CONFIDENTIAL. This document contains trade secret information. Disclosure, use or reproduction outside Cargill or inside Cargill, to or by those employees who do not have a need to know is prohibited except as authorized by Cargill in writing.© 2013 Cargill, Incorporated. All rights reserved.

Wheat: Delivering Unique Profit in your Rotation

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David Shortall

Agronomist Cargill Ltd.

AgendaHOW DOES WHEAT DELIVER UNIQUE PROFIT?

• 2016 – Record Yields- Why?Case Study

• Ireland Vs Ontario • The Value of Cover Crops

2016 – The New Wheat Yield Benchmark• Fertility Management

• Fungicide Use

•Q & A

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1990 1995 2000 2005 2010 2015

BU

SHEL

S P

ER A

CR

E

TIME

CORN YIELD VS WHEAT YIELD 1990-2015

Wheat Corn

2016- What Happened?

CornYield extremely variable

WheatRecord Grain YieldRecord Straw Yield

Average yield increase in Ontario 17.7%

Components of Wheat Yield

Ears/M² X Grains/Ear X Grain Weight

= Total Yield

March 29th 2016

How we built yield

• Early Planting & Mild Fall - high tiller numbers

•Nitrogen Management

• Fungicide Timing

•Good Management Practices

7

CONFIDENTIAL. This document contains trade secret information. Disclosure, use or reproduction outside Cargill or inside Cargill, to or by those employees who do not have a need to know is prohibited except as authorized by Cargill in writing.© 2013 Cargill, Incorporated. All rights reserved.

Case Study

Irish Farm Vs

Ontario Farm

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The importance of Nitrogen and Sulphur in Wheat Production

192 Bushel Wheat Crop

Harvest 2015

Ireland vs OntarioFarm Info

10

Farm Info Ireland Ontario

Farm Size 800 acres 2000 acres

Crop Rotation Wheat, Barley, Oats & Canola

Corn, Soybeans & Wheat

Tillage Full Tillage Minimum Tillage

Soil Type Clay Loam Clay

Management Intensive Intensive

Ireland vs Ontario

Input Costs

11

Input Ireland Ontario

Seed $26.60 $64

Fertilizer $251.16 $138.18

Chemical $189 $33.45

Total Cost per Acre

$466.76 $235.63

*1 Euro = 1.40 CAD

Ireland vs OntarioMachinery Costs

12

Cost Ireland Ontario

Cultivation + Planting

$70 $30

Spreading Fertilizer

$44.80 $22

Spraying $44.80 $24

Combining $70 $50

Total per Acre $229.60 $126

*1 Euro = 1.40 CAD

Ireland vs Ontario

Do big yields always pay?

13

Output IrelandGrain =154 Bu /acre

OntarioGrain = 118 Bu /acre

Grain @ $5.03/Bu $774.62 $593.54

Straw $98 $105

Total Output per Acre

$872.62 $698.54

*1 Euro = 1.40 CAD

Ireland vs Ontario

Profit is Everything

14

Ireland Ontario

Total Output $872.62 $698.54

Inputs Cost $466.76 $235.63

Machinery Cost $229.60 $126

Net Margin per Acre

$176.26 $336.91

*1 Euro = 1.40 CAD

Ireland Vs OntarioEFFICIENCY IS EVERYTHING IN CROP PRODUCTION

•Ontario grower had 30% lower yield

• Irish grower had 92.5% higher growing Costs

•Cost per Bu of Wheat produced in Ontario = $3.06

•Cost per Bu of Wheat produced in Ireland = $4.52

•Return on Investment 2.4:1

Ontario Grower

THE VALUE OF COVER CROPS

•Oats Crop planted after Harvest

•Home saved seed- Planted @ 100 Lbs per acre

•Fertilizer Applied – 100 Lbs Potash + 100 Lbs Urea

•Baled for Forage

•Yield- 6.77 X 1200 Lb Bales per acre @ 65% DM

Ontario Grower

THE VALUE OF COVER CROPS

•Cost Saving of $23,000

•Provided Forage for Beef Cattle

•Allows Farmer to sell cattle at higher live weights

•Net Margin on Oat Crop/ Acre = $65

•Total Net Margin - $336.91 + $65 = $401.91

CONFIDENTIAL. This document contains trade secret information. Disclosure, use or reproduction outside Cargill or inside Cargill, to or by those employees who do not have a need to know is prohibited except as authorized by Cargill in writing.© 2013 Cargill, Incorporated. All rights reserved.

