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tv   U.S. Farm Report  FOX  May 27, 2012 4:00am-5:00am EDT

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the cost of illegals what you are paying to keep a roof over their heads.monday on fox44 . today on united states farm report. wheat harvest gets an early start which has implications for soy production. new canola varieties make this a choice for more farmers. and a corn crop is look great on paper and if you had rain. united states farm report brought to you by the 2012 chevy silv era do. welcome to u-s farm report, i'm . el hello and welcome to united states farm report. it has been interesting to
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watch the adjustment across the industry to expanded trading hours. friend was the media have quietly ditched the term before the bell. many check phones at new times, elevators struggling to figure out what bids are done. consider if the u.s.d.a. decides to delay reports until that brief window when the markets close in the afternoon. it would man a block buster report would begin trading at the same time as happy hour. what's wrong with that? time fort headlines. here is tine. >> thank you. hello. for the first time in season u.s.d.a. is new release its harvesting update for the winter wheat crop. some states have made substantial gains. 3% is now harvested, normally it's just a hash mark in this column. oklahoma was at 14% harvested.
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winter wheat harvest is underway. that's one of the earliest starts. unfortunately the lack of rain in recent weeks has taken a toll. the condition dropped nine points in one week. 43% good to excellent. down from 52%. in oklahoma it's also canola harvestful yields seem to range from 15 to 50 bush manies an acre with most fields about 40 compared to last year the crop had good moisture levels this year. there is been an up tick this year. >> harvest spread out this year. it's over loaded for a couple of the custom harvesters, for the mortgage part we seem to be working through it. probably wrap up first week of june. it's very high value crop. almost double the price of wheat. that is 40-bushel canoo la almost worth as much as a 80-
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bushel wheat crop. >> he estimates there are about 200,000 acres of canolr planted with most of the acres in oklahoma. the big story is condition of corn. in the western corn belt the crop is in the low 80s and in north dakota 88% is called good to excellent. the company announced its reached an agreement to purchase a illinois company that developing after market planter add ons. precision planting was founded in 1993. the u.s.d.a. has cleared two california dairies under quarantine after last month's find of mad cow disease in one cow. they did their investigation at the dairy. u.s.d.a. said feed records show the
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facilities were following regulations and both are in compliance. they found the pro gengy of the cow was tested negative. other siblings have also been ruled out. one . >> crop watch is international. in severe county tennessee a farmer said his crops are well established hay is mature. they have had two and a quarter inch ofs of rain. things are looking good. we heard from a farmer in canada who said its starting to get dry there. he said it's especially notable with his first hay cutting where yields were poor. in new york, a farmer said they have about 900 acres of
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corn and some has come out. they do about four hundred acres of potatoes. when we return al talks market was bill and chip. it all gets going in just two minutes. please stay with us.
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. round table guests, we have bill, chip, and bill i will go to you because you know you were looking at the numbers. i won't say what were the close things because we don't know when the market closes anymore. >> little confusing. basically corn was down about
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39-cents, for the last six days of trading, it's down 64-cents. many beans were down about 23- cents. they were down 67-cents. it was a pretty negative week. cattle was lower. the big thing was the dollar. it was autopsy a dollar. $1.10 and did a huge reversal. we went from $73 to almost 82, 82 and a half. >> all those prices, price change -- macro, a lot of that had to do with the weather, other things. i guess that's the thing, looking they know what prices down. why? >> well, crops are green and growing so that scares the little guy but the -- the funds have turned to like aidation
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phase. >> yeah. you are in trouble no question about that this point in time. you think greece will go under? >> i think they probably. >> they have basically. >> they are under, it's just whether they leave the euro. that's the big fear. you know that drove some of the fund selling. that european influence. they had 17 year highs on bond years. they probably will leave the eur. >> . this point in time either. >> yeah. that whole european thing will drive the dollar, drive the funds low. if we don't get that or if it's disappointing for the market you could really see the adjustment lower in the
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market's mind on yielding, both corn and beans and that reaction higher. the important weather week. >> as we mentioned rain will becoming was you came over from peoria and -- dry weather all the way but water covering a lot of -- part of minnesota. >> yeah, four or five inch rains, we were getting pictures on friday at whole farms just be flooded out. it seems like where it rains it's pouring and just two mile away it's dry. if we miss this rain there will be a lot of crop stress. >> yeah some concern and good because we planted corn early no question about that. that means it'll move up the tasselling and that critical good weather situation. if we don't have that rain we can really get refused yields. you think we will have 166- bushel this is year? >> i think that's a very high bar to start the year and some of that early planting was
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mitigated because of some of the replant that's happened and now it seems like this dry weather that corn just sitting there, coming up. that's what it's designed to do. . >> we are looking at a 163 kind of yield. we are more of a 1-7 carry over. it'll take a large yield deduction to turn it no a big bull market. we want to be in a bull market and the reality is it'll take like a 150 yield to turn the fundamentals to the kind of bull market we like to be? . >> and you are talking mainly corn. wheat is up at -- why? >> we had a phone call on monday from a large farmer in kansas. he said we thought we would be
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getting 50-bushel yields and it's around 30. that's a huge difference. you couldn't tell there was crop damage. that's part of it and then the dry weather took a big toll. >> we come back with more of our round table here we will talk about -- the price of beans, price of what's going on around are the world in terms of where the crop will go and we return with more.
