“The financial year 2021 showed: We are on the right track. With strategic and proactive crisis management we protected our employees from infection in the best possible way, supplied our customers reliably and continuously, and presciently managed challenges such as the disruption of global supply chains in the pandemic. The positive underlying business performance provides both planning security and a sound financial foundation for our transformation into a provider of sustainable solutions. Our customers are demanding such solutions – and we are ensuring that the shift to new types of climate-friendly system solutions can be realized.”

emphasized Andreas Schell, CEO of Rolls-Royce Power Systems.

Significant economic recovery

Power Systems has ended the 2021 financial year with an underlying operating profit of £242 million (€282 million) (2020: £188 million, €212 million). The underlying revenue increased by 3%

to £2,749 billion (€3,199 billion) (2020: £2,735 billion, € 3,077 billion). In the currency used for reporting (British Pound Sterling), revenue appears almost unchanged due to currency rate effects. The underlying operating margin increased to 8.8% (2020: 6.5%). With this, the Rolls-Royce division significantly increased its profit in the second year of the pandemic despite challenging conditions. Order intake of £ 3.3 billion increased by 24% compared to the previous year. The order backlog reached a record £2.8 billion (€3.4 billion) at the end of the year.

“Current factory utilization is proof of returning confidence and intend to invest across all segments”,

said Andreas Schell.

Sustainable solutions operationalized

Power Systems has reorganized the company into four business units with the introduction of a matrix structure in April 2021. In addition to the existing business in “Mobile Power Solutions” and “Stationary Power Solutions“, there is a new business unit for the Chinese growth market: “Power Solutions for Greater China”. The new unit “Sustainable Power Solutions” focuses exclusively on developing sustainable and climate-friendly systemic solutions across all application areas.

In 2021, as part of Rolls-Royce’s Net Zero strategy, Power Systems published its detailed roadmap to carbon neutrality “Net Zero at Power Systems“: from 2030 on, newly supplied products will reduce the product portfolio’s greenhouse gas emissions by 35% compared to 2019.

Hydrogen solutions as an essential component of the energy turnaround

In Berlin and Friedrichshafen, Power Systems is vigorously developing solutions based on hydrogen, the fuel of the future.

“We see ourselves not only as a manufacturer of products that run on hydrogen, but consider the entire hydrogen ecosystem in our development, in line with the concept of integrated end-to-end solutions,”

explained Andreas Schell.

The mtu fuel cell element for climate-neutral energy supply had its world premiere at the UN Climate Conference COP 26 in Glasgow at the end of 2021. A fuel cell demonstrator is in an ongoing operation in Friedrichshafen. From 2025, the company plans to have series-manufactured fuel cell systems in the megawatt range.

Power Systems is providing the first hydrogen-powered mtu energy supply system as part of a lighthouse project for the reconstruction of a terminal in the port of Duisburg, Europe’s largest inland port. Three mtu fuel cell systems and two hydrogen-fueled mtu thermal power stations will supply the new container terminals with CO2-free energy from 2023.

“In Duisburg, our products and solutions are essential components in a climate-neutral solution that paves the way to a carbon-free future,”

said Andreas Schell.

Investments and partnerships to further expand the sustainable offer

The British technology group, Rolls-Royce, supports this strategy and is prioritizing investment in more sustainable solutions and is allocating €400 million to support the growth of the “Sustainable Power Solutions” business unit of Power Systems. This investment will expand the development capacities for new technologies and solutions, as well as support further partnerships and potential acquisitions.

“This illustrates the confidence Rolls-Royce Group has in our capacity to realize significant value from our transformation towards climate-friendly technologies. This confirms our course,”

underlined CEO Andreas Schell.

Power Systems has made investments of around € 120 million in its 20 most important projects in 2021. This includes a new test stand for the company’s engines in China enhancing further its local presence. Several partnerships illustrate the multifaceted transformation into a solution provider: Together with investment company SDCL, Rolls-Royce will offer all-in-one energy solutions to customers who neither own nor operate the plants themselves.

In September 2021, Rolls-Royce Power Systems and yacht manufacturer Ferretti announced their deepened partnership for the development of sustainable solutions for modern yachts. NautiQ, a new bridge-to-propeller marine automation system, was unveiled as a result of the acquisition of the former Servowatch company.

“In the future, Power Systems will be increasingly partnering and developing system solutions together with our customers and in ecosystems that go far beyond what we offer today,”

said CEO Andreas Schell.

