably found out in the last couple of days, despite all of the positive PR fluff that’s been released by both sides over the last few months, things have most definitely not been going well with the negotiations. While both sides have been putting out positive sounding press releases, there have been issues, as they say. Behind the scenes things have been more than a bit testy.

Yes, China did a soybean purchase, but that was more PR than anything else. While the amount they purchased sounds quite large to the average person, in actual fact it was little more than a token purchase to indicate good faith on their part.

Things did sound positive for a while, though. Both sides were stating that things were going well and that they were on the verge of coming to an agreement. But then something happened. I’m not sure what, exactly, but whatever it was put a definite chill on the whole thing. There are a lot of rumors flying around. One is that the Chinese are very much aware of the legal and ethics issues the administration is involved with here in the US and as a result they just don’t trust anything the White House says.

Anyway, we suddenly had the administration muttering vague threats that it was considering pulling out of the negotiations entirely. Then the administration started threatening to ramp up the trade war to new heights, doubling the cost of the tariffs and including even more Chinese products in the tariff war. Then the Chinese started threatening to pull out of the negotiations… Oh, brother…

As I write this (May 7, 2019) things look tense, and the effects from this little tiff are rippling through the economy. The stock market is down. Commodities prices have fallen. Corn is down to 3.55, soybeans are down to 8.20… Sigh…

Even more disturbing is the fact that statements being made by the administration indicate that the administration doesn’t really know how tariffs work in the first place. One statement implied that the administration believes that China is paying the tariffs and that they are actually good for our economy. If the administration really believes that, it shows a fundamental ignorance about what tariffs are. Let me explain.

A tariff is intended to discourage the importing of a particular product into the US by increasing it’s cost to the importer. Let me emphasize that by repeating it: “increasing it’s cost to the importer.” Not the country of origin, but to the person or company that is importing the product. So for the most part, China doesn’t pay anything extra on products it exports to the US (except indirectly through lost sales). The people who pay the tariff are the US companies that are importing the products. And that cost is passed along directly or indirectly to us, the consumers.

Let me emphasize that: China doesn’t pay the tariffs, we do.

This is one of the reasons why tariffs are generally a bad idea except under extreme circumstances. It causes as much economic pain or more to the country importing the products as it does to the country exporting them.

It also makes the stock and commodities markets very, very nervous, especially in this situation because they don’t know what the hell this administration is going to do next. The markets like stability. They like predictability. And this administration is providing neither of those things at the moment.

Well, I’ve been babbling along for far too long already here, so let’s wrap this up.

Hopefully in the very near future I’ll have some new radio equipment to talk about. I’m seriously considering going QRP and I’ve been looking at mag loop antennas and the Yaesu FT-818ND QRP transceiver. We’ll see how that goes.

Catching Up

Egads, it’s been a while since I did anything here. When things get a bit busy I’m afraid the first thing to suffer is this blog. So let’s take a look at what’s been going on. It’s going to be a mixed bag this time, covering a variety of different topics. Let’s look at some agricultural stuff first.


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Approximately 3.5 million acres of crops were allegedly damaged by dicamba drift

The dicamba saga continues. Monsanto’s lawsuit against the state of Alabama over its very strict regulations concerning the use of dicamba was thrown out of court. Alabama put very stringent restrictions in place on the use of the product after thousands and thousands of acres of crops were damaged by the herbicide drifting.

The case was thrown out on a legal technicality, it seems. Apparently Alabama has a “sovereign immunity” clause in it’s constitution that prevents it from being sued for things like this. So nothing has really been settled.

There are new federal regulations in place now, new training requirements and other things, so I guess we’ll see if those will be sufficient to keep the herbicide under control.


Trade Wars — Of course that’s the big news right at the moment. With NAFTA negotiations already allegedly falling apart and threatening our economic links with Canada and Mexico, the last thing we needed was for the administration to launch a full blown trade war with, well, with just about everyone. So, of course, that’s exactly what the administration has done. The administration claims that the tariffs will have no effect on the NAFTA negotiations, which is a flat out lie. Of course it will. It already is having an effect.

The negotiations were already contentious, adversarial and often completely unrealistic, and both Canada and Mexico have made comments that they were considering pulling out of NAFTA entirely if the tone of the negotiations didn’t change. The threat of tariffs has made the situation even worse. The Canadians have become far more outspoken now, openly talking about “responsive measures”, i.e. political speak for levying such huge tariffs on US made goods that US manufacturers and agribusinesses will be unable to sell products in Canada. Mexico has been a bit less open about it, saying that the country is “considering all of its options”.

If you look past NAFTA and look at what’s happening elsewhere, the response to the administration’s tariff threats has been even more forceful, with some countries threatening reciprocal tariffs that would make US goods unmarketable. And as for China, well, if we lose China as a market, that’s pretty much going to destroy the ag economy, and decimate a lot of other businesses as well.


Weather — The weather here in Wisconsin used to be pretty reliable. We could depend on blistering hot summers and cold, snowy winters that would rival anything seen in the arctic.

