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Show UTAH FARM BUREAU Page 6 February, 1966 NEWS Pol. Ed School Officials Agri-Busine- ss Farm Bureaus Agricultural Political Education Schools which Point to Greater Food have been held in a number of areas have received a good of critical acclaim. The a-m- Market For World Hungry Two authorities spoke recently on the need for expanding our food production to provide for the worlds hungry. Robert C. Liebenow, President of the Corn Industries Research Foundation, Inc., of Washington D.C., today critlziced the Government for being slow to recognize the need for more farm production to help meet the world food deficit and urged the planting of additional acreage for both this year and for 1967. He advocated the planting of two million more acres of corn and three million acres of soybeans in 1966f and seven million more acres of wheat and six million acres of soybeans in 1967, supplemented by five million acres of corn and two million acres of grain sorghums. The world food situation is so bad, he said, that we simply cannot afford to take chances. If we had droughts like those which seared the country in 1934 and 1936 we would truly regret our shortsightedness. Not only would we be unable to meet emergencies like the one we are helping with in India, but the resultant shortages would send our own food prices soaring and there would be no effective way to hold them oad down. The Foundation president said farm planning had been dominated for years by the thought that acre- ages had to be cut back in an effort to get rid of burdensome surpluses. While the farm bill which passed last year was being considered, be asserted, there were clear indications that a policy change was in order and that it should come quickly. Yet, he pointed out, the bill finally approved continued, and in some cases intensified, the acreage reduction In addition, the bill approach. a new Cropland Adfor provided justment Program which authorized the taking of 40 million acres permanently out of cultivation over a period of from five to ten years. ' American Farm Bureau Federation administrators Government new medicare the program running are having trouble getting old folks to sign up before the March 31 This must be very deadline. embarrassing to the politicians and bureaucrats who have long contended that the people and especially the old folks were demanding the medicare program. Computers Can Provide Farm L. H. Pomeroy, vice president of marketing of Massey-FergusInc. said Helping to feed the world's expanding population could lead to vastly increased opportunities of international trade and become a key to the future growth of the American economy. Mr. Pomeroy noted that, if we are to assist in feeding the worlds hungry and to find the time to permit them to establish even the most primitive of economies so that they may feed themselves, the American farmer may well have to double his present export output in the next 10 to 15 years. However, he said, providing food for the hungry world would be only a short term solution to the problem. The ultimate solution would have to be programs of education and assistance to permit the needy countries to build sound agricultural economies. In fulfilling this Important need, ther will be demands for capital for roads, housing, water and power, shcools, credit, fertilizers, pesticides and the many elements of a rural economy that we take for granted, ' be explained. on Reluctant Medicare Clients by Creston J. Foster, News Director Mrs. Haven Smith spoke to the group on the role of Farm Bureau Women in politics. Latest move to sell the program to reluctant eligibles is a thing Under called medicare alert. this project, a crew of medicare promoters will make house calls in communities as part of a crash signup promotion. It is apparent that the government lacks the club of economic persuasion in the voluntary medicare program that is used in signing up participants in the farm provoluntary so-cal- led grams. meeting held in Salt Lake City February 9th and 10th, saw more than 160 in attendance from Utah, California, Idaho, Wyoming, and AFBF Secretary -Colorado. Treasurer, Roger Fleming, AFBF Program Development Director, T. C. Peterson, AFBF Womens Chairman, Mrs. Haven Smith, AFBF Fieldmen F. W. Castello and Leonard Johnson and other staff people put together an outstanding program of instruction which was enjoyed thoroughly by those in 'Brain' Power How'd you like to have a com- Some of the participants at the school. Utah puter at your disposal? State University Extension Economist Lloyd A. Clement is asking farmers, and rancers that question. He explains, A computer is useful simply because it can perform hundreds and thousands of mathematical calculations in a fraction of the time it would take the brightest mathematician to do them on paper. Its potential use to you as an individual farmer is to combine all the facts and figures about your business, then come up with the most profitable production alternatives and management practices. For example, the computer analysis of your operation might disclose that you would make more from existing land and capital by changing your crop and livestock organization or by changing your use of fertilizers and machinery. Roger Fleming lakes a bow after one of his famous stories, while C Peterson, right; applaud. Mrs. Smith, left and T. One of the arguments being used to push people into the medicare program is the warning that if they dont signup by March 31, they wont have another chance to do so for two years. This is not nearly as strong a compulsion as is used on farmers who are threatened with lower farm income government