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Seafood processor hit with $1.9M ammonia fine

Anchorage-Seattle-based seafood processor UniSea, Inc. has agreed to pay $1.9 million plus cleanup costs to resolve federal charges of discharging anhydrous ammonia and other wastes from its principal facility on Amaknak Island in Unalaska in the Aleutian Islands off mainland Alaska. UniSea is accused of discharging without a federal permit and failing to timely notify authorities of two large ammonia releases of approximately 17,000 pounds in December 2007. UniSea will be required to perform a benthic survey and potential cleanup of the site’s fish waste pile, and to implement a comprehensive environmental compliance plan to insure that future violations do not occur. UniSea must survey the sea floor to determine the damage caused by the ammonia discharges. The testing, which the U.S. Environmental Protection Agency will oversee, will determine what kind of and how much cleanup will be required. UniSea responded that the releases had been properly reported to the government and the government had not raised any questions about them, nor did they require further investigation, at the time. The government decided that the accidental ammonia releases and other small releases nonetheless violated anti-pollution statutes. “It is important to note that there was absolutely no harm to marine wildlife; no fish or marine mammals were harmed; and there was no danger at any time to the public or UniSea’s employees. No seafood products were impacted in any way,” the company said.

Tons of dead fish turned into fertilizer

Redondo Beach, Calif.-What do you do with a million dead sardines washed up on the Redondo Beach harbor in a quirky situation believed caused by oxygen deprivation? You turn them into fertilizer. That was the situation earlier this month, when experts believe recent storms caused the large school of sardines to swim around the breakwater and into the enclosed harbor, where they were trapped and unable to get out before depleting the water of oxygen. City officials assembled a response team and had more than 50 volunteers gather the fish with nets to be recycled into fertilizer at American Organics in Victorville, where General Manager Dean Johnson said between 15 and 25 tons have been received each of the last few days, for a total of about 165 tons. Johnson said American Organics easily absorbed the extra load since it’s usually receiving 200 tons or more a day of recycled material. “Our normal feedstocks are green waste, and we also bring in large quantities of landfill diversion, including any organic waste that we get from the cities for composting into soil amendments. So as far as the fish are concerned, it’s a fairly insignificant amount and not really out of the ordinary,” Johnson explained. “The first thing we do is to put them into the process and blend them with other organic material.” Johnson anticipates that the dead fish, which are high in moisture, will produce a very rich product that will be used by farmers throughout southern California.

Converted Organics expands retail presence

Boston-Organic fertilizer producer Converted Organics Inc. announced on March 15 that it was granted an expansion of an additional 62 stores in New Jersey from its major national retail customer. Converted Organicsâ„¢ All Natural Lawn & Turf Fertilizer will now be sold at a total of 152 major home improvement retail outlets throughout Massachusetts, Connecticut, Rhode Island, Long Island, and New Jersey. “This expansion of stores is a home run for Converted Organics, and directly reflects the sales success that we’ve had with this customer over the last two seasons,” said Edward Gildea, Converted Organics president and CEO. “Last year, we witnessed a 100 percent same-store sales increase in this customer’s chain of stores. We attribute this success not only to our targeted marketing efforts and product satisfaction, but also to the increasing recognition nationwide regarding the importance of using organic fertilizer products for lawn care.”

Gowan announces expanded reg. of herbicide

Yuma, Ariz.-Gowan Co. LLC on Feb. 11 announced the expanded Section 3 federal registration of Sandea® herbicide for control of broadleaf weeds and nutsedge in apples, blueberries, rhubarb, and okra. State labels are pending in Arizona, California, Florida, and New York. Gowan said Sandea is effective on both large- and small-seeded broadleaf weeds, as well as on purple and yellow nutsedge, and also provides extended residual control of many common broadleaf weeds, including cocklebur, common lambsquarter, jimsonweed, mallow, ragweed, shepherdspurse, velvetleaf, and wild mustard. “Sandea has been used successfully by specialty crop growers for the past eight years,” said Eric McEwen, Gowan product manager. “This expanded registration will offer growers of these additional crops a new foundation herbicide for sound weed management in their orchards and fields.”

FMC announces new insecticides

Philadelphia-FMC Corp. recently announced full registration for Beleaf® 50SG insecticide for both the U.S. and Canada. “Beleaf has been a highly effective treatment for control of aphids in fruit and vegetable crops, and with recent full registrations and widespread availability, the product remains a convenient choice for growers,” said Bob Leifker, product manager for FMC Agriculture Products. The insecticide controls pests at contact and ingestion. With full registrations now in place, FMC said Canadian maximum residue limits have been established for Beleaf, allowing commodities treated with the insecticide to move into the Canadian channels of trade. In other news, FMC on Feb. 9 unveiled its Stallion(TM) insecticide for use in controlling 28 labeled insect pests, including alfalfa weevil and potato leafhopper. “In two recent trials, alfalfa treated with Stallion showed increased yields and superior control against alfalfa weevil, leafhoppers, and other insects,” said Joe Reed, FMC technical field manager. Stallion can be applied alone or in tank mixes with fungicides, post herbicides, and foliar fertilizers. In addition to alfalfa, Stallion can also be applied to corn, cotton, sorghum, soybeans, wheat, and sunflowers.