Managing Efficiciency

Nitrogen and Sulphur Use

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The importance of Nitrogen and Sulphur in Wheat Production

The Role of Nitrogen in Wheat Production

NITROGEN DRIVES WHEAT YIELD

•N promotes new leaf growth

•N promotes tillering of young plants

•N promotes dark green, lush and healthy plants

•N influences grain yield and protein production

•N deficient plants - chlorosis

19

Current Nitrogen Recommendations

WHAT ARE THEY BASED ON?

• The same amount I have always put on!

• Corn example

• Significant advances in production practices

• Genetics / Fungicides / PGRS

20

N amounts for wheat yield

HOW MUCH N SHOULD I APPLY?

•Depends on :• Soil type• Crop Rotation•Manure use• Previous Experience• Fungicide Use- discuss later• Lodging risk• Yield Goal•Maximum Economic Rate of Nitrogen

21

Maximum Economic Rate of Nitrogen (MER-N)

WHAT IS THE BREAK EVEN RATE OF APPLIED N IN WHEAT PRODUCTION?

• Trials completed over 3 years to generate Nitrogen response curves and determine MER-N

22

Wheat Yields with different levels of N

23

Trial Results

NITROGEN PAYS

• 23 Bu gain from 0 N to 60 N

• The same yield increase between 60 N to 90 N as there is between 90N to 120N + 6 Bu

• 2.7 Bu increase from 120 N to 150 N

•Over 60% of sites had MER-N of 150 N of higher

Nitrogen Sources

WHAT IS THE BEST SOURCE OF NITROGEN TO USE ON MY WHEAT CROP?

Nitrogen Sources

• Trials over the last number of years have shown little impact of N source on yield.

• Liquid 28% or 32% have shown a small yield increase (2.5bu/acre)

• ESN has shown no yield advantage in winter wheat but did increase protein.

• Works as part of a Nitrogen blend on hard red wheat when protein adds value

•Agrotain Plus decreased yields when N applications were delayed by weather.

• Used early26

When should I apply Nitrogen in the spring?I WANT TO IMPROVE MY YIELD WHEN SHOULD I APPLY NITROGEN?

• Crop dependent

• Planting Date Late Planting = Early N

• Winter /Tiller survival Poor W/T Survival = Early N

• Green Leaf Area Low GLA = Early N•Weather dependent

• Previous / Current / Expected Adjust to season

• Yield dependent

• Yield Goals High Yield Goal = Early N•Grower dependent

• How many applications of N

• How much total N Adjust to grower situation

Advantages of Splitting N Applications

A LOT MORE POSITIVES THAN JUST YIELD

• Reduced N loss

• Better weed control

•More Uniform Heading

• Lower lodging risk

• Lower disease risk

28

Spring N applications

BEST RECOMMENDATIONS TO DRIVE YIELD

• 1st application in early April GS 30 % Total

80 lbs actual N 66.67%

• 2nd application in late April 2nd Node 33.33%

40 lbs actual N

Total Min N = 120 lbs actual N 100%

High Yield Potential Sites adjust N upwards to 150 lbs per acre and follow % guideline

In HRW save 25 lbs actual N for Flag Leaf Application

2017 N applicationsWHAT TO DO NEXT YEAR?

• 2017 Crop• Early planted/ high leaf growth/ lodging risk/ yield potential

•Management very important

• 1st application @ GS 30 (late March/Early April)•Apply 2/3 total N• 2nd application @ GS 32 (mid to late April) •Apply remainder of total N•Do NOT reduce overall total N Minimum 120lbs

Sulphur Use

SULPHUR THE 4TH MAJOR CROP NUTRIENT

Sulphur Use in Wheat

DO WE THINK ABOUT SULPHUR?

N, P and K = Wheat Production

OR

N, P and K + S = Wheat Production

Reduced atmospheric deposition of s

33

1989

Data courtesy of National Atmospheric Deposition Program/National Trends Network (http://nadp.isws.illinois.edu)

*Data represents sulfur ion concentration of

precipitation.

Sulphur Use in Wheat

WHY IS SULPHUR IMPORTANT?

• Building block of protein.

• Key ingredient in the formation of chlorophyll.

•Without adequate Sulphur, crops can not possibly reach their full potential in terms of yield or protein content.

• Sulphur promotes efficient use of Nitrogen, Phosphorus and other vital elements.

Sulphur Use in Wheat

NITROGEN AND SULPHUR

• The amount of Sulphur required is closely related to the amount of Nitrogen applied

• Sulphur deficient plants accumulate nitrogen as other compounds, (nitrate, ammonium, amides) therefore the quality of protein is reduced in such plants.

