NCGA 2007 Annual Report

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    INTRODUCTION

    National Corn Growers Association Annual Report 2007 2

    The National Corn Growers Association fought

    the good fight in 2007, standing up for corn

    growers who themselves rose to meet the

    challenges of a marketplace that saw record

    demand for corn.

    Everyone said corn growers would need to

    expand acres in response to this record demand

    fueled by the expanding ethanol sector and a

    strong global appetite for U.S. corn. NCGA

    predicted that corn producers would respond

    and did they everplanting some 93.6 million

    acres of corn, the most since 1944. With harvest

    complete, growers brought in a bin-busting

    crop, the largest in history. This more than met

    demand: Grain stocks actually increased, easing

    concerns raised by the many industries thatdepend on corn.

    In this annual report, we review our successes

    in fighting for the corn and ethanol industries,

    and our achievements in other areas, from the

    farm bill to passage of the Water Resources

    Development Act to advancing the corn genome

    to defending global markets.

    2007 was a success on many fronts, yet NCGA

    knows that it must stay in the ring on behalf of

    its 32,400 members. NCGA and its grower-led

    action teams, committees and working groups

    are well prepared for the next round and have

    their eye on the prize: Helping ensure success

    for corn growers and defending them against

    dubious headline seekers whose soundbites are

    more noise than fact.

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    PRESIDENTS MESSAGE

    3

    Corn growers had much to

    celebrate in 2007, a year of high

    yields on the farm and high-fives

    on Capitol Hill for getting our

    voices heard. We responded to

    market demands with a record

    crop, setting the stage for record

    net-farm income. Maybe our good

    fortune is the reason we were

    attacked by pests far worse than corn rootworm.

    When you think about it, this is understandable.

    Punches get thrown at leaders, not followers.

    Ethanol provides a good example here. Supporters

    of our work have been plentiful and we have been

    very successful. Ethanol production jumped, corn

    producers responded and once again our customersdemands for supply were met.

    Even with support in the trenches to this very

    day, instead of cheers for expanding ethanol

    production, improving the environment, bringing

    investment to rural communities, reducing this

    countrys dependence on petroleum and meeting

    global demands, we continue to face the same

    criticismalthough it is a smaller group than

    previously experienced.

    Fortunately, corn producersthrough state

    associations, checkoff boards, partner organizations

    and NCGAfought back.

    You worked with the media, wrote letters and

    opinion pieces and supported good research.

    You kept up the pressure on Capitol Hill and

    challenged those who repeated mistruths. You

    pointed out the absurdities leveled at corn

    producers, striving to remind folks why theethanol industry was developed in the first place.

    NCGAs growers led the way in promoting an

    increased renewable fuel standard to promote

    energy security and a cleaner environment.

    Our vision of 15 billion bushels of corn and

    15 billion gallons of ethanol by 2015 is getting

    closer each year.

    Also in Washington, NCGA was deeply involved in

    discussions on the new farm bill, setting the stage for

    the future. A major success was getting our revenue

    counter cyclical program, an innovative program

    designed to help both growers and taxpayers by

    saving money and targeting assistance, adopted in

    key legislative text. Our success was the result of a

    major change in thinking on the Hill, and we

    should be proud of our work and thankful to

    members of Congress who supported change.

    All of you who journeyed to Washington or wrote

    letters should also be commended. Change is not

    easy, but the future is brighter for it.

    Lastly, I must thank you all for your great work on

    WRDA, the Water Resources Development Act. Your

    persistence helped get it passed by Congress twice

    in 2007no small accomplishment. The need for

    new locks and dams and other waterway infrastructure

    is too critical to ever throw in the towel.

    In the end, it was a great and challenging year, and

    Im proud to have helped lead the organization

    on these important issues.

    We should remember, though, that our work is

    never done. We must continue to tell our story, to

    remain positive and keep our mission, To create

    and increase opportunities for corn growers,

    clearly and sharply in focus. You are part of a

    strong, grassroots organization. You should be

    proud of your success and always looking forward

    to the future.

