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DEF now available at 2,800 locations

Dearborn, Mich.-Diesel Exhaust Fluid (DEF), the urea solution required by diesel-engined vehicles equipped with selective catalytic reduction control of NOx emissions, is now available from 2,800 locations across the U.S. and Canada, and will be obtainable from 5,000 outlets by the end of the year, according to the North American SCR Stakeholders Group. Kim Doran, spokesperson for the group, says the bulk of DEF supplies are being delivered to Daimler, Volvo/Mack, and Paccar heavy truck dealerships, augmented by two major truckstop chains, Pilot Travel Centers and the Travel Centers of America/Petro group. Initially, some outlets are selling the fluid in 1-gallon and 2.5-gallon (3.8- and 9.5-litre) cans. But the stakeholders group foresees an increasing number of fuel island DEF dispensing pumps being established. Pilot already has 25 such pump supply points up and running. “Emergency” supplies of DEF are also being carried on many dealer and truck stop breakdown/rescue trucks. At the same time, the American Petroleum Institute reported that by the beginning of December it had certified the specification and quality of fluid coming from 14 suppliers to conform to the ISO 221 worldwide AdBlue/DEF standard. The voluntary certification program authorizes DEF marketers that meet specified requirements to use the API DEF certification mark identifying that the holders have certified that they meet ISO performance requirements.

Cargill 2Q earnings off 59 percent

Minneapolis-Cargill, which owns a two-thirds take in The Mosaic Co., reported net earnings of $489 million in the fiscal 2010 second quarter ended Nov. 30, 2009, down 59 percent from $1.19 billion in the same period a year ago. The company earned $1.01 billion in the first six months, a 62 percent decrease from last year’s record first half of $2.68 billion. Excluding earnings from its majority investment in Mosaic, Cargill’s results were more moderately below the year-ago level in both periods. “Cargill’s business and geographic diversity continued to demonstrate its value, as a different mix of business units moved to the forefront in the second quarter,” said Greg Page, Cargill chairman and CEO. “Performance was led by our food ingredients and agriculture services segments, both of which were up significantly from last year. With the global financial sector in recovery, we also realized much improved results in our risk management and financial segment.” Page noted Cargill’s first-half earnings were considerably better than the last six months of fiscal 2009. “Through November, Cargill’s earnings were up by more than 50 percent from the preceding six months. The pickup in performance reflects our continued focus on holding down costs, tapping both developed and faster-growing emerging markets, and reinvesting our capital in the future growth of the company and our customers. They, too, are working their way through the challenges of this economy.” Earnings in the origination and processing segment declined from the record level realized in last year’s exceptionally volatile commodity markets. The industrial segment was down due to the sharp decline in earnings derived from Cargill’s investment in Mosaic (GM Jan. 11, p. 1).

Results down at Tennessee Farmers Cooperative

LaVergne, Tenn.-The Tennessee Farmers Cooperative (TFC) recently reported a huge drop in earnings for fiscal 2009, which ended July 30, 2009, to only $147,000 versus the $31.3 million for the prior year, when TFC had record profitability. Gross margins were $31.4 million on sales of $562 million, down from the prior year’s $66.6 million and $713 million. As a result of the minimal net profit, TFC said it would not pay patronage for the year. For the prior year, it returned some $8.5 million to members as patronage. TFC attributed the downturn to a significant write-down of inventory values in fertilizer, feed ingredients, and glyphosate. TFC said feed and hardware sales were also thin due to declining beef and dairy industries in the state. While most TFC departments saw declines in gross margins, TFC said its fuel and home, lawn, and specialty businesses were exceptions. TFC’s two Stockdale retail stores were cited as having significant growth during the year, and another is planned for 2010. TFC emphasized the strength of its diverse businesses, and said that its net worth is more than four times what it owes in debt. It also noted that its recent acquisitions of Agriliance LLC retail outlets (GM Aug. 10, 2009) should add $30 million to sales.

