020—Lancaster Farming, Saturday, April 17,1902
America’s fanners are just too
darn productive for their own
good. That’s all there is to it. They
produce more food than American
consumers need, more even than
can be sold profitably m world
markets. They suffer the con
sequences of their own produc
tivity.
Right now, farmers are going
through a very difficult period with
high costs for inputs and low prices
for outputs. So what’s new about
that? Any fanner with a few years
of experience can look back to
many periods of cost-price squeeze
and difficult tunes. You have to
look a long way to find a tune when
farmers weren’t a little too
productive for their own good.
Sure there have been food
shortages in this country. The
Pilgrims had a problem until the
Indians taught them how to farm.
There were food shortages during
wars and m certain geographical
areas where the lines of supply had
been stretched too far. But, in
general, and especially after the
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Farm
Talk
Jerry Webb
agricultural revolution of the
1800 s, there’s always been enough
to eat. And as far back as most of
us can remember, there'has been
surplus.
For at least the last half-century
farmers have produced more food
than was really needed m this
country. In fact, it took the ex
pansion of world markets to cure
some of the tremendous over
supply problems that plagued
agriculture since the Depression.
Too much gram, too many dairy
products, too much cotton, and on
down the list of agricultural
commodities. Those world
customers have grown steadily
since the end of World War 11 to the
point where they are multibilhon
dollar accounts, to a tune when one
m four U.S. farm acres is
producing for a foreign customer,
to a time when agricultural ex
ports are the shining star in this
nation’s foreign trade program.
And still farmers are plagued
with overproduction. They’re
producing too many hogs and hog
717-397-3721
Since 1928
VISA’
prices are down. They’re
producing too much beef and beef
prices are down. There’s too much
com, soybeans, wheat, mush
rooms, milk, broilers, turkeys
in fact, what agricultural
commodity can you think of that is
in short supply? Except perhaps
the frost-damaged fruits and
vegetables of Florida that we have
grown to expect on a year-round
basis.
I’m not sure what reward far
mers expect for this agricultural
miracle except' a decent standard
of living and a fair return on their
investments. But they’re not
gettmg that. Over the past several
years, a number of farm com
modities have been losers and now
it appears that the biggies of farm
commodities com °oybeans,
beef and pork are all losers at
the same tune. And this is putting
unbearable pressure on many
farmers.
Some observers are predicting
near crisis in some areas of the
country where big-time, seemingly
smart and well-financed farmers
are struggling to meet the
obligations Of another year.
Lending institutions are taking
hard looks at long-time customers
who are slipping further and
further into the hole. The
Department of Agriculture is re
thinking its loan policies through
the Farmers Home Administration
and is encouraging its loan officers
to go the extra mile if there’s any
chance that a farmer can hang on
and eventually become successful.
The nation’s farm debt is at record
proportions and has doubled in the
last five years.
It’s no overstatement to say that
m general fanners are in trouble
and it doesn’t look as though
anything miraculous will happen
to turn it all around. Pork pro
ducers are cutting back on their
outpout slowly, and eventually that
will have some effect. Beef men
are doing the same thing, but it
takes tune. But com and soybean
growers won’t leave ide acres.
They’re set up with big equipment
to farm big acreages and you can
bet the survivors will be right back
out there this spring planting every
possible acre in something. And
you can be sure they’!) grow more
Hallowell on Natl
Advisory Council
HARRISBURG - State
Agriculture Secretary Penrose
Hallowell has been named to the
National Advisory Council on
Rural Development by U.S.
Agriculture Secretary John Block.
The Council held its first meeting
on Wednesday and Thursday m
Washington, D.C.
Block cited Hallowell’s
knowledge and abilities in the
rural development area in making
the appointment. He said, “Your
presence on the Council will
contribute greatly to the successful
completion of its important work.’’
The formation of die Council was
announced in October 1981. Ac
cording to USDA officials, the
Council will assist in identifying
rural problems and supporting
Administration efforts and
initiatives m rural development.
The Council will also provide state,
local and general rural develop
rnor.* <-t-r —f'’ with a forum for
produce than American consumers
will need, perhaps even more than
the world market can buy.
There are some signs of im
provement for 1982. Some leading
economists expect things to get
better late in the year. But barring,
a crop disaster in South America $
Russia or some other big coun
try, American farmers are looking
at pretty dim prospects as they
gear up for the 1982 season.
discussuig important rural issues.
Haliowell said he had accepted
the appointment because its goals
and objectives are m concert with
those of the Thornburgh ad
ministration.
“Economic development has
been a priority in Pennsylvania for
the past three years,” he said.
“And the Pennsylvania
ment of Agriculture has bee.P
focusing its efforts on economic
development of the state’s rural
community.
“The National Advisory Council
on Rural Development will not
only provide us with information
important to coordinating state
and federal programs to benefit
rural Pennsylvania, but will also
give Pennisylvania’s rural
development concerns an op
portunity to have their interests
aired in Washington,” Hallowell
said.