1. © Copyright 2008 Entira Page 1 Alternative Crops Along the Gulf Coast September 30, 2009 Mike Karst Senior Partner

2. © Copyright 2008 Entira Page 2 Agriculture Crop Acres by County If land is not in crop production today, it’s not likely to be in the future Easy alternative crops are e-cane and e-sorghum

3. © Copyright 2008 Entira Page 3 Cattle Concentration by County Pasture land that may look idle is supporting cow calf herds

4. © Copyright 2008 Entira Page 4 Food, Feed, Fiber Value Chain Significant acres of alternative crops for energy must affect existing value chains

5. © Copyright 2008 Entira Page 5 What Growers Need to Produce Any Crop Competitive profitability Sustainable market Risk mitigation tools Capital Landlord approval Government program inclusion Agronomic tools and support Labor

6. © Copyright 2008 Entira Page 6 Risk Mitigation and Capital Risk mitigation tools include crop insurance, marketing tools for crops and potentially federal or state assurances that the crops will be purchased Capital includes operating loans to establish crops and offset revenues lost during perennial crop establishment

7. © Copyright 2008 Entira Page 7 Must Consider Government Programs Programs and grower decisions in flux after changes in 2008 Farm Bill Any alternative crop must not disqualify their base acres Payments vary by program, state, county and individual farm revenue and yield history

8. © Copyright 2008 Entira Page 8 A marketing strategy and business development firm providing fresh and unbiased views of customer needs to agribusiness companies Mike Karst Senior Partner mkarst@entira.net