Gowan reports California registration

Yuma, Ariz.-Gowan Co. LLC on Feb. 10 announced its California registration of Gavel 75DF® fungicide, a broad-spectrum protectant fungicide for use on potatoes, tomatoes, grapes, and cucurbits. Gavel is a contact fungicide that contains both zoxamide and mancozeb, each having different modes of action that work together to control diseases such as late bight and downy mildew by arresting the development of highly mobile zoospores. Gowan also announced its California registration of Scorpion® 35SL insecticide for broad-spectrum insect control in cucurbits, fruiting vegetables, brassicas, potatoes, grapes, and leafy vegetables. Scorpion® 35SL is powered by the third generation neonictinoid dinotefuran, which combats whiteflies, mealybugs, cucumber beetles, Colorado potato beetles, thrips, leafhoppers, plant bugs, stink bugs, leafminers, and other damaging pests. In addition, Gowan said Scorpion® 35SL is classified as a reduced risk pesticide by the U.S. EPA, with low impact on beneficial insects and predators. It also features high water solubility, Gowan said, allowing for rapid uptake. “We are excited to add another quality product to our portfolio that enhances Gowan’s continuing efforts to provide our customers with solutions to their pest control problems,” said Nick Alonso, California regional manager for Gowan USA.

Delaware, DuPont to expand ag research program

Wilmington, Del.-Delaware Gov. Jack Markell and DuPont announced on Feb. 17 that DuPont plans to invest more than $50 million over five years to expand its biotech soybean research and development program. The proposed investment will include expanding and improving biotech research facilities at DuPont’s Experimental Station in Wilmington and at its Stine Haskell Research Center in Newark, Del. The proposed expansion is expected to add 75 new, full-time jobs in Delaware by the end of 2015. “This plan includes a significant expansion of our overall biotech research effort,” said John Bedbrook, vice president, DuPont Agricultural Biotechnology. “It would increase the speed at which we can bring new products to the market and help farmers around the world increase yields through tolerance to environmental stresses, insects and disease.” The expansion plan includes new soybean research laboratories, tissue culture facilities, and environmentally controlled growth rooms and greenhouses. The Delaware Economic Development Ofc. has offered a $1.5 million grant from the Delaware Strategic Fund to assist with the center’s development. The funding is performance based and conditioned on DuPont’s capital investment in the project. The offer will be reviewed by the Council on Development Finance on Feb. 28. An additional $125,000 grant will be awarded from the Delaware Department of Agriculture (DDA). “This announcement reflects a longstanding commitment to success and science in agriculture by DuPont, Pioneer Hi-Bred, and the State of Delaware,” said DDA Secretary Ed Kee. “The soybean biotech project will pay great dividends to farmers and consumers in Delaware and throughout the world.”

Management Briefs – March 21, 2011

CHS Inc. has named veteran cooperative leader Lynn Foth as vice president, Business Solutions Consulting and Market Development. Foth assumes his new role on April 1. Foth is currently CHS Business Solutions director, providing management, consulting, and planning services to member companies across the CHS system. In his new role, he will be responsible for the business consulting and planning, management placement services, and education programs that CHS offers member companies. He also will lead the Business Solutions Consulting team in working with CHS business units to provide member cooperatives new, value-added options for partnering with CHS.

“We all know this is a time of tremendous, fast-paced change that affects agribusiness at every stage from the farm to the local retail level to the global marketplace,” said Lynden Johnson, senior vice president, Business Solutions. “Lynn will play a vital role in working with CHS member cooperatives as we strive to provide them with the strategic resources and options essential for long-term success in this environment.” Prior to joining CHS, Foth spent a dozen years as a cooperative general manager in central Illinois and eastern Iowa. He has been part of the regional cooperative system for more than 20 years. Now based in Pontiac, Ill., he will be relocating to CHS’s Inver Grove Heights, Minn., office. Foth holds a bachelor’s degree in business administration from Loras College, Dubuque, Iowa, and has pursued master’s in business administration studies at the University of Kansas. He has been involved with a number of cooperative organizations and serves on a variety of athletic boards and volunteer committees.