    Sincerely,

    Ken McCauley

    President (2007)

    Our corner met challenges head o

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    National Corn Growers Association Annual Report 2007 4

    making 2007 a championship year.

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    NCGAs vision on the future of corn

    ethanol is unwavering. There were some

    challenges in 2007, but nothing that

    will detract us from our 15x15x15 goal:

    Producing 15 billion bushels of corn

    and 15 billion gallons of corn ethanol by 2015.

    We know we can achieve this without affecting

    other markets. This vision is achievable, sustainable

    and defendable.

    NCGA and our members support policy that backs

    this vision. The federal energy legislation that was

    signed into law in 2007 contains a renewable fuels

    standard (RFS) that perfectly matches our vision

    and requires that 15 billion gallons of ethanol come

    from corn by 2015 and 36 billion gallons total

    (21 billion from cellulose sources) by 2022. NCGA

    helped ensure this legislations passage, poundinga lot of pavement on the Hill in the process.

    When it comes to using a food crop such as corn

    to make fuel, NCGA has worked tirelessly to

    debunk misinformation spread intentionally by

    some and unknowingly by others. Staying positive

    and making available facts that demonstrate the

    many benefits of corn ethanoland the truth

    about the so-called food versus fuel issuewere

    key to defending the industry.

    In addition to countless interviews with the mediaaround the world and testimony before Congress,

    NCGA produced white papers, brochures and

    other communications for the general public and

    to arm our members and allies with the truth.

    When NCGA sees an editorial with the same, tired

    arguments, we view it as an opportunity to speak

    with the author and tell the full story. Our hard

    work seemed to pay off. As the year progressed the

    focus turned towards other itemslike high energy

    prices and supply and demandthat have a greater

    impact on food prices than the price of corn.

    For the ethanol coproduct distillers dried grains

    (DDGS), NCGA collaborated with groups to

    develop and release standard recommended

    methods to analyze its nutrient value. This is

    important for distillers grains buyers and sellers

    who, by following the testing standards, are more

    likely to come up with the same values for crude

    protein, fat, fiber and moisture. We also reached

    out to the livestock industry, including becoming

    a leader on a consortium organized by the National

    Pork Board. The aim is to pool research dollars to

    help swine better utilize ethanol coproducts.

    NCGA believes it is important to keep farmers

    involved on the ownership side of the renewable

    fuels industry. With

    more outside money

    moving into the Corn

    Belt, NCGA evaluated

    what it can do to help

    farmers keep their foot

    in the door. One of the

    answers may be NCGAs

    renewable energy

    investment fund, whichis still under development.

    The fund will invest in a

    whole host of renewable

    energy technologies

    when it is launched.

    ROUND

    1

    As interest in DDGS grew, NCGA and others released the final recommendations for standard test methods for

    analysis of DDGS. The guidelines were officially released at the RFA conference Feb. 21, and NCGA heavily

    promoted the guidelines to the agriculture media at Commodity Classic in Tampa, Fla. The report marked the

    culmination of a yearlong laboratory effort to determine the test methods that have the greatest efficacy and

    applicability for analysis of moisture, crude protein, crude fat and crude fiber. NCGA believes widespread

    voluntary adoption of recommended test methods will reduce market confusion and add more structure

    to the DDGS marketplace.

    uce Noel

    slie, MI Chairman,

    hanol Committee

    ell look back at 2007 as a

    mendous year of growth

    r the ethanol industry

    d remember the fact that

    rn producers rose to the

    allenge to meet all demands.

    hile we produced a record

    op to meet food, feed and

    el needs and provided a

    e cushion heading into

    08, well also remember

    w corn growers and NCGA

    ponded to attacks on the

    hanol and corn industries.

    m proud of the work we

    ve done and our success in

    owing the ethanol industry.

    ETHANOL & COPRODUCTS

    A strong counterpunc

    5

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    For the third year in a row, the percentage

    of U.S. corn acres planted to biotech

    hybrids exceeded the amount planted to

    non-biotech hybrids. More and more

    growers recognize the value of this

    technology, and NCGA fully supports them

    especially because biotech hybrids can increase

    yields, reduce pesticide and herbicide needs

    and improve the bottom line. Its a tremendous

    combination.