The post Rolls-Royce Power Systems Business Unit with Strong 2021 Results Despite Corona Pandemic appeared first on North America FarmQuip Magazine.

In response to the economic turmoil from COVID-19, Congress passed six economic relief and stimulus bills in 2020 to provide financial assistance to farm businesses and farm households. USDA and other government agencies worked to implement authorized programs in 2020 and 2021.

Farm Sector Income During the Pandemic

The USDA Economic Research Service (ERS) releases farm income and financial forecasts three times per year. How the coronavirus (COVID-19) pandemic affected the 2020-21 farm financial indicators is reflected in the current farm income estimates and forecasts, released on September 2, 2021.

During the pandemic, the farm income outlook evolved because of changing conditions, including changes in commodity prices, production, and government support. For example, projections for the value of agricultural sector production, a key component of farm income, shifted throughout 2020 and 2021.

In early February 2020, just prior to the outbreak of the pandemic in the U.S., the combined value of production for eight major crops—barley, corn, upland cotton, oats, rice, sorghum, soybeans, and wheat—for the crop year 2020/21 was forecast at $108.8 billion based on price and production quantity projections from USDA Agricultural Projections to 2029. Starting in May 2020, the World Agricultural Supply and Demand Estimates (WASDE) report had price and production projections for the crop year 2020/21 and with the June 2020 WASDE report, the combined value of production forecast was revised down 5 percent, to $103.7 billion.

Three months later, in September 2020, the forecast was revised up, to $110 billion, 1 percent above the pre-pandemic February 2020 forecast. With the May 2021 WASDE report, the 2020/21 crop year price and production projections became estimates, and the value of production was estimated at $128.0 billion, 18 percent above the February 2020 forecast. Most of the upward revisions in September 2020 and May 2021 were because of higher commodity prices rather than changes in production quantities. Any further revisions to the WASDE data for 2020/21 after May 2021 are likely to be small.

The 2020 forecast for the combined value of production of six major animal/animal products (beef, pork, broilers, turkeys, eggs, and milk) fluctuated throughout the 2020 calendar year but remained lower than the pre-pandemic forecast. The pre-pandemic January 2020 forecast of the combined value of production for beef, pork, broilers, turkeys, eggs, and milk was $144.1 billion. In June 2020, that forecast was revised to $17.9 billion (12 percent). The September 2020 forecast was slightly higher than the June forecast at $127.5 billion. By May 2021, the value of production was estimated at $131.3 billion, 9 percent below the pre-pandemic January 2020 forecast.

For the farm income forecasts, ERS creates calendar-year forecasts of cash receipts and value of production based on the WASDE and other data.

Federal Financial Assistance to the Agriculture Sector

In response to the economic turmoil from COVID-19, Congress passed 6 economic relief and stimulus bills in 2020. Using the authority from one of the bills, the USDA created the Coronavirus Food Assistance Program (CFAP), which was specifically targeted to farm operations. Other Federal departments and agencies created more general programs for which some farm operations were eligible, such as the Paycheck Protection Program (PPP), or expanded eligibility to the agriculture sector (such as expanded eligibility for the Economic Injury Disaster Loan Program (EIDL)).

Coronavirus Food Assistance Programs

USDA developed and implemented two rounds of funding for the Coronavirus Food Assistance Program. We refer to the original round as CFAP 1 and the second round as CFAP 2. Both rounds combined provided $23.5 billion ($10.5 billion from CFAP 1 and $13.0 billion from CFAP 2) in direct payments to farmers and ranchers in 2020. CFAP provided direct payments to producers who faced market disruptions, increased production costs, and reduced farm-level prices.

Payments reported on farmers.gov at the end of 2020 from both rounds of CFAP totaled $11.5 billion for producers of animal and animal products and $12.0 billion for crop producers.

The USDA website provides additional details about CFAP programs, including current levels of payments under CFAP1 and CFAP2 by commodity and State.

USDA Pandemic Assistance to Producers

On March 24, 2021, USDA announced a new initiative, USDA Pandemic Assistance to Producers, to provide financial assistance to producers who felt the impact of COVID-19 market disruptions. USDA is dedicating at least $6 billion to this initiative that aims to reach a broader set of producers than in previous COVID-19 relief programs. USDA has made additional payments to producers under existing CFAP programs and also rolled out new programs under the initiative. More information about USDA Pandemic Assistance to the sector, including direct payments to producers, may be found on the farmers.gov website.