Yeah, well, about that whole snow and cold thing… Although we had a period of intense cold over Christmas and New Years, it’s actually been ridiculously warm here. We had a February with temps at or above freezing more often than not, and some days when it was pushing 50 degrees. In February. In Wisconsin??? WTF? Really? After a couple of days of 45+ temps, it cooled down and we got about an inch of snow, not enough to bother shoveling because it almost immediately melted off again, and now, on March 3, we’re looking at temps back up in the high 40s and low 50s again.

I’ve been hearing rumors now that the snowmobile clubs in the area are seriously considering not bothering to lay out trails any more and may even be closing down because we haven’t had any actual snow for years now. The trails never opened this year. If they opened at all last year it was only for a few days and in limited areas.

And while we still complain about the cold (we love complaining up here in Wisconsin, it’s the state hobby, I think), and we do get some intense cold periods, all things considered it hasn’t really been all that cold either. If you look at the ice data that shows how long the lakes here are ice covered, you’ll find that the number of days, on average, that lakes are ice covered has dwindled by several weeks.

Screen Shot 2018-03-03 at 6.33.57 AMAnd if you look at the growing zone map, where I live about 20 miles south of Green Bay, well, we used to be firmly in Zone 4. We’re now in zone 5 and I keep hearing from people that a lot of years now we’re actually pushing zone 6.


Speaking of gardening — MrsGF and I are getting impatient. We’ve already been talking about expanding the garden area on the south side of the house and trying to figure out an easy way to get rid of sod.

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Bag ‘O Seeds

One of the things that’s been pushing us into impatience is that whenever we go down in the basement we walk past the famous “Bag ‘O Seeds” that eldest son gave us for Christmas. It’s hard to tell how many are in there from this photo. That pile of seed packets is about a foot deep. He literally got us one of everything that the retail chain he works for sells in their garden department.

We really need to sit down and do some planning because there is no way that we are going to be able to plant more than a fraction of the different seeds we have.

I can tell MrsGF has gotten impatient because yesterday she got some pots and some potting soil and put in some daffodil bulbs and I suspect those will end up in front of some of the windows in the house and she was wondering if it was really still too early to start some seeds for the garden.


Amateur Radio Stuff — I’m still playing with the FT8 mode and I can see how it can be addicting. I know that some people have complained that it isn’t really “communicating”. The typical FT8 exchange consists of call signs, grid square, signal strength report, and then bye-bye. FT8 is pretty much completely useless for exchanging any kind of genuinely useful communications. So what’s the point of it?

A lot of AROs are interested in things like trying to contact 100 different countries or more, contacting every state in the US, or things like that. It’s making the contact that is important to them. Actually talking to someone? Not so much. They’re chasing awards or certificates of accomplishment or competing in contests, or doing it just for the personal satisfaction of having done it. For those people, FT8 is great. I worked something like 27 different countries in just a few hours while I’ve been experimenting with it. I’ve worked countries I never thought I’d ever successfully contact. I worked a station in Japan the other day and yesterday I got the Cayman Islands.

The fun thing about FT8 is that you can do all that stuff with very modest equipment. You don’t need transceivers that cost $10,000 and huge amplifiers and ten acres of antennas. You can do this running less power than it takes to run the average light bulb and little more than a wire hanging in a tree for an antenna.

But it does have “issues”, as they say. One of the biggest problems is that it is being crippled by its own success. It’s become so wildly popular that the small parts of the radio frequency spectrum that are recommended for its use are ridiculously overcrowded.

And it’s about to get much, much worse because the wonderfully skilled and creative programmers who developed the WSJT software most people use for FT8 is bring out a “Dxpedition” version of the software that will permit as many as 500 contacts per hour and will transmit up to five signals at the same time.

Now, the developers have stated that this new system is “suitable for use only by Dxpedition stations and those attempting to work them”, and that it should not be used on the normal FT8 bands. But you can be sure there are going to be people who are going to completely ignore that. If we get a significant number of operators running the Dxpedition version of the software in the normal FT8 bands, well, the situation is going to go from merely ridiculous to utterly insane.

I saw a statistic the other day that claimed that more than half of all contacts being made now are done by FT8, and considering the amount of activity I’m seeing I suspect that’s probably correct. I wonder if this is just a fad though and if in a fairly short time FT8 will end up abandoned by everyone except the DX hunters.

Where Has PSK gone? — One of the side effects of the widespread adoption of FT8 is that it seems to have almost completely killed off the use of the PSK mode. PSK was a fairly popular mode of communication. When I first started using PSK I would find dozens of contacts and conversations going on on the PSK sub-bands. But now? I generally fire up FLDIGI a couple of times a day when I have the time and check the PSK bands and, well, I’m seeing nothing. I mean nothing. I haven’t seen a single PSK signal out there in days now. It’s almost as if every PSK user out there immediately jumped ship for the FT8 mode and hasn’t gone back. That’s a bit disappointing because PSK is a great low power, weak signal mode, and is, or can be, as automated as FT8 is. When using PSK64 and properly set up macros, making a contact can be as quick and easy as with FT8. And the big plus is that PSK can be used to actually communicate with people.

There, I think I’ve bored you long enough for this time…