2020

/

Partners & Friends,

Here in this season we pause to reflect on the past year and plan ahead for the next. We are constantly asking ourselves how we can make the operation more sustainable, do more with less, be more efficient, increase our margins, determine what our core competencies are and best utilize our resources. Here are some of our thoughts heading into next year.

  • Tile—our highest yields consistently come from the ground that is patterned drained. Earlier planting, more even stands, better root development, easier harvest and less soil compaction all add up to increase the ROI 

  • Seed Beans—raising seed gets us the newest and best varieties with the most yield potential, but means weed control must be tip-top, bin space is an issue, and combine clean-out on hot afternoons is the most unpleasant 

  • Equipment Efficiency—keeping track of hours per power unit and repair cost of each piece of equipment gives information about cost to operate, when it’s time to replace, and do we need it

  • Less Tillage—part of the effort to make the land more sustainable is fewer trips, less compaction, and covering more acres with existing labor

  • Management Zones—part of the strategy of our multi-hybrid planter is investing in the parts of fields with the most profit potential and accepting the lower-yielding areas for what they are

  • Marketing—this past season reinforced that we must take advantage of opportunities to lock in profit and that the market is always right

  • Human Resources—our most valuable commodity is people—team members, suppliers, grain originators, landowners; those relationships must be nurtured and maintained

There are lots of details involved in this list that must be managed for the bottom line to be positively affected. That's what our job is-to bring everything together to allow this 150 year-old business to carry on to the next generation. We appreciate all who are a part of this endeavor that allows us to keep our dream jobs.

It appears the trade talks have negotiated a Phase One deal. We anxiously await seeing all the details on paper and signed. The general economy seems so strong with the labor marker so tight. Hopefully this next year’s major weather anomaly will be somewhere else in the world. :)

We are all celebrating this Christmas season with family and friends while enjoying all the blessings we have been given by a very generous Creator. Lindsay is due with their 4th child any day now. Ali is dog and cat sitting close to college campus. Preparing for bringing in 2020 with family and friends.

Have a Great Contented New Year!

Steve

Grateful

/

Partners & friends,

Thinking about all we have been challenged with this past year, this job is still a dream job. There are several things I am so thankful for.

  • For ancestors that weren't afraid of hard work and perseverance in the face of weather, economic and social issues

  • For rural America and the peace and tranquility we are afforded in this setting

  • For the opportunities to work with this beautiful plant and animal creation every day

  • For friends and neighbors who live out loving, serving and caring

  • For  freedom of religion and the wonderful community of believers we are in

  • For healthy Christ-seeking children and grandchildren 

  • For living in a country where we openly and freely choose who will govern us

  • For a loving God who loves and forgives me every day

Here on the farm we are in the midst of office crunch time. Paying year end bills, analyzing the past years crops, choosing seed and chemicals and crop rotations for this next season, and figuring out how to do more with less this next year, are a part of the processes we go through every year at this time. Outside the office we are cleaning equipment, hauling grain, helping some neighbors finish harvest, and constantly repairing tractors, trucks and combines. Our eleven head of cattle need to be fed and cared for each day. This is also the season for seed, marketing and management meetings.

As discombobulated as world politics seem my history reading reminds me that this is the way world governments have always been. Producing and protecting food supplies have been priorities for all civilizations. Trade wars have always been present. And world leaders have always recognized that a well-fed populace is easier to govern.

This is the season for Christmas programs. School and church programs remind us of why we celebrate and proclaim great joy from the Birth 2000 years ago. A real story for the ages. Ali has completed first quarter of her sophomore year. Looking forward to some time with family and friends these next few weeks.

Steve

Wildlife

/

11/17/19 update: Done @ 5 pm yesterday! What a season 2019 has been. Looking forward to a new year and learning from the lessons of this one.

Partners,

Each year at harvest time we get to appreciate—and be frustrated by—the amount of wild critters that are all around us. Some of our fields have up to 10% damage from turkeys, deer, or raccoons. The loss is more substantial in Fulton County, but almost all of our fields are close enough to some trees or stream or railroad that there are some signs of wildlife. While harvesting this past week I got some good pictures of the animal damage—with snow as a background—so I thought I would share. The financial loss is not talked about much and hard to quantify but on the yield maps the spots really stick out.

As of this morning (Friday), harvest is about two days from over. We have been picking corn on snow-covered ground this week. Thankfully there was little on the plants themselves. Snow and combine sieves don't mix well in freezing weather. The yields of the June planted corn are very average. This will be our lowest average corn yield since 2012. We finished beans this past Friday when we harvested the third planting on the bottom ground at my house (planted July 13th). They yielded a respectable 46bpa which seems incredible with that late of a planting date. We give thanks and praise for some growing anomalies. Marcus started NH3 application this week with our new-to-us tractor. We appreciate a big front wheel assist tracked tractor in the hard pull heave tillage. Using this tractor should allow us to plant directly into the NH3 strips next spring and eliminate some tillage, labor, fuel and time.