    When it was time to plant the 2007 crop, NCGA

    felt it was important to oppose the release of

    Agrisure RW (MIR 604) technology because it did

    not yet have approvals in most export markets,

    specifically Japan. When Syngenta (the producer

    of this particular event) decided to go ahead and

    release the technology, NCGA worked with thecompany and the grain trade to develop a plan to

    make sure it would not be disruptive to the export

    market come harvest time.

    NCGA discussed the issue with Japanese buyers

    and worked continuously to educate growers,

    alerting them to their need to develop marketing

    plans to ensure this grain stayed out of unapproved

    markets. Fortunately, Japanese approval came just

    before harvest, yet many in the market are still

    asking that the grain be properly channeled.

    Now that it has Japanese approvals, Agrisure RW(MIR 604) technology will be part of the Market

    Choices program in 2008. Market Choices alerts

    farmers that grain from these traits are approved

    in many export markets, but still lack European

    Union approval, and must be channeled away

    from facilities that serve the EU.

    NCGA knows that a vast majority of growers are

    complying with the Insect Resistant Management

    (IRM) requirements as mandated by the

    Environmental Protection Agency. However, since

    IRM is important for growers in order to maintain

    the use of new technologies, NCGA worked with

    technology companies to develop new ways to

    make sure farmers are maintaining compliance

    levels. As part of these efforts, NCGA will launch

    a new communications plan to remind growers

    they are obligated to plant a refuge when planting

    Bt hybrids. You can look for Respect the Refuge

    materials in 2008.

    Corn growers understand that with technology

    comes responsibility. When it comes to

    communications, when it comes to market plans,when it comes to trade partners, NCGA works

    hard to help growers achieve maximum production

    and maximum success.

    ROUND

    2

    Martin BarbreCarmi, IL Chairman,

    Biotech Working Grou

    Insect Resistant Mana

    (IRM) requirements a

    important for all corn

    to follow. Although h

    prices can tempt grow

    sway from IRM requi

    we know if they aren

    followed we run the

    of losing the technol

    altogether. Thats wh

    worked with technol

    providers and the Ag

    Biotechnology Stewa

    Technical Committee

    develop a plan that w

    further raise awarene

    refuge requirements

    growers. The Biotech

    Group also works wit

    NCGA Trade Team to

    challenging the Europ

    Unions lagging appro

    process for biotech h

    We continue to mon

    World Trade Organiza

    BIOTECHNOLOGY

    National Corn Growers Association Annual Report 2007 6

    In 2007, the U.S. Department of Agriculture estimated that corn growers planted 73 percent, or nearly

    68 million acres, of their acres with biotech seed varieties, up 12 percent from 2006.

    NCGA continues to work with other commodity groups and researchers to develop tools for weed resistance

    management. Growers need to properly handle all herbicide technology to ensure weeds do not develop

    glyphosate resistance. Growers can learn more about weed resistance management at NCGA.com

    The Know Before You Grow program is an important resource for growers, helping to keep up with the

    regulatory approval status on all available biotech traits. This helps growers select and plant hybrids with the

    full knowledge of whether the number is conventional, approved for export to Japan, the European Union

    or not yet approved for EU export. It is available at NCGA.com.

    s a winning strategy.

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    NCGA was involved in several Congressional and Surface Transportation Board (STB) hearings to discuss rail

    and other transportation issues. To help keep corn grower concerns on the front burner, NCGA was successful

    in getting one of its board members, Daryl Haack, on the Rail Energy Transportation Advisory Committee,

    which operates within STB.

    Meetings with the majority of the Class I railroads allowed NCGA to discuss everything from corn to ethanol.

    Shipping ethanol is creating some interesting challenges that corn growers need to monitor. Class I railroad

    BNSF is starting an advisory group on agriculture commodities, and NCGA will have an active role.