RCMP still investigating 2 tons of “lost” AN

Vancouver, B.C.-The Royal Canadian Mounted Police still want to take a close look at the Kinder Morgan paperwork now said to have caused a false alarm about the possible theft of two tons of ammonium nitrate in a shipment going from Redwater, Alberta, to the company’s North Vancouver facility sometime before Christmas. “There’s no evidence of any theft or any criminal involvement or security breach,” Sgt. Rob Vermeulen, RCMP spokesman, told Green Markets. “But we still want to get with all the people involved.” Vermeulen said that it was reported to RCMP Dec. 31 that two tons of the product were possibly missing. Kinder Morgan reported at that time that two cubes of the product could not be accounted for after the cubes were transported from one facility to another local facility, and that the company had launched an internal audit. The company stated that alerting the police about the discrepancy was done as a “precautionary measure,” and added that “we are currently working with our customer and others to reconcile shipping documents to ensure that all of the product is properly accounted for.” Spokeswoman Lexa Hobenshield insisted that Kinder Morgan “has always and continues to believe that this is a paper accounting error,” but that “we took the extreme precaution on behalf of all of those involved with this matter by notifying the authorities as soon as a discrepancy in documentation was discovered.” Hobenshield reported that the company is still coordinating with the RCMP, Natural Resources Canada, the customer, and others involved. “But there is voluminous documentation to review and we continue to make progress,” she added.

California gets stronger organic fertilizer laws

Sacramento-California now has stronger new fertilizer regulations that incorporate what it calls organic input material and require manufacturers registering with the state to establish that their product is acceptable for organic use. Coming in the aftermath of at least two organic products being found to include commercial nitrogen, the new rules, effective Jan. 1, 2010, increase both manufacturing and certification fines for organic and conventional products to up to $500 per violation. Adulterating the content of fertilizer could result in civil instead of misdemeanor penalties. Organic registration fees are capped at $500 per product. “If you’re going to qualify you’re going to have to prove that your product is acceptable for organic use and meets the requirements of USDA’s national organic program,” according to Steven Beckley, who heads the Organic Fertilizer Association of California. Beckley warned that the California Department of Food and Agriculture (CDFA) Fertilizer Inspection Division will be checking these claims before a product is allowed to enter the market. He expects the result will be somewhat higher prices for the organic product since each differing label for organic input would require registration at a fee not to exceed $500 per product. The CDFA is also required to inspect organic manufacturing facilities at least once a year and may cancel – for three years ?Çô the licenses of any person found adultering or misbranding organic materials. The secretary of agriculture is directed to review the implementation of the statutes and publish a report on the department’s website by Jan. 1, 2012.

Rash of AA thieves arrested

Eaton, Ohio-A sheriff’s deputy on routine patrol at a local Crop Production Services location got a whiff of anhydrous ammonia and could hear a tank hissing, which led to the arrest early on Jan. 6 of two suspects apparently trying to make off with more than a few pounds of the chemical. Preble County Deputy Paul Plaugher spotted the tank, which he described as much larger than the usual gas grill size, and then saw a hose running from one of the nurse tanks. “I radioed my dispatch to tell them it was a theft in progress and then saw two guys running through an adjacent corn field toward some railroad tracks,” Plaugher related. He said he drove as far as he could, then chased them on foot and caught one of them. The other got away, but was nabbed at a state patrol traffic stop. Although the two posted bail a couple of days later, they still face charges of anhydrous ammonia theft and one faces possession of criminal tools, including all kinds of gear used to tamper with tanks. The last few weeks have been fairly productive in at least two other locations in thwarting anhydrous thefts. In the Morganfield, Ky., area, a sheriff’s deputy trailed a woman acting strangely in a Wal-Mart parking lot at 4:30 in the morning to a spot where she was picking up two men suspected of raiding an anhydrous tank earlier at a nearby CPS. “We’ve had it happen several places in the county and we’re kind of watching for more attempts. She had dropped off the pair and was supposed to pick them up,” Sheriff Mike Thompson told Green Markets. Thompson said the three attempted to get away, but were stopped. In Sumner County, Kan., deputies spotted a suspicious individual late in the evening apparently trying to siphon from one of the tanks at Two River Co-op in Geuda Springs. Figuring he would be picked up shortly by an accomplice, deputies waited and then made the arrest when the accomplice was nabbed in a traffic stop. Both face charges of possession of anhydrous ammonia in an unapproved container, misdemeanor theft, and manufacturing of a controlled substance.