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. our guest bill, and chip. chip we will talk to you just a bit about where do you think we will go with the crop this year because everybody would like to get more. we have had a big down when will it take to get a bull market out of it? >> we talked before the break. just the assumption going in of such high yields, record in
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corn. 166 tying a record in beans at 44. it seems like we set that bar so high that any little weather scare that we mane in the start of one right now the market goes its assumptions lower on yield and that creates the price rally. it would take some sustained damage on corn and bean yields to create that next big bull move but that doesn't mean we won't see pricing opportunities and rallies along the way as the market gets concerned about yield potential. . and what we grow here in the united states based on what you are saying there. we haven't said that much about south america. they still wouldn't doing that hot right now with the corn and beans. >> right. >> and that's a big part it russia, chain a south american production, seems like kind of problems popping up and -- a lot of different major growing areas and it's it's not just about us. >> what's a producer going to
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have to do to be able to -- i say protect himself. she have been doing it. there are things to be able to do at this point in time. >> well, what we did this week because of the risk of the weather is we encouraged producers to buy calls and -- i was talking to a banker and he agreed, he said that for the most part this year farmers are the least sold out ahead. about 10% of what they have. the larger producers are probably more around 40, 50%. our producer that we work with are more into the 60s% level. we have all of the revenue -- if it -- went to whatever price on corn that -- on dry weather that we have protections. having that upside ensured a little bit will be good. if you aren't sold i think you better hope for dry weather to get sold. >> you are kind of negative on
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the corn price because it looks like you will -- some people thought even with only 163. >> unless china has a bad crop situation. unless they have a crop program. the soybeans however could be more volatile. they are down to about 1 it is 1 billion they were up at about a 1.6 billion. they have 200 million. they still have a lot of beans. the situation -- if we have a poor crop or around the world that will cause a rally. >> the situation is that we are still looking at what's going on around the worm as well as and we were talking about before we came down down stairs to get the business here that actually corn is -- we can buy corn brazil, cheaper -- particularly for the east coast. >> yeah.
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and yet on soybeans it's the opposite. right now, you know brazil has been selling corn aggressively. the gulf market broke 25-cents this last week. >> based on. >> the fact that brazil is out stealing our customers like japan. they are our number one customer. >> about 60-cents a bushel cheaper to start the week with the calculations. we narrowed that gap now so its getting more toward the even keel. july corp.. >> here is the significance of this whole story. we never heard about brazil competing with the markets before, not in corn and suddenly we are truly in -- >> 100% in a world market and still don't know when the markets will open or close. >> exactly. a lot of confusion but the world market as bill mentioned that -- set up the longer hours
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and we need to get that set in stone so we know what's what. when is the open, the close and what we will settle it. >> we can call the broker. >> thank you both for being in here. >> we will be back with more in
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. mike hoffman joins us now and i'm having trouble staying in -- staying in house doing my -- getting my computer work caught up because it's such a beautiful day after another. they are hot and dry. >> which unfortunately leads to a lot more dry pockets developing across most of the corn belt while most of the areas from the northern plains in to the tennessee and ohio river valleys aren't overly dry. you can see a huge area that we are watching now and in some cases a -- a low stage drought but the drought areas have gotten large their georgia over the past couple weeks. they have remained very bad in west texas and new mexico and
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parts of the four corner areas. it's amazing over the past two weeks how much more color there is a cross the corn belt and that is something we will have to watchw. he will need more moisture. we have a good trough into this coming week. you can see in memorial day itself a nice trough. that will produce a pretty good chance for showers and thunderstorms in the plain states here as we head into monday and that front will come eastward cutting down the ridge. great lakes in to northeast over the home day weekend. we start to cool things down and then our computer model showing good trough by the end of the week. we flip-flop things the trough -- the ridge in the east and the ridge in the west and -- as we head through this coming week and that will cause changes even the possibility of a cut off which will show you on the maps which -- could