    NCGA state organizations have developed outstanding relationships with livestock producers and groups in

    individual states. These important efforts are expanding nationally, as well, as NCGA participates in discussions

    with national groups involved in the livestock and poultry, renewable energy and feed industries.

    Chaseey, SD Chairman,

    uction & Stewardship

    on Team

    was an exciting year,

    the long-journeyed but

    essful passage of the

    er Resources Development

    We also continue to be

    lved in the livestock arena,

    ting with environmental

    es and concentrated

    mal feeding operations

    FO) regulations. A meeting

    livestock producers in

    l focused on corn supplies,

    nol and distillers grains.

    important to counter

    e of the mistruths and

    onceptions in these areas

    hile continuing to increase

    ortunities for farmers

    ugh livestock production.

    PRODUCTION & STEWARDSHIP

    7

    At a time of high production and high

    visibility, NCGAs Production and

    Stewardship Action Team was braced for

    action when it came to sustainability,

    transportation and other key challenges

    and they were scoring knockouts.

    Example: For nearly two decades, NCGAs

    grassroots have tenaciously battled for lock and

    dam modernization on the Upper Mississippi and

    Illinois rivers. Disappointment when Congress

    ran out of time in late 2006 turned to satisfaction

    when Congress passed the Water Resources

    Development Act (WRDA) in 2007and easily

    overrode a veto.

    Over the years, NCGA worked with many groups

    and coalitions to keep this bill on the frontburner. Many members of Congress had personal

    contact with corn growers, and that made a

    difference. Now the focus becomes securing

    funding to make sure WRDA is implemented in

    the bipartisan spirit in which it was passed.

    Railroad issues were also front and center, with

    NCGA involved in Congressional and Surface

    Transportation Board (STB) hearings, and holding

    meetings with the majority of Class I railroads.

    NCGA focused on the need for rail capacity

    improvements, the high cost of shipping grainsand needed transparency in fuel surcharges.

    NCGA helped shape the conservation title in the

    farm bill, making sure the outcome would be

    workable and, hopefully, more simplified for

    growers. The commitment by corn growers to

    conservation and environmental issues is

    unwavering. In fact, participating in projects with

    the Agriculture Drainage Management Coalition

    will lead to better ways to control runoff and

    retain more water on fields. NCGA is also

    involved with the Conservation Technology

    Information Center, where providing reliable,

    profitable solutions to improve the relationship

    between agriculture and the environment are

    researched and analyzed.

    Making the Clean Water Act understandable

    was the focus of a total maximum daily load

    (TMDL) desktop guide. The guide, developed in

    conjunction with the Environmental Protection

    Agency, simplifies the Act and encourages

    farmers to become involved.

    Proposed changes to the Clean Water Actto

    remove the term navigable waterstookNCGA to the Hill for office visits. Removing those

    two words would put agricultural production

    practices at risk and create additional economic

    burdens on corn producers. In essence, removing

    those two words would expand the scope of areas

    and activities covered by the Act to virtually all

    wet areas in the United States.

    ROUND

    3

    Corn producers a

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    In 2007, there was no greater evidence of

    NCGAs forward-looking approach as our

    organizations position on farm policy,

    developing ideas that meet the needs of

    21st-century growers and promoting ways

    to better protect farmers as well as the interests of

    taxpayers. We fought hard for our proposals as the

    2007 farm bill debate heated upand will go the

    distance no matter how many rounds it takes.

    NCGAs National Farm Security Act was designed

    to provide for a revenue-based program focused

    on a more effective safety net for producers while

    not costing the government additional dollars. It

    would assist producers in areas of low yields and

    those with low individual crop yield, compensate

    producers when markets experience steep declines

    and avoid inequities when low prices wereaccompanied by high crop yields. In its proposed

    reform to the commodity title, NCGA looked to

    integrate this Revenue Counter Cyclical Payment

    (RCCP) program with federal crop insurance,

    which would reduce crop insurance premiums

    and offer farmers higher levels of coverage at

    a lower cost.