Viterra Inc. announced on March 16 that Andrew Muirhead, senior vice president of business planning and development, has stepped down to pursue other interests. Muirhead joined the organization in January 2008. President and CEO Mayo Schmidt acknowledged Muirhead’s contributions to Viterra over the past three years and wished him well with his future endeavors. The company said it will fill the position in the future.

Rod Wells has been named Growmark plant food division manager, effective March 16. In his new role, Wells will assume responsibility for the operations of Growmark’s plant food division, including determining strategic direction, staff supply and product positions, pricing, price risk management, efficient operation of facilities, marketing services, customer service, and operating expense management. Wells holds a bachelor’s degree in agricultural economics from the University of Illinois. He joined the Growmark system in 1987 as a crop specialist and has held roles including agronomy marketing manager, area sales manager, region agronomy marketing director, agronomy facility strategy and operations manager, agronomy sales manager, and most recently, director of agronomy sales and operations.

Market Watch

AMMONIA
AMMONIA
U.S. Gulf/Tampa: Prices remained unchanged on the U.S. Gulf and at Tampa last week, and that was unlikely to change until after the next round of monthly negotiations is complete.
There was no word on whether pipeline problems at Trinidad had been corrected, but work was supposed to be finished by the middle of March.
Eastern Cornbelt: Anhydrous ammonia pricing was down just slightly from last report. Sources tagged the dealer market at $665-$685/st FOB regional terminals depending on location and time of delivery, with the low quoted in Illinois on a spot basis.
Western Cornbelt: Anhydrous ammonia pricing for prompt tons continued to be pegged at $635-$650/st FOB regional terminals, with reports of fall prepay offers in the $645-$660/st FOB range, depending on location. One Nebraska contact quoted prompt ammonia at the $640/st FOB mark at midweek in his location.
Southern Plains: The anhydrous ammonia market remained at $590-$595/st FOB regional production points for prompt tons, with the dealer market out of pipeline terminals in Kansas pegged in the $615-$620/st FOB range. Some sources said fall prepay offers were also on the table in the $605-$620/st FOB range from production locations, depending on which quarter the product is delivered.
South Central: The anhydrous ammonia market remained in the $665-$675/st range FOB terminals, with the low reported out of Memphis, Tenn., and the high at Henderson, Ky.
California: Effective March 11, Agrium’s reference prices for anhydrous ammonia moved to $685/st truck-DEL in central California and $690/st truck-DEL in northern California. Agrium’s aqua ammonia posting moved on March 11 to $185/st FOB in California.
UREA
UREA
U.S. Gulf: Because the spring season has been hampered by wet and cool weather, NOLA urea barge prices appeared to be drifting south a little last week. Until product begins moving out of terminals, the price will remain shaky.
The price range late last week was quoted at $350-$355/st FOB, with the lowest price being found on the Arkansas River. Most were asking for a price below $360/st FOB, but takers were few and far between.
Eastern Cornbelt: Granular urea pricing had reportedly slipped to the $405-$415/st FOB range in the Illinois market, depending on location. Ohio sources continued to quote the upper end of the range at $440/st FOB inland terminals on a spot basis.
Western Cornbelt: Granular urea pricing remained in a broad range in the Western Cornbelt region, with the low reported at the $400/st FOB mark in southern Missouri and the high at $440/st FOB in the Iowa market on a spot basis. Several sources put the common dealer range last week at $405-$415/st FOB most river terminals in the region.
Southern Plains: Several contacts reported good urea movement on wheat acres in the region in recent weeks. Granular urea pricing was quoted at $400-$405/st FOB the Tulsa market last week, down just slightly from last report.
South Central: South Central sources reported lower urea prices out of regional terminals. The dealer market was pegged in the $395-$400/st FOB range last week, down $10-$15/st from last report. “It’s going to be a lean, mean spring for urea,” said one contact, noting that rice acreage in the region will likely be down some 30-50 percent from last year. “At the end of the day there’ll probably be a lot more product remaining on the river than folks had calculated.”
Southeast: Granular urea pricing remained in the $420-$430/st range FOB port terminals, with the low FOB Norf

The Week in Fertilizer Stocks

Producer Symbol Price Week Ago Year Ago
Agrium AGU 88.89 88.24 72.28
CF Industries CF 129.53 123.98 94.50
Intrepid Potash IPI 33.36 33.90 31.52
Mosaic MOS 76.92 75.23 61.91
PotashCorp* POT 55.38 53.77 41.76
Terra Nitrogen TNH 108.19 105.60 81.93
Distribution/Retail
Andersons Inc. ANDE 44.97 46.85 35.19
Deere & Co. DE 89.38 87.55 59.59
Scotts SMG 55.21 56.18 42.64
*represents three-for-one stock split