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cause a prolonged period of scattered source over much of the southeast. there is monday's forecast as we head through memorial day great lakes down the mississippi river valley. this is a good front and that will bring cooler air behind it. stronger front d that will cause showers, and we will have to watch the tropical system off the southeast coast and that is -- the computer models are kind of bringing it westward and then taking it back to the east again. i don't see it becoming anything major but it could be a rain or weather producer for the southeast and florida there. is wednesday and we can see that tropical moisture along the front and the southeast. another storm system in totman handle of texas with rain through the middle of the country, lingering system with rain there. the storm system over the tennessee valley and this could be a slow mover with scattered showers over the gulf coast and
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thunderstorms. schooler, chilly air for much of the north. back with the longer range forecast in the
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. my goodness the grain industry has gotten our collective shorts in a knot over the expanded trading hours at major exchanges. while the world hasn't ground to a halt we are struggling with what the change means. i realize the new schedule will require adjustments by farmers and the industry but some of the warnings being offered are way over blown in my opinion. most of these dire predictions are onto possible release of u.s.d.a. reports while trading is going on. the concern is it'll make markets even more volatil. first how can we tell? we have been dealing unprecedented swings since
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2007. aren't these the same reports traders have been carping about ininaccurate? the lame complaint is our industry need raise time out to digest the numbers because our reports are so complex. really? have you gone through the monthly unemployment reports or housing starts or the average corporate earning statement. somehow other people manage to trade whopping sums of money while analyzing those on the fly. claiming we can't trade while reports released just condition firms an image as the slow readers of the market. if we can't master this trivial learning challenge i'm sure people can and they will be happy to do it for us. for a modest fee. let us know what you think. send e-mails to mailbag at united states farm report.com or wall to leave us a voicemail. coming up in the next half hour what lucky viewer has been ride
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away on a new rhino atv, the second half hour is coming up. we're heating up your memorial day
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. today on united states farm report, back to the future. robots in the fields could finally be around the corner. don't burn that memorial day steak, high beef prices make that a costly mistake. and we meet the milk man who delivers for the indy 500 winner. united states farm report brought to you by the 2012 chevy. the most dependable. longest lasting full sized pick up on the road. hello and welcome to united states farm report. the memorial day has slowly become a more important event for me. this has led me to read more history. something i would never have predicted. this in turn helps me organize and correct versions of what happened. on this day set aside for
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remembering i think its helpful to keep in mind that memory is one of the worst possible records. our brains constantly edit . they are designed to store lessons and patterns. what they do best is comfort, guide and inspire. i hope that is what you experience this memorial day. let's check the headlines with tine morgan. >> thank you john. if beef is on the menu you can expect to pay more and the price increase doesn't seem to be easing. it's causing ranchers to hold onto their herds they expect a 3% drop in beef production this year and next. >> this year may be really the start of heif er retention and herd rebuilding. that will further hurt supplies
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and on into next year we see tighter supplies. the very tightest is well ahead of us. there will be a strong support for prices, they will happen in 2013 or later depending on how it plays out over the next two years. >> he said the question still remains about demand and how people will respond to the higher prices at the store. if you are planning to complete your meal with fresh future many areas can expect to see higher prices on those items as well. unusually warm temperatures this spring propel trees to blossom early and then a cold snap in april hurt the early fruit in several top states like michigan. it ranks third in the apple's production. states still assessing the damage but it varies the farm and the tree variety. >> there has been a lot of damage but before people decide
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to go to a different location to find their fruit they should call their grower and find out what his crop is. everybody has a different situation. >> he still has most of his fruit crop for retail this spring, summer and fall. new york which is the number two apple producing state lost quite a bit in the western half. producers lost from 20 to 80% of their crop. he is a milk lover, veteran farmer and young at heart. this weekend this 68-year-old is more than just a farmer, he is the 2012 indy 500 milk man. each year a farmer is picked to seven up a bottle of milk to the winner. this year it's dave of logans port indiana in his sundayy's best he will represent milk from head to toe. the unique part of his job is being able to put a national spotlight on milk. >> goal is strictly promoting
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milk and i won't take nikels of my thoughts or ideas out to this but promote the concept of milk. that drink of milk at the indy 500. the promotion we have done with all of that. >> the bottle they drink and sometimes pour over their head says winners drink milk. he is treated like royalty featured in the indy parade. he even gets a police escort down the track. it's it for news. mike with the national forecast. >> we are going to start this week on memorial day. of course the holiday weekend with a trogh in the western plains in the west and a ridge in the east and that brings the heat into much of the great lakes, ohio valley, midatlantic and the northeast. along the jet stream scattered showers and thunderstorms and the cool front comes in with