    The RCCP was developed after more than three years

    of gathering ideas, options and analysis. It is a

    fundamental change in thinking and would replace

    more costly programs that have numerous holes in

    coverage. In short, its better for farmers and taxpayers.

    More than a dozen trips to Capitol Hill to testify

    and support NCGAs proposals resulted in the House

    farm bill including an RCCPfor the first time.

    This significant change in thinking was due largely

    to NCGAs efforts. Although still in flux at the end

    of the fiscal year, the Senate bill included an optional

    RCCP, also for the first time. These are significant

    accomplishments, especially when there were

    considerable odds against such proposed reforms.

    In addition to success in incorporating ideas of

    reform developed by corn growers into farmbill proposals, NCGA was able to use the same

    grassroots support to defeat measures that would

    have been harmful to or not in the best interest

    of producers.

    Simply put, NCGA has fought and will continue

    to fight for a farm bill that will strengthen the

    agricultural safety net, reduce federal budget

    deficits and create job and growth opportunities

    for rural America.

    ROUND

    4

    Steve PiggBushnell, IL Chairman

    Public Policy Action Tea

    Our major focus, by fa

    year was the farm bill

    of the complex comp

    and nuances that go a

    it. We have been succ

    in moving the bar and

    incorporating reform

    several versions and w

    continue fighting for

    as the bill progresses.

    has been an incredible

    agriculture, and the in

    is more dynamic than

    decade ago. This mak

    reforming crop safety

    and risk management

    important to current a

    future corn growers.

    FARM & RURAL DEVELOPMENT

    National Corn Growers Association Annual Report 2007 8

    NCGA supports a state-based revenue protection program so producers would have access to higher levels of

    farm level crop insurance coverage at a lower cost. In an era of increased demand for corn and other feed

    grains, revenue-based programs target support more efficiently than current programs.

    Numerous visits to Capitol Hill by NCGA members and staff helped turn the tide and build support for NCGAs

    proposals, many of which were adopted in drafts throughout several components of the farm bill.

    repared to go the distance.

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    The future of corn growing is one of

    reduced fertilizer use, increased drought

    tolerance, increased ethanol production,

    improved nutritional quality and built-in

    insect and disease tolerance. The future

    of corn, therefore, is written in the plants genetic

    code. Understanding that code, and how to use

    that knowledge, requires research if we are ever

    to take advantage of all the inherent possibilities

    of corn.

    NCGA supports this important research, with the

    ultimate goal to identify all the genes and biological

    mechanisms in the corn plant that can have a

    major impact on how corn is grown and used.

    This is why NCGA supported genome research a

    decade ago, helping create the National Plant

    Genome Initiative in 1998. The corn genome

    sequence is now more than two-thirds complete,

    and has led to the kind of data corn researchers

    need to develop new technologies, including

    drought-tolerant and nitrogen-efficient corn.

    It is important to create a pipeline between basic

    research, like sequencing the corn genome, and

    product development. NCGA supports efforts to

    promote a phenotypic library, a guide to how

    each genes characteristics are expressed in the

    corn plant, which can help achieve this goal.

    A key, of course, is funding, which is why NCGA

    fought to strengthen the research title in the 2007

    farm bill and raise research dollars through the

    National Plant Genome Initiative. Its also vital to

    keep funding focused on key agriculture crops.

    Other potential lies within corn processing

    technologies. NCGA supports more research on

    advanced corn processing, which could allow corn

    to be processed into new, industrial products.

    NCGA is developing technologies to make chemicals

    from corn, including petroleum-replacing esters,

    amines, glycoethers and epoxides.

    NCGA hailed the first shipments of a corn-based

    polymer, Bio-PDO, from a joint venture between

    DuPont and Tate & Lyle in Tennessee. Meanwhile,

    Metabolix and ADM are building a commercial

    facility in Iowa to manufacture corn-based Natural

    Plastic beginning in 2008 and NatureWorks LLC

    in Nebraska has seen great success marketing

    corn-based PLA. All of these products expand the

    use of corn and serve as raw materials for a varietyof products, many of which replace comparable

    petroleum-based products.

