16—Lancaster Farming, Saturday, July 21,1979
A executive
WASHINGTON, D.C. exporting nations can to these fluctuations. For
Speaking for the National maintain prices above example, the 1974 corn crop
Gram and Feed Association, economically justified levels fell nearly 25 percent below
a Cargill executive recently are wrong,” said the previous crop while last
told two congressional Kohlmeyer. “A comparison year’s com crop jumped
subcommittees that the of world grain and more than 10 percent,
association is strongly op- petroleum markets shows “To keep prices and
posed to a bill that would why. supplies steady in the face of
make the government the “The Organization of such production fluctuations
sole agent for export gram Petroleum Exporting would prove unacceptably
sales. Countries (OPEC) controls expensive. Acquiring enough
Robert Kohlmeyer, a more than half of world oil com to offset the 1974
member of the NGFA’s output. The leading gram- shortfall, for example, would
International Trade Com- exporting nations control cost $3 billion at today’s
mittee, said the bill (H.R. less than one-fifth of world prices, with annual carrying
4237), which would create a gram and rice output. costs of $5OO-$6OO million ”
national gram board, is “Oil is a deplelable Such an approach,
“unnecessary, unworkable resource of limited supply Kohlmeyer concluded, was
and self defeating. It will stored easily and cheaply m ‘‘rejected nearly two
not, m our view, contribute the ground. Gram is a decades ago because the
to a stronger agriculture, renewable resource It can costs of supply management
and we urge its defeat.” be grown m virtually all were spiraling out of sight.
He testified before a jomt nations. And, at today’s Today, those costs would be
hearing of the House interest rates, annual much greater and the task
Agriculture Committee’s storage costs approach 20 more complex.”
Livestock and Grains percent of the gram’s farm- Kohlmeyer reminded the
Subcommittee and gatevalue. subcommittee members that
Department Investigations “So, while OPEC can the current hearmgs are not
Oversight and Research control world oil output by the first to be held on the
Subcommittee. cutting back its production, concept of a national gram
Kohlmeyer, a senior gram exporting nations can’t board. It was argued just 31£
merchant of Cargill, said the effectively control world years ago that a national
assumptions underlying the gram supplies. The inability gram board would do a
bill are wrong and that it to control output destroys better job than the current
cannot achieve its goals for the potential to control system of private marketing
either export pricing or prices.” with governmental oversight
domestic marketing. Equally unworkable, said and support.
The bill is sponsored by Kohlmeyer, is H.R. 4237’s “Less is heard of such
Rep. James Weaver, D-Ore. stated domestic market goal arguments today,” the
He challenged the premise “to provide price and Cargill executive said,
from backers of H.R. 4237 supply stability in domestic “perhaps because the
that it would enable the markets.” evidence smee 1975 has
United States to raise prices “Crops fluctuate from one confirmed the performance
of its exported grams. year to the next,” capabilities of the present
“Proponents who believe Kohlmeyer said. “The system. A review of the
that the major grain- Umted States is not immune record of the private system
shows, said Kohlmeyer,
Horse judging tZ
2.7 billion bushels m 1974/75
. I to about 4.2 billion bushels
teams rated this year
•Tlie United States has
READING - Over 30 4-H Team placing*, weie iTom established and stocked a
members from seven first to fifth: York, Berks, J" reserve ° f
counties recently oar- Cumberland, Lebanon and about 35 muhon tons,
counties recently par *New arran g emen ts have
mdmdual wmners been estabbshed to protect
Five classes of horses were from first to tenth Lon , hkeThe
including Appalossa, Reiner, Berks, Tom n b n^nn 1 lk th
Morgans and Quarter Sweeney, Berks; Michelle n : .
Horses were judged. Official Swavely, Berks Ann
Judee was Dave Steieerwalt Lansberry, Lebanon, Deu , =>erveu uy ms piivaie
from Fleetwood Lynette Brown. York, Beth marketing system than have
Kirkpatrick, Franklin; Lisa farmers with state trading
Top ten seniors were from Naples, Bwks, Michelle oa " he incentlves of a
Sneer York- Chery" Sh, bSSSnd Brel P™te marketmg system
Clavmn Berks Jean Miller, Lebanon. have encouraged moder
uiayion, series, jean R . r . „_ n th „ mzation in gram storage,
Pierce, Lebanon; Donna Beiks County won the , ~ an d mansnortation
Fpnyn Delaware Wrpn Junior Team title Members handling ana -cansponauon
Tenzo, Delaware, wren Rpmert Kut?- facilities unmatched in any
Rodel, Bucks; Sharon Kelly, were "° n Ke mert, utz state-board system”
Cumberland- Kelly Preston town ; Lori Sweeney, Oley, f tate Doara system
uumoeriana, iveuy rresion, Miehellp Swavelv Kohlmeyer said “For
York, Sandy Fatzmger, Michelle bwaveiy, . whlle us erain
Cumberland Jill Kreidler Barto, Lebanon County had example, wnue u a gram
Cumberland, Jin iu-eiaier, _ nlapp j lininr exports rose 50 peicent,
York; and Donna High, J“L, second place Junior Canadian exports have
Franklin stagnated, snarled in
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—
Cargill executive opposes national grain board
transportation shortages true, the private marketing
that Canadian fan , ' ' system gets US. farmers
now have to pay $B5 rrullimi better prices for their
to help unwind through gram crops,” said Kohlmeyer. He
hopper-car purchases.” cited a study by North
Because of private Dakota State University
marketing, the U.S share of showing that North Dakota
world gram exports has farmers on average received
risen from less than 40 32 cents per bushel more for
percent to about 55 percent their wheat between 1973 and
over the last 20 years, 1975 than did Manitoba
Kohlmeyer said, adding that farmers,
market shares of state- “In other words,” said
trading competitors have Kohlmeyer, ‘‘the current
declined m the same period balance between public and
“Less obvious but equally private roles works well. It
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