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that trough. a band of showers and thunderstorms down toward the western gulf. tropical moisture affecting parts of florida in southern georgia which will be good news. you are in a drought situation in much of that area. scattered showers in the pacific northwest as well. we see things go zonal. you can see they do a little bit of that through the midst week. there will be areas of showers from the far eastern portions of the rockies all the way down to the gulf of mexico with scattered showers and thunderstorms down that way as well. cooler air starts to come in for the great lakes and the ohio valley as the warmth finally gets replaced again and then as we head through the end of the week there is the ridge out west. the trough in the east and that will cause a big cooldown. most areas in the mississippi valley eastward and scattered showers from the lower great lakes all the way down to the
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gulf of mexico for substantial thunderstorms probably down here which again is good news. a lot of that is in the drought situation and most of this area starting to get guy as well. let's hope we get rain later this week. next week we will go as you can see, right on into the month of june and that should be june 3rd through the 9th, below normal temperatures expected for most of the northeast plains, great lakes in to parts of the northeast. all the way through most of the west. above normal temperatures expected, next week as far as precipitation is concerned you can see above normal for the great lakes and the eastern seaboard. middle of the country. the mississippi valley probably near normal. below normal more the southwestern plains back through the four corner area in to the west coast. let's go out farther. the nine day outlook. below normal for the great lakes in to the northeast. this is my summer outlook. probably just slightly below normal there but above normal for the south ecentral plain
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states, parts of the southeast into the western states as far as precipitation over the next 90 as above normal for the midatlantic and the northeast. most of the corn belt will be close to normal though the western plains into the northwest, look below normal. obviously moisture is important and it's hard to know, we are thinking pretty closeo normal. >> you have been talking cooler, summer for several months now. which direction we are going on. >> though we have had a warm spring. >> its been a -- thank you. spirit of the heart land is next. >> this portion of united states farm report is brought to you by beyer. the official fngicide of the yield bump. like most
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producers, texas
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. like most producers texas farmer also give you the shirts off their backs or in this case, the produce off their land. they are reaching out to help neighbors in need through a partnership with the state's food networkw. he have the details in this report from the texas farm bureau. >> 30 years ago food banks were pounds out enter respective of what they got. today we are part of -- that's pick healthy options program. we are about getting nutritional food into the community. >> the texas food bank network is also a member of the feeding american initiative. the goal is to provide healthy food for needy families. they hope to increase the donations by one billion pounds in the next five-years, a goal that requires a shift in the normal view of food banks, it's not only possible but happening. >> last year over 25% of what we distributed was produce. our goal is to get it to 50%.
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if we get the right products out it makes a big difference. >> they are key parts of the chose healthy options program receiving the highest marks for value, quality and freshness. that's for texas farmers and ranchers step in. they have joined the texas department of agriculture. the program called texans feeding texans encourages farmers and rancher to donate produce to the local food bank. since it started in 2002, they have donated 35 million pounds in fresh produce to texans in need. >> think any small business wants to support the community they are in and we do that by donating egg that are -- the wrong size or we just had excess that we donate to the food bank pretty regularly and we think it helps a lot of people and we are happy to do it. >> just five minutes away is a egg form co owned and operated
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by jay soy jones. for the last two years they have collected extra eggs to donate. once a week the food bank picks it up. he views it as an opportunity to give back to his community and improve overall health. . >> i talked to the guy at the facility and they say the eggs go quick. the nonperishable can stuff probably what people are used to getting. to be able to provide a fresh supervisorrer food it's good. i hope people enjoy it. >> with the texas farm bureau. amanda hill. >> the capitol area food bank provides food to 19 food banks. next week spring clean up time. we will see how it makes financial sense. up next why i might loose my job as chief grain cart operator.
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please stay with us. >> miss any of the show. head to united states farm report.com to watch the program online. united states farm report, the spirit the countryside.