    ROUND

    5

    NCGA partners with researchers looking for ways to reduce aflatoxin in corn. The Southeast Regional Aflatoxin

    Test program is a multi-organization, multi-state evaluation of the most promising germplasm from several

    research groups. Some genetic strains show lower levels of contaminationbut the most promising research

    areas include inoculating corn with a strain of aflatoxin that does not produce harmful toxins.

    NCGA is working with the Department of Energy and Land Grant institutions to develop the next generation

    of biobased products. These products serve the public by offering petrochemical replacements, reduced

    greenhouse gasses and diverse revenue streams for the growing ethanol industry.

    In 2008, sequencing of the corn genome will be complete. This marks a major milestone in understanding corn

    genetics and accelerating new products for producers and consumers. NCGAs goal is to keep this momentum

    going by encouraging robust research programs aimed at understanding the function of all genes in corn,

    unlocking new potential for what has become the primary domestic food, feed and fuel crop.

    m Johnsond, IA Chairwoman,

    arch & Business

    elopment Action Team

    are committed and diligent

    ur work, cooperating with

    ic and private researchers

    nd ways to further

    ance corn production

    corn products. Whether

    a search for aflatoxin

    tant hybrids, petroleum

    acements or uncovering

    secrets of the corn

    ome, research remains

    ntegral component in

    future of our industry.

    RESEARCH & BUSINESS DEVELOPMENT

    9

    In this fight, there

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    Trade issues directly affect many corn

    growers priorities. Knowing this, NCGA

    makes certain corn growers are in the

    ring when policymakers discuss not only

    global trade, but our trade interests and

    their implications for biotechnology, farm policy,

    transportation and technical barriers to trade.

    NCGAs Joint Trade Policy A-Team, which includes

    representatives from the U.S. Grains Council, works

    to increase congressional support for our trade

    agenda and educate growers about export markets.

    In 2007, Canada and Brazil began challenges at the

    World Trade Organization, alleging that the United

    States had exceeded limits for trade-distorting

    subsidies. Initially, Canada included a serious

    prejudice claim specifically against corn. NCGAdisagreed with this claim and we were pleased

    that our northern neighbor re-evaluated that part

    of the claim. Our position is clear: The United

    States is in compliance with our WTO obligations.

    Although Brazil filed its request separately from

    Canada, the two cases will likely be combined.

    While the cases seem to have been brought to

    influence the U.S.s final agricultural offer in the

    ongoing Doha Round of WTO negotiations or

    the 2007 farm bill, it is doubtful that they will

    seriously impact either.

    NCGA continues monitoring the WTO Doha

    Round of trade talks. We remain supportive of

    continued efforts within the Round to achieve an

    important net gain for American farmers and

    ranchers. The current U.S. negotiating position

    reflects a $13 billion to $17 billion range on

    spending for domestic support. Work remains on

    issues such as the treatment of Sensitive Products,

    Special Products and the design of a Special

    Safeguard Mechanism.

    Further, NCGA has always supported free trade

    agreements with individual nations and entire

    geographic regions. Corn growers and NCGA

    supported the Peru Free Trade Agreement. Removing

    trade barriers between the United States and Peru

    will create new export opportunities for corn

    growers by allowing the United States to compete

    on a level playing field with Perus other trading

    partners. During the 2005-06 marketing year, the

    United States exported 250,000 metric tons of

    corn to Peru. The trade agreement reduces tariffs

    on United States corn and phases them out

    completely over 12 years. It also opens the market

    for distillers dried grains, as this value-added productfaces no tariffs.

    ROUND

    6

    TRADE

    National Corn Growers Association Annual Report 2007 10

    no neutral corner.

    Bob BowmanDeWitt, IA Chairman,

    Joint Trade Policy Actio

    In fiscal 2007, the Tra

    Public Policy Action Te

    worked together to e

    issues surrounding tra

    U.S. farm bill policy. Q

    simply, we do not tak

    trade obligations light

    are committed to sup

    farm policy that is firs

    foremost good for co

    growers, but also con

    to decrease the likelih

    a costly legal challeng

    the WTO.