through dumping of surpluses at pricewrecking levels to force them into the feed grain and wheat programs. It may also be that many feel that the medicare program falls far short of the extragavant promises made by President Johnson when he was running for election. such a tool for farm figuring, he says, is not farfetched an idea or as far away as it may seem. Computers are Using already widely used by many industries and agriculture is learning to make good use of them on a selected basis. This disillusionment with the Great Society which is cropping up in many places, is generally referred to as the credibility This is a polite way of gap. saying that people don't believe all that the Administration tells them. Professor Clement points out that in order to come up with the most profitable alternatives for a given farm operation, the computer must be given a wide range of detailed information. Specialists who have been trained in computer programming set this information up in a special way. Some of the details that would be the computer include given technical information developed by scientists on crop variations, crop response to fertilizers and chemicals, effects of different feeds and feeding rates on weight gains by for processing, means that the livestock, and so on. potato futures market is highly In analyzing your Individual farm speculative in character. While there has been a considerable inenterprises, the information given crease in the use of potatoes for to the computer could Include the food processing in recent years following items: the amount of this is less true in Maine than time you have to devote to farming, in other areas of the country. the amount of hired labor you can use and its cost per hour, the (4) Potato futures price movements which cannot be justified cost of other Inputs feed, seed, by supply and demand factors and fertilizer, feeder livestock, and which are the result of speculathe like the prices of 'the tion have a serious effect on the commodities you produce, the orderly marketing of potatoes. amount of land and cropland From the potato producers point available for production, soil of view, the type of future price moisture, nutrient level of soils, movement which delays cash purand so on. ck In a general chases or creates cash market farm to the contributes computer could help operation instability nothing find the most profitable acreage orderly marketing. We do not think it serves the of each crop to be planted, the plant interests of potato producers population to be attained and the or the cause of futures trading rates of fertilizer application and to perpetuate an un- pesticide treatment to use. In generally workable program of futures tradaddition, it could reveal the numin a and type of livestock to raise ber ing perishable crop, especor one of when involves it only buy and the most profitable ially Mcto feed them, the extenthe prduclng areas, rations Mr. noted. sion economist said. lntire AFBF Proposes Legislation Prohibiting Futures Trading with Potato Market D.C., Feb. 3 The American Farm Bureau Federation today indicated its support for proposed legislation to prohibit trading in potato futures on commodity exchanges. In a statement prepared for presentation at a House Agriculture Subcommittee hearing, Smith Mclntire of Perham, Maine, speaking for the nation's largest general farm organization, said that while futures trading plays a valuable role in agricultural marketing, it Is a detriment in the case of potatoes. Farm Bureau is a believer in Mr. the market price system, If" we thought Mclntire said. our recommendation for action WASHINGTON, on potatoes would seriously jeopardize the continued use of futures trading on other crops where it serves well the interests of farmers, we would not support legislation to eliminate trading on potatoes. futures The Maine potato grower indicated that the Farm Bureau has sought for 10 years to end potato futures trading and that the organization in 1957 supported passage of legislation to prohibit futures trading in onions. We do not believe that onions and potatoes lend themselves to sound futures trading, Mr. Mclntire said. The futures market performs a valuable role for wheat, corn, and other storable commodities since hedging provides price risk insurance on stocks that are held for processing or carried over from one crop year to the next. These commodities are quite different from onions and potatoes commodities which, having only limited processing, move from processor to consumer in virtually the same form and are not carried over from year to year. An additional reason for the farm organizations position, he said, is that the volume of both onions and potatoes Involved in futures trading has been relatively small. This has provided the opportunity for sharp price fluctuations and has facilitated price manipulations, he asserted. Mr. Mclntire cited these other arguments in favor of the proposed legislation: (1) While contracts are offered in at least three other potato areas, futures trading in potatoes is confined solely to Maine potatoes. This means that the trading activity is confined to the product of one potato area, which produces about 12 percent of the total crop. Furthermore, within Maine not all the potatoes are eligible for trading. This is a vary narrow basis for trading. (2) The fact that trading is confined to such a small volume Increases the opportunity for rumors and other questionable market information to have an effect on the futures and cash marets. (3) The lack of processing, and the consequent lack of need for hedging to cover the risk of price changes during the time required -- crop-livesto- |