While much of the assistance is to be paid directly to farmers, the initiative includes some provisions for funding research, training, and outreach. And some payments are not targeted for farm operations. In the ERS farm income statistics, only direct, financial assistance to agricultural producers is included as income.

Paycheck Protection Program

The Paycheck Protection Program (PPP) is a program implemented by the Small Business Administration (SBA) and intended to help small businesses—including farm operations—keep employees on the payroll and/or bring back furloughed or laid-off workers. To be eligible, a business needed to either have positive employee payroll costs or positive income, and the loan would be forgiven if used to meet the program criteria.

Under this criteria, 2019 ARMS data indicated that 72 percent of all family farm operations would have been eligible to receive a PPP loan. Using publicly available data from the SBA, we found that in 2020 the agriculture sector received $6.0 in PPP forgivable loans. The crop sector received $3.9 billion (65 percent of the total) and the livestock sector received $2.1 billion (35 percent of the total). In 2021, farms received $8.7 billion in forgivable PPP loans based on SBA data through June 30, 2021.

COVID-19 Related Assistance for Family Farm Households

Farm households may be affected by the pandemic through loss of wages and benefits from off-farm jobs or off-farm businesses that supplement income from farming. Family farm households could receive Federal COVID-19 related financial assistance from two main sources: Economic Impact Payments and Federal Pandemic Unemployment Compensation.

Economic Impact Payments

Economic Impact Payments (EIP) were meant to provide households with an immediate injection of cash to spur demand and mitigate the economic downturn. The full EIP amount in 2020 was $1,200 for individuals or $2,400 for couples filing jointly, and households with dependents received an additional $500 per dependent.

ERS estimated the amount of these payments using 2019 ARMS data. These estimates indicate that the median married farm household would have received an EIP equivalent to 30 percent of one month’s income, while the median unmarried farm household would have received payments equivalent to 24 percent of one month’s income. These estimates will be revised when the 2020 ARMS data are released in December 2021.

Federal Pandemic Unemployment Compensation

The Coronavirus Aid, Relief, and Economic Security (CARES) Act provided $600 per week in Federal Pandemic Unemployment Compensation (FPUC) to those who were unemployed from March 29 to July 25 in 2020 due to the pandemic. These FPUC benefits were in addition to existing State unemployment benefits and were available to anyone who qualified for at least $1 of unemployment benefits.

According to 2019 ARMS data, 71 percent of farm households had one or more household members who earned off-farm salaries or wages. Among those farm households reporting off-farm income, 89 percent of their total household income was attributed to off-farm sources. Excluding residence farms (small farms whose principal operators report being retired from farming or having a primary occupation other than farming), 57 percent had off-farm income that contributed 45 percent of their total income.

Farm Household Income and the Pandemic

The latest ERS farm household income estimates for 2020 and forecasts for 2021 were released on September 2, 2021, and reflect the observed and expected continued effects of the pandemic. Please visit the Farm Household Well-being topic page to learn more.

For households that operate a farm, total household income is a combination of income earned from the farm and off-farm income. Off-farm income sources vary by household. In 2019, the majority (61 percent) came from wages and salaries of operators and other household members, and the remainder came from:

• transfer income (19 percent),
• non-farm business income (11 percent),
• interest and dividend income (4 percent), and
• other sources of income (6 percent).

Of these, the loss of wages and salaries earned off the farm is most likely to result in a decline in household income because of COVID-19.

On December 1, 2021, ERS will release estimates of 2020 farm household income based on data from the 2020 ARMS. Summaries and analyses of farm household income based on the 2019 Agricultural Resource Management Survey (ARMS) do not cover the pandemic but can provide insights into the potential impact of COVID-19 on farm households, including decreased employment rates in 2020.

Source: USDA

The post Farms and Farm Households During the COVID-19 Pandemic appeared first on North America FarmQuip Magazine.

From the very onset of the COVID-19 pandemic in the United States, JCB took a proactive approach to protect their employees and continues to do so with extraordinary measures.

“Out of concern for our employees and as the situation changed, JCB has continually adapted procedures to be the most up to date with CDC recommended guidelines. Currently, we’ve implemented office rotations with half of our team present at a time, require temperature checks upon entry, set up hand sanitizer stations throughout our facility, require masks at all times when employees move throughout the building, and have restricted visitors.”

said Tonya Poole, vice president of Human Resources for JCB North America.