    Final approval of a Free Trade Agreement with Peru benefits U.S. corn growers directly through bulk corn

    exports and indirectly through increased meat exports. In fact, increased meat exports should increase the

    value of corn by one half-cent per bushel, while direct corn exports should increase the value 1 cent per bushel.

    Many trade policy goals are still on the table, including agreements with Colombia, Panama and Korea. NCGA

    will continue its support for these bilateral agreements, which provide opportunities through increased exports

    of bulk corn, meat, distillers dried grains and other value-added corn products.

    NCGA continues to monitor the WTO case being brought by Canada and Brazil against U.S. commodities, and

    stress that we believe the United States to be in full compliance with its trade commitments.

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    In 2007, NCGA celebrated five decades

    of creating markets and expanding

    opportunities for its growers, and focused

    on expanding membership for the dynamic

    grassroots organization. That growth,

    from a few hundred growers in nine Midwestern

    states to a vibrant association of more than

    32,000 corn producers in 48 states and Canada,

    continues today. In 2007, NCGA welcomed the

    Alabama Wheat and Feed Grains Commission as

    an affiliated checkoff organization.

    NCGA has recognized several individuals who were

    champs when it came to bringing new growers

    on board. The tireless efforts of Richard Harer of

    Ohio, Gayle Bergstrom of Minnesota and Barbara

    Fulcher-Reynolds of Kentucky were recognized at

    Commodity Classic in Tampa, Fla. All were namedto the Recruiter Hall of Fame for their efforts in

    growing NCGA and spreading its message to

    hundreds of growers.

    To keep growing, NCGA launched its most

    aggressive membership drive ever during its 50th

    anniversary year. Growers, recruiters and state

    affiliate recruiters each had the opportunity to win

    one years use of an E-85 flexible fuel vehicle

    along with other incentives. Winners will be

    announced in early 2008. Grants were offered

    to state organizations to help with recruiting

    functions. NCGAs membership program is

    sponsored by the seed brands of Syngenta Seeds

    and Agrisure traits.

    The Grower Resource & Association Information

    Network System (GRAINS), a major undertaking

    that advances the online capabilities and services

    of NCGA for its members, is nearing completion.

    GRAINS is an all encompassing module that will

    allow members to take care of their memberships,

    register for meetings and other activities all

    online, while state associations can use it as a

    central depository to share membership materials

    and coordinate meetings.

    ROUND

    7

    MEMBERSHIP

    11

    NCGAs 50th anniversary quilt was displayed at meetings throughout the year and quickly became a popular

    attraction. Representing all things corn and bordered by each state organization, the quilt is displayed at

    NCGAs national headquarters in St. Louis. A few surprise showings may occur throughout 2008, including at

    the 2008 Commodity Classic, where it will return due to popular demand.

    The grassroots heritage that NCGA was founded upon is as evident today as it was 50 years ago. Membership

    is growing, the association continuously evolves and it holds true to founder Walter Goeppingers notion that

    NCGA should further the use of corn through research, market development and promotion.

    NCGA told the powerful story of its members to the media in the form of letters, opinion pieces, radio broadcasts,

    news items, publications and white papers. We also continued to proudly promote Americas Heartland, a

    magazine-style television program airing on public television stations and RFD-TV. Sponsored by Monsanto and

    the American Farm Bureau, this worthwhile programming tells the stories of Americas agriculture producers.

    A tough combination to bea

    tt Gibsonocco, IN Chairman,

    wer Services Action Team

    a number of years, NCGA

    posted annual membership

    s above the association

    munitys average. This

    tical since membership

    e lifeblood upon which

    farmer-led organization

    founded, and a strong

    sroots is what makes corn

    wers successful in each

    e and on Capitol Hill.

    rong membership base

    ps NCGA ahead of the

    k. We wont rest on

    aurels. Instead, we will

    inue to adapt as

    culture changes and

    p moving forward.