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farm technology is changing at a rapid pace. and it appears my role . farm technology is advancing at historic pace and appears my role could soon be limited as grain cart operator. why concepts that companies introducing today provide a look into the future. >> it's like a scene out of a movie. >> complete reboot that will change our conception of what agriculture is. inspired by nature. using swarm and gaming theory. >> robots taking over the farm and replacing humans. >> executing each agricultural past and reducing the need for planters and harvesters. >> this isn't a movie. the creative this robot farmer is a ohio state university
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graduate. his degree isn't in robotics. to some this idea may be far fetched. >> there are test was a lot of companies but that is still way off in to the future. >> while spider like robots may not be available now other forms of unmanned farm machines are creeping in and body's available this fall. >> we knew there was a demand. we don't realize it was as strong as it was. >> last summer he took the equipment industry by surprise when it showed the first robots. he said it's actually similar to technology many of us are using today. >> you may have a car with a sensor in it when it tells you how close you are getting to the wall or the back. that's the basics of the technology. the sensors and the high precision gps and satellite system that tell you where you are. >> other companies are following similar paths. >> machine think one of the
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first system that were introducing, you still have operators in the combine and tractor but we are starting that new technology where they are talking to each other. now let's take it up a notch and -- i expect to be done with this field at 2:00 this afternoon and then i will move to this other field by the way i want my suppliers semi-truck to meet be at that field at 2:30. >> this reduces the head count by one third or -- harvesting and by 50% for planting. >> with things like this it lessens the need for manual labor even more. >> it talks wirelessly. letting nearby robots know if it needs help planting in that area. >> john interesting but scary. how soon do you think it'll be a reality? >> in the past the 60s that was the future i signed on for. i'm not kidding. tower in the center of the
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farm. robots, running things around there. i was just born to soon. that was my problem. for star trek and robots. tractor tale takes us to washington. ike we've got an
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we've got an 'unauthorized' john deere . looks like we have an unauthorized tractor this week. >> it's a john deere, when we were visiting the pacific northwest the tractor that was put together by a guy there, john deere may be proud of. the deere model la was built during world war ii. it was painted the industrial yellow john deere used. this started out to be a 1944 john deere la. when i got it the wife found it
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in a little nickel one ad paper and we went to look at it was just a big pile. so we put it in the back of the pick up and brought it home and pieced it together. the wheels were bad. i thought we will make something different. i have a john deere 40 for the front. skid wheels for the back and this is what we ended up with. they asked did john deere make one and i say no it's just one we made ourselves and at least on this one here person can reach the pedals and that's what is -- the main issue because the wife drives it.grandkids. just go -- to parades and shows. put them on -- and we may harrow a field but we don't use it for much. nine horse power john deere engine. the one that came with it wasn't good and this is lcu engine they use on the combines
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and they bolt right into the tractor. that's what this is. >> move the seats ahead quite a way on it to get the on and off from it and the seats off the international tractor that the wife did have in her flower bed. everything else is just john deere like a tank. >> don't forget you can find tractor tales online at united states farm report.com. or on facebook. the segments can also be down loaded as pod casts i-tunes. today's country church salute goes to sacred heart catholic church in cuss interest wisconsin. it begins in 1868. wisconsin's northern forest had been -- german and approximate olish -- now some of the church
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history there was ethnic division. 44polish families asked for a new parish. the sacred heart church numbered about 4,000 and -- the parish decreased. the church was built in 1934, it has about 500 families. our thank you to robert for sharing the history. and as always we want to learn about your home church as well. the lists can be sent to the address on the screen. the mailbag is next. time now for our
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time now for our
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weekly look inside the farm . time for the weekly look inside the farm report mailbag. dennis parker in tennessee races the timely question. i have seen as have family and friends that there is a two to three mile benefit to not using gas with ethanol at the current prices. thank you for e-mailing.
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it's a controversial subject but here are a few facts to help inform the decision. since it has 34% less energy you would expect 10% blend to deliver 3 to 4% less miles. that's what the department's energy has found. if are you getting 25-mile as a gallon switching to premeditate you'll could get you up to 26. as they say your results may vary. my guess is as more ofs use the mileage app -- more of us will keep score. easier mileage tracking may be the trigger for reviving the debate. whether it's worth it to switch depends on prizes, if it's less than 4% higher you may savor a few cents, it's about ten cents or 2.5 so it saves me a little many with the latest wrinkle is the push to allow the increase in the blend to 15%, automakers
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pushing back claiming engine damage. . i i think what will stop e15 is that likely 6% mileage penalty. it seems smart phones can do more than just play angry birds. as always we want to hear from you. send comments to mailbag at united states farm report.com. leave us a voicemail. finally this morning we made you wait to find who won the brand new rhino700. the wait is over. the winner is john york of fulton missouri. it's located outside the city of columbia. we can only imagine how happy he is to win the side by side. congratulations toon york the winner of the yamaha700 and thank you to everybody who entered. thank you for watching united states farm report. be sure to join us next week. we will work to do even better.
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we're heating up your memorial day
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