Johnson, Naig point to E15, value-added agriculture and leadership development as keys to growth for Iowa agriculture.

In a wide-ranging conversation at the Iowa Farm Bureau Young Farmer Conference last month, Iowa Farm Bureau President Brent Johnson and Iowa Secretary of Agriculture Mike Naig said the state’s natural advantages with infrastructure, productive farmland and innovative farmers give it a competitive edge that few regions can match.

“I wouldn’t trade where we are with anybody else in the world,” said Naig. “We’ve got the people, we’ve got the land, we’ve got the innovation to bring all this together in a way that benefits all Americans and benefits consumers all around the world.”

Farm profitability emerged re­­peatedly as a central issue facing farmers. Naig and Johnson acknowledged that sustained loss­­es in crop production over the past several years are making it harder for young farmers to secure financing, invest in equipment or land, and build operations they can eventually pass on. 

Johnson said it’s critical to address both sides of the balance sheet by growing revenues and trimming input costs to return farm income to profitable levels. 

On the revenue side, that means finding new sources for demand in domestic and international markets. Meanwhile, on the expense side, farmers have to take a hard look at where they can cut expenses and where they need to continue making investments. 

“The concept of profitability, for me, is essential,” said Johnson. “We need to find those opportunities to fix the problem … so that we can go another year down the road and build up some sense of stability for your farming operations.”


The case for E15

Biofuels policy, particularly ap­­proval of nationwide, year-round access to E15 gasoline, is viewed as one of most immediate opportunities to support corn demand and farm income. 

Naig acknowledged the frustration farmers and biofuel supporters felt when the latest attempt by Congress to permanently authorize E15 fell short last month but he remains optimistic about a path forward for the legislation. 

“I believe we can get this across the line,” he said. “If ever there was a time to land this argument that we want market drivers, not government payments, it is right now.” 

Naig noted that Iowa’s first-in-the-nation E15 standard stands as proof that it’s possible and practical to build out the infrastructure to offer consumers more choices at the fuel pump, noting that the number of Iowa fuel stations offering the higher ethanol blend has jumped from 325 to more than 1,100 in just a few years.

“Our E15 sales are skyrocketing because of the E15 access standard,” he said. 


Value-added future

Beyond biofuels, Naig and Johnson pointed to value-added agriculture as a cornerstone of Iowa’s future, noting that the state’s strength lies not only in production but in processing and innovation. 

Naig introduced a bill in the Iowa Legislature this year, called the Iowa Farm Act, that creates more opportunities for young farmers to sell directly to consumers through the state’s Choose Iowa program and addresses regulatory issues that impede alternative farming enterprises.

“Value-added agriculture is what makes us unique. It really drives our economy,” said Naig. “We need the right environment to be able to do those things ... bring technology to the marketplace, freedom to operate in terms of a regulatory environment that works for agriculture, tax policy … it’s multifaceted.”


Overcoming challenges

He noted that a healthy agricultural economy also depends on strong rural communities and opportunities off the farm, including childcare, health care and rural housing to support family life and business growth.

Animal disease preparedness is also vital for Iowa’s livestock producers, Naig noted. He said the state is stepping up its focus on tracking, monitoring and prevention to keep diseases like New World screwworm or African swine fever out of the state.

“I don’t think it’s inevitable that these things are going to make it to Iowa. But we have to be prepared,” Naig said. 

Water quality and conservation will also continue to be a focus for the next generation of farmers, with cover crop adoption, wetlands construction and partnerships continuing to accelerate.

“Clean water is nonnegotiable. We all care about clean water,” Naig said. “I look at momentum and acceleration of adopting things like cover crops and wetlands. We’re seeing progress, and there’s excitement around it.” 


Look to be leaders

Johnson encouraged young farmers to look for opportunities to be involved in their communities and leadership positions, even when they are uncertain about what the future holds.

“Get involved where that opportunity leads you, and take the challenge of walking through some doors that you maybe aren’t sure what’s on the other side,” he said. “You’ve already taken the first step by showing up to an event like this. You’re broadening your network. You’re expanding your horizons.”

Naig said leadership development starts with being engaged in organizations like Farm Bureau and taking advantage of opportunities to learn from others.

“I’m a big fan of attaching yourself to mentors and people that you want to be like,” he said. “And here’s the funny thing about when you seek mentors out, pretty soon you become one.”