EPA accused of dragging feet on Chesapeake

Annapolis-The U.S. Environmental Protection Agency (EPA) appears to be backing away from some tough measures to clean up the Chesapeake Bay, according to Environmental Maryland, even as more than 43,000 bay area residents expressed their support for tighter controls to agency officials in one of the largest outpouring of public comments on the issue. “The message from the public is deafening and crystal clear: the EPA should be using every tool available to rein in bay polluters ?Çô including tough penalties if states fail to do their part,” said Tommy Landers, the group’s clean water advocate. Landers and other environmental advocates are concerned that EPA appears to be backing away from its previous proposal. EPA responded with a draft report last September to President Obama’s May 2009 executive order on the bay, Landers pointed out, but subsequent documents omit or modify key proposals, including expanding or strengthen permits for agriculture and urban development, which represent the largest sources of pollution in the bay. Landers declared, “The EPA came out swinging, but now they’re pulling their punches. As we and more than 40,000 people across the watershed have said, the EPA should immediately strengthen and expand permits for urban stormwater and farmland runoff. After 26 years of state action, it’s clear that a wait-and-see approach will not work. The EPA should also use the strongest penalties at their disposal to push states to meet their goals.”

TFI comments on Chesapeake Bay

Washington-The Fertilizer Institute on Jan. 8 submitted comments regarding the Environmental Protection Agency’s (EPA) documents that were developed in response to the Executive Order on Chesapeake Bay Protection and Restoration issued by President Obama on May 12, 2009. TFI said EPA’s Draft Strategy is of interest to a number of TFI members who own and operate facilities located on or near waters of the Chesapeake Bay. It is also of interest to member companies that hold National Pollutant Discharge Elimination System (NPDES) permits for point source and storm water discharges into the Chesapeake Bay watershed, and Clean Air Act permits that would be affected by federal and state actions delineated in the Draft Strategy. Additionally, TFI said it and its member companies have an interest in any precedents that may be established by EPA’s Chesapeake Bay restoration efforts. TFI’s comments addressed several concerns with the current Draft Strategy, including charges that it exceeds EPA’s Clean Water Act authority to set Total Maximum Daily Loads (TMDLs) for states in the Bay watershed; proposes to increase federal land management and regulatory reviews of land-use planning, reducing available land for economic activity; minimizes public participation in that EPA has proposed preliminary basin-wide working target loads for nitrogen and phosphorus in the absence of a finalized TMDL for the watershed; and overestimates nutrient contributions from agricultural sources, while combined sewer overflow remains unaccounted for in relative source contribution analyses. TFI said USDA and EPA should work with TFI and other agricultural experts to adopt the 4R nutrient stewardship system. More information is available by contacting TFI Vice President of Scientific Programs Bill Herz at (202) 515-2706, or by e-mail at wcherz@tfi.org.

New Cummins lineup certified with SCR/DEF

Columbus, Ind.-Cummins Inc. has received EPA certification for its 2010 heavy-duty big-bore ISX15 and MidRange ISB6.7, ISC8.3, and ISL9 engines utilizing SCR/DEF technology, which means the new Cummins engine lineup for on-highway applications meets the near-zero emissions standards required for all engines manufactured that took effect Jan. 1, 2010. “Receiving the formal certificates is an important step in the process as we enter 2010 with customer-ready products,” said Jim Kelly, engine business president. “This confirms that customers can be confident in the technology choice we’ve made to meet the new, more stringent emissions standards. Our decision to use SCR technology has given us the ability to provide customers with the most fuel efficient engines for on-highway applications. We expect to see at least 5 percent fuel economy improvement for the ISX15 and up to 3 percent improvement for the MidRange products.” Kelly said incorporating SCR technology will also require the use of Diesel Exhaust Fluid (DEF) at an average rate of 2 percent of diesel fuel consumption. DEF is currently available at numerous retail locations throughout the U.S. and Canada, including all Cummins distributor locations.

New bulk blending quality control manual available

Washington-The Fertilizer Institute reported that the updated version of the Bulk Blending Quality Control Manual is complete and available for purchase. This version contains significant revisions across the entire document, including updated figures, updated and additional references based upon new state regulatory guidance, and new information regarding handling and blending coated fertilizers. The manual will be formally presented to TFI’s Product Quality and Technology Council at the Association of American Plant Food Control Officials (AAPFCO) Mid-Year and Methods Forum Meeting, Feb. 22-25 in Charleston, S.C. The manual is available for purchase in hard copy format for $30, or on a CD-ROM for $15.