Continuing this proactive approach, in January, JCB implemented mandatory PCR COVID testing every Thursday which is available both at the office and offsite for those who were working on remote rotation. Additionally, new leave policies support employees who must take time off related to COVID, and in June, the company offered antibody testing for any interested employee.

“And now that the vaccine is available, we’re offering vaccines at no cost for our employees and their immediate family members to help protect them against COVID. The vaccines are being administered on-site and each person who is immunized will be given a gift card in recognition of their consideration of others.”

Poole explained.

As a leader in the manufacturing industry offering world-class agriculture and construction equipment, JCB has also been a leader in responding to the COVID virus quickly and proactively in the best interest of their employees.

Source: JCB

The post JCB Takes COVID-19 Measures appeared first on North America FarmQuip Magazine.

“The dramatic events of 2020 imposed significant challenges to growers and agribusinesses throughout our chartered service area, none of which could have been anticipated. While growers and agribusinesses are very familiar with managing the unpredictable, as a member-owned association we felt it was our duty to do everything in our power to support our customers during these challenging times.”

said Sureena Thiara, Chair of the Board of Directors at Farm Credit West.

The combined 150 bps patronage distribution for 2020 represents the highest payout Farm Credit West customer-owners have received since the program’s inception in 2002. In each of the years 2018 and 2019, Farm Credit West distributed 100 bps in patronage dividends to customers.

“At a time when many agriculture producers and agribusinesses are reacting to government regulations and health official recommendations to manage the COVID-19 Pandemic, our customers can be confident their lender is committed to their success. Distributing an additional and unexpected 50 bps in Patronage dividends mid-year was the infusion of cash needed to keep many of our customers’ operations thriving during a highly tumultuous time.”

added Mark Littlefield, President, and CEO of Farm Credit West.

Since the Patronage program’s beginning 18 years ago, Farm Credit West has paid $884 million in cash dividends to customer-owners.

The post Farm Credit West Announces an Increase in Cash Dividends Amid Pandemic appeared first on North America FarmQuip Magazine.

Mark Cuban has some good advice for all the business people dealing with the coronavirus pandemic:

“Make use of whatever down-time you might have to brush up on the skills that might impress your future employer. Every interviewer from now on is going to ask you what skills did you add during the pandemic of 2020.”

He also suggests we use this time to become great at the work you want to do and add new skills to your repertoire.

This is excellent advice, but sometimes it’s hard to find educational opportunities for those of us in the water conservation business. Thanks to Jain Irrigation, this is changing. Recently Jain started providing regular irrigation training a couple of times a week for free to anyone wanting to improve their skills in irrigation, water management, and sustainability. The Jain Irrigation training sessions are inspiring water managers of all levels and in multiple water management fields.  This is your chance to join experts and enthusiasts to discover and share new techniques, smart tips, and new technology.

The webinars cover various subjects and many cover subjects that do not include information about Jain products. They cover topics like System Management In Controlled Environment Agriculture, Harvest Recommendations, Budgets, and Best Practices For Marketing Hemp, Critical Success Factors For Landscape Contractors, and many more. There are some specific to Jain Products, unique product offers, and discount pricing for Jain products offered during the instruction. However, the instructors and guests are very aware this is a learning experience and provide a positive learning experience for those who attend.

Future webinars are posted on Jain’s website. If you scroll down on that page, you will also see the previous webinars, and you can watch all these for no charge. Jain provides these at no cost as part of their conservation and sustainability message and helps fulfill their mission to leave this world better than you found it.

For all the runners, walkers, and water managers who like to listen on the go, the training is available on Apple, Spotify, iHeart Radio, and Google podcasts. Just search Jain Irrigation training on the channels, and you will find all the episodes. If your favorite podcasts are on Stitcher or TuneIn, you can find them there too.

The instructors come from all over the irrigation industry. They include Landscape Architect, Lance Sweeney, Ag Irrigation Designer Perry Continente, The Hawthorne Gardening customer support team, Jim Kauth from Aqua Trac System in Arizona, and Ken Olson from Olson Business Solutions, to name a few. Also, President of Jain Irrigation, Aric Olson, discusses the future of Ag Technology and covers a three-part series on nitrogen and fertilizer for agriculture. You will also find several of the subject matter experts on products for Jain Irrigation presenting as well. It is a well-rounded group covering different but specific subjects each week.