Commodity prices are drifting sideways in a typical, slow, drawn-out harvest scenario. We are not watching TV coverage of the going-ons in DC. Congress has had the USMCA on the agenda since last winter and now it looks like they don't have time to pass a trade agreement that will help our commerce.


School snow days in November don't happen too often. The extreme cold this early puts a fast spin on chores for the horses and cows. This past Sunday we enjoyed a violin recital.


Fall prices:

Corn 3.71

Soybeans 9.12


Keep in touch,

Steve

What Was It Like?

/

Partners,

Something that strikes me often is the amount of sweat, tears, and love that has been poured into this land we are caretakers of today. As we cross fields with equipment that can harvest 4000 bushels/hour I try to imagine what it was like for the first family members here to break out the sod. The prairie grass was probably over 10 feet tall and the soil wet and sticky, and there was no air conditioned house to retreat to for a good night’s sleep after all the toil of the day. Our family’s oral history tells us that the first settler who stayed the first summer on our land (mid-1800s) used an upside down wagon box for shelter as he prepared the farm for his family. He must have had his bravery tested with the coyotes howling at night, and the darkness (without any mercury yard lights), and the rainstorms that are bound to have occurred. What was it like digging post holes by hand for the livestock fence, planning how big of a barn to build (and make it easy to enlarge as the farm grew), and caring for the horses each day (unlike the tractors we use that sit dormant in the shed)? What were the thoughts and conversations that went on around the supper table and in bed at night, where the board of directors slept together?

We have a weather delay right now. 2 inches of snow yesterday and 3 inches this morning (Thursday). Beans are 85% complete and corn is about 70% done. The last corn is not going to dry down much more in the field—testing in the middle 20s. We ran hard Monday and Tuesday to get the wet bin filled up so we could dry during this weather delay. Seed bean harvest is complete so no more combine cleanings. :) Plenty of details to attend to with equipment and office work.

The trade dilemma is getting a bit tiring. Who blinks first is going to tell the story of how the resolution is going to be. Personally, I wish Congress would work on something that will move this country forward instead of chasing what the President said in a phone call. Anyone who has studied history or seen Hamilton or Lincoln knows that politics have been a part of our governance and I am thankful we live in a country where we can discuss them freely.

Our house remodeling project is finally in the last stage. We’re hoping to celebrate family Thanksgiving here. It’s hard to believe first quarter is already over and report cards issued. It seems this whole year will be one we will easily remember. Interesting how the challenging times are the ones we recollect and reach back to for wisdom.

Fall prices:

Corn 3.85

Soybeans 9.16

Comments welcome.

Steve

Teamwork

/

Partners,

People are what makes a university rugby team have an undefeated season, and people are what makes this farm operate. The team we are operating with this year here at Hess Family Farm is diverse and hardworking. There are 14 team members that have participated so far this harvest season, each bringing a special set of talents to the effort to get the crop year of 2019 in the books. We appreciate everyone's contribution to what has been a smooth and fast-paced gathering of the sheaves so far this fall. Marcus and I could not do this without all of the hands that are assisting with so many things. We are so thankful!

We are a bit over 50% complete with corn and soybeans at this point. Yields are not as good as the last several years but I am amazed what the hybrids and varieties today can produce under such stressful weather compared to when I began my farming career over 45 years ago. There is something about harvesting a field and seeing the fruits of a year’s labor come to fruition that really gives a sense of accomplishment and joy. We have delivered over 40,000 bushels of corn to the Havana river terminal and over 10,000 bushels of soybeans. We have storage for the rest of the crop. This year about 2/3 of our beans are seed beans grown to be sold commercially for next years crop. Part of this commitment involves cleaning the combine thoroughly between fields to prevent any contamination from other varieties - a 2-hour dirty task.

Nationally the crop is coming in very close to expectations. Yield projections are proving surprisingly accurate. Marcus and I listed our best estimate for each of our fields 2 months ago to be able to come up with a marketing plan. We were within a few percentage points. We do have a concern for stalk strength and grain quality as the days march by. The poor farmers in the Dakotas and Minnesota that received the early snow storm will have a great challenge to harvest that remaining crop.

Family is doing well. We attended one of the UChicago rugby games a couple of weeks ago and watched Alison's team remain undefeated. Please let me know if you know what a SCRUM is. It was my first time watching official collegiate play. Go Maroons!


Current Prices:

Corn 3.72

Soybeans 9.08


Stay Safe!

Steve