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    ALLOCATION OF EXPENSES

    National Corn Growers Association Annual Report 2007 12

    Through state checkoff programs, corn

    growers are investing in themselves to

    maximize market opportunities and

    protect their future. NCGA recognizes

    the importance of its role as a steward

    of your checkoff dollars and is

    unwavering in its efforts to ensure that growers

    get the best return possible on their investment.

    We understand our responsibility in delivering

    value for corn growers and carefully leverage your

    contributions. NCGAs checkoff-funded initiatives

    have stimulated significant advancements in

    ethanol, biotechnology, farm and rural development,

    research and business development, production

    and stewardship and trade.

    The future of the corn industry depends on yourcontinued support of the checkoff program. As

    NCGA continues to grow, we will never lose sight

    of the fact that our strength comes from investing

    your checkoff contributions wisely.

    ROUND

    8

    TOTAL REVENUE FY 2007

    Program Services

    18%

    82%

    Administration

    ALLOCATION OF PROGRAMEXPENSES, FY 2007

    State Regulations/Meetings 1%

    Trade 3%

    Resolutions/Policy/Corn Congress 5%

    NCGA Commodity Classic 6%

    Biotech Working Group 7%

    Ethanol 7%

    Corn Board & Funding 10%

    Public Policy 10%

    Research & BusinessDevelopment 16%

    Grower Services 14%

    Production & Stewardship 12%

    Communications 10%

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    SOURCES OF REVENUE

    Continuing to fight the good fight

    13

    State checkoff programs provide a majority of the funding that allows NCGA to stay in the ring, delivering

    results for corn growers. It is important, though, to acknowledge the agribusiness and industry partners in

    our corner. These groups provide generous support for programs and events that are valuable to all growers.

    Their backing helps NCGA stay focused on the mission at handcreating and increasing opportunities

    for corn growers.

    NCGA and its members would like to express our appreciation to all our agribusiness and industry

    partners. These organizations and individuals allowed the National Corn Yield Contest, membership

    programs, leadership training activities, Commodity Classic and other programs to triumph once again.

    Their investments, which go well beyond financial support, helped make 2007 a rousing success.

    SOURCES OF REVENUE FY 2007 BUDGET

    Industry 11%

    Corn Yield Contest 7%

    Membership 7%

    Commodity Classic 3%

    Interest 1%

    Government Grants 2%

    Checkoff Revenue 69%

    In 2007, corn growers drew all the attention of a championship bout.

    Amid the criticisms and concerns lobbed from several corners, growers

    stayed on message, defending ethanol and corn production, and delivered

    a crop that not only met demand but built stocks, too.

    At the same time, corn growers saw success in Washington, where they

    changed attitudes about the farm bill and helped pass the Water Resources

    Development Act. Favorable energy legislation followed. Corn grower

    visits to our nations capital and an active communications campaign

    are a powerful one-two grassroots punch.

    Future success, however, is not assured, which is why NCGAs grower leaders continue their

    commitment and hard work. With their direction and your continued investment, we will

    be prepared for whatever lies ahead, helping ensure golden opportunities for every grower.

    Rick Tolman

    NCGA CEO

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    Respondingto the challenge.

    National Headquarters 632 Cepi Drive Chesterfield, MO 63005 636.733.9004Washington, D.C. Office 122 C St. NW, #510 Washington, DC 20001 202.628.7001

    The National Corn Growers Association (NCGA) is the largestnational nonprofit organization representing the interests of U.S.corn growers. Through the checkoff investments of corn producersnationwide and the commitment of dedicated grower leaders, NCGAis redefining the role of corn in the worlds future through research,market development, public policy, production and education.

    You can join more than 32,000 corn growers involved in NCGA byconnecting with one of the 48 state corn organizations across the nation.With your help, we can continue the remarkable achievements of Americascorn industryand reenergize the future for U.S. corn growers.

    Visit www.ncga.com for more details and updates on the corn industry.

    2008 National Corn Growers Association