A big thanks to Mark Cuban for helping us put this crisis in perspective and motivating us in a positive direction. Jain training is valuable now and in the future. There is so much to learn about water management, conservation, and sustainability and I look forward to many years of training from Jain.

Source: Jain

The post Jain starts irrigation training during Coronavirus pandemic appeared first on North America FarmQuip Magazine.

Today’s FrontRunner system operates around the clock, hauling copper, iron ore, oil sands, and coal at 11 customer sites across three continents. At the end of June 2020, there were 251 trucks in operation, with an additional 100 (mainly from installing AHS retrofit kits) planned to deploy within FY2020. Working closely with its customers, Komatsu teams developed the first commercially available autonomous haulage system to help mines move material more efficiently. First deployed in 2008 at CODELCO’s Gabriela Mistral (Gaby) copper mine in Chile, AHS brings together some of the world’s best-selling, ultra-class dump trucks with Modular Mining Systems’ DISPATCH Fleet Management System.

“Our mining customers’ ongoing investment in technology and equipment to transition to autonomous haulage underscores the value the system provides,”

said Toshio Kurokawa, General Manager of Marketing Department, Mining Business Division, Komatsu.

“We are gratified to have helped our customers save hundreds of millions of dollars while autonomously moving another billion metric tons of essential minerals and driving for zero harm. We are also honored that autonomous haulage has been a valuable resource to help our customers mitigate risks associated with the global Covid-19 pandemic.”

The FrontRunner system is designed to enable manually operated equipment (such as loaders, dozers, graders, light vehicles, etc.) to seamlessly interact in an autonomous truck environment. Komatsu recently introduced system functionality to enable manual haul trucks to also operate with the autonomous trucks. To further support the growth of autonomy in mining for its customers, Komatsu is leading initiatives within ISO to develop standards for interoperability between Komatsu and non-Komatsu autonomous vehicles.

Source: Komatsu

The post Komatsu Customers Surpass 3B Metric Tons Moved Autonomously appeared first on North America FarmQuip Magazine.

Among AFBF’s priorities is amending the Agricultural Marketing Agreement Act to give dairy farmers an opportunity to directly vote on Federal Milk Marketing Order (FMMO) issues. Currently, only dairy farmers who are independent and not members of cooperatives may cast individual ballots. Cooperatives may allow their members to vote independently, but then lose their ability to bloc vote on behalf of their non-participating members. AFBF supports allowing modified bloc-voting, which would allow co-op members to vote independently and confidentially, while allowing cooperatives to cast ballots for farmers who choose not to cast an individual ballot.

A Farm Bureau Federal Milk Marketing Order Working Group, consisting of grassroot dairy farmer members, worked for a year to examine the system and develop recommendations to modernize the current FMMO system. Farm Bureau delegates voted to approve the group’s proposals.

“I appreciate all the work our members have done to give individual farmers a stronger voice in the milk pricing and pooling regulations,”

said American Farm Bureau Federation President Zippy Duvall.

“Farm Bureau has been outspoken on the disparities in the beef and hog markets, and we are just as concerned about the large imbalances in the pricing and pooling of milk – which ultimately cost dairy farmers hundreds of millions of dollars.

Wild price swings during the COVID-19 pandemic have highlighted how important fair systems are to the well-being of America’s farmers and ranchers. By giving dairy farmers a seat at the table, we can begin addressing the challenges of the current FMMO system and work toward a more equitable compensation system for the hardworking men and women in the dairy industry.”

Although Federal Milk Marketing Orders have been a pillar of the dairy industry for more than 80 years, outside of the 2018 farm bill, the program has not undergone substantial change in almost two decades.

AFBF Chief Economist Dr. John Newton said,

“COVID-19 has resulted in unprecedented volatility in agricultural markets, especially milk and dairy commodity prices. The price volatility, a record-large spread between prices for the various milk classes, mass de-pooling and record-large milk check deductions take money out of farmers’ pockets at a time when they desperately need it. Moreover, it highlights the urgent need for dairy farmers and the industry to collectively consider ways to modernize the FMMO system and improve prices paid to farmers.”

Other recommendations in the final report include expanding price discovery and examining alternative ways to price fluid milk and improve risk-sharing between farmers and processors.

Source: American Farm Bureau Federation

The post Farmers Deserve a Seat at the Table in Milk Pricing Policy appeared first on North America FarmQuip Magazine.