• The ratio of nitrogen to sulphur usually ranges from 10:1 to 7:1

• S improves nitrogen efficiency

•High N Crop = High S Crop

Sulphur ProductsWHAT FERTILIZER PRODUCTS CONTAIN SULPHUR AND HOW MUCH?

•Ammonium Sulfate – 24% Sulphur

• K- Mag – 21% Sulphur

•MESZ – 10% Sulphur

•Gypsum- inorganic Sulphur (calcium sulphate)

•Ammonium Thiosulfate – (Thiosol) 26% Sulphur 2.886 lbs/gal S

•Amidas 5.5 % Sulphur

Sulphur Rates and Yield Responses

Research conducted 2011-2014

Source: OMAFRA

Sulphur Rate

WHAT TO APPLY

• 42 Lbs per acre of AMS

• 3.5 Gallons per acre of ATS

• 180 Lbs per acre of Amidas

= 10 Lbs Sulphur per Acre

CONFIDENTIAL. This document contains trade secret information. Disclosure, use or reproduction outside Cargill or inside Cargill, to or by those employees who do not have a need to know is prohibited except as authorized by Cargill in writing.© 2013 Cargill, Incorporated. All rights reserved.

Managing Efficiency

Fungicide Use

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The importance of Nitrogen and Sulphur in Wheat Production

Why do we use Fungicides?

FUNGICIDES RETAIN YIELD

•Disease control

• Foliar Leaf Diseases

• Soil and Root borne diseases

• Retain Grain and Straw Yield

• Green Leaf Area

• Plant Health – Physiological Benefits

• Straw 41

Disease Control

THE LEVEL OF DISEASE DEPENDS ON:

•Variety

• Season

• Crop Rotation

•Weather

•Green Leaf Area

Powdery Mildew in Wheat 25th October 2016

What types of fungicides are available ?

• Fungicide Groups

•Modes of action

• Contact

• Systemic

• Foliar / Soil Applied

Fungicide Trials

• Trial completed in Ontario over a 4 year period

• 14 Varieties trialed in Year 1

• 28 Varieties trialed in year 4

• Looking at yield Response

Fungicide Trial Results

DO FUNGICIDES INCREASE YIELD?

• yield response + 10 bushels per acre

• 1 year trial or repeated trials over 4 years

• 12% Yield increase from Fungicide Use

• Yield response is variety dependent

• Responsive varieties + 17 bushels per acre

Fungicide Response to Higher N rates

How many fungicides should I apply?

WHAT IS YOUR YIELD GOAL?

• 2 applications as standard

48

Fungicide application timings

WHEN SHOULD I APPLY MY FUNGICIDE?

• T1 – Application w/ herbicide @ GS 32

• Early Season Control

• Broad-spectrum

• Leaf

• T2 – Flag Leaf?

• T3 – Application at early flowering GS 61

49

How wheat leaves contribute to yield

T2 fungicide

DO WE NEED TO APPLY A FUNGICIDE AT FLAG LEAF?

•Crop dependent

•Yield dependent

•Grower dependent

•Site dependent

T2 FungicideWHEN, WHERE AND WHY?

• Early planted wheat

• High Levels of fall growth

• High tiller numbers

• Early disease infection

• Early T1 application

• High yield potential sites

• Protect Yield Potential

• Wet Season

T2 Fungicide

PRODUCTS OF CHOICE

•Multiple Modes of Action

• Protective and Curative Chemistry

• SDHI

• Broad spectrum Disease Control

T3 Fungicide

APPLIED @ GS 61 – EARLY FLOWERING

• Fusarium Control

Product Options:

• Caramba- Metconazole

• Prosaro – Prothioconazole + Tebuconazole

55

CONFIDENTIAL. This document contains trade secret information. Disclosure, use or reproduction outside Cargill or inside Cargill, to or by those employees who do not have a need to know is prohibited except as authorized by Cargill in writing.© 2013 Cargill, Incorporated. All rights reserved.

Summary

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The importance of Nitrogen and Sulphur in Wheat Production

Summary

1. BIGGER YIELDS AREN'T ALWAYS BETTER

•2016- Ontario Wheat– 191% more profitable than Irish

•Higher Efficiency

•Higher ROI

•Value of Cover Crop

Summary

1. 2016- THE NEW YIELD BENCHMARK

•You can grow Wheat – Profitably!

•Need to Manage it properly

•Fertility – N + S

•Fungicide Use

CONFIDENTIAL. This document contains trade secret information. Disclosure, use or reproduction outside Cargill or inside Cargill, to or by those employees who do not have a need to know is prohibited except as authorized by Cargill in writing.© 2013 Cargill, Incorporated. All rights reserved.

Thank You

Twitter: @DavidS_Agri

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Questions