WASHINGTON, D.C. - An in dependent economic study con cludes that the United States cannot subject its domestic sweetener industry to the turbulent world sugar market without risking severe and permanent damage to American producers. The study, conducted by Economic Perspectives, Inc. (EPI) of McLean, Va., was commissioned by the Corn Refiners Association, Inc. to examine the effects of the U.S. sugar program. The sugar program contained in the 1981 farm bill, which expires this year, prevents subsidized foreign sugar from displacing domestic sugar and com sweeteners in the U.S. market. Robert C. Liebenow, president of the Com Refiners Association, said that “without a domestic sugar program, U.S. sweetener producers would be quickly driven from the market, making this country primarily dependent on foreign suppliers.” Liebenow noted that the EPI study projects that, in the absence of the current sugar program, the U.S. would have had to depend on foreign sources for approximately 60 percent of its sweetener supply. Currently about 80 percent of U.S. sweetener use is supplied by domestic production of sugar and com sweeteners. Liebenow noted that the world price for sugar has been driven far SAVE ** N * % * % * x T' > * _ til " Roller Hr,-4 j’^K? 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Lloyd Sultebaugh, Camp Hill, PA. Swope and Bashore, Inc., Myers town, PA Tam Agrl Corp., Dlllsburg, PA l/nlontown Farm Equipment, Unlontown, PA Arnett’s Garage, Hagerstown. MD P t S Equipment, Inc., Street, MD ieorge Heath 717-737-0002 Chester Ingram 814-383-2798 Study documents need for U.S. sugar program below the cost of production by foreign government subsidies, and that refined sugar is currently selling in the world market for around one-quarter of its cost of production. “If there had been no sugar program in the 1981 farm bill, it would have resulted in a loss of around $11.5 billion to the U.S. economy,” Liebenow said. According to the EPI study, U.S. sugar revenues would have dropped $6.1 billion; high fructose com syrup revenues would have been down $3.5 billion; com producers would have lost $9OO million; and the U.S. government would have to had spend an ad ditional $1.5 billion in price sup ports for corn from 1981 to 1985. Such a large increase in grain support costs would bring ad ditional pressure to reduce the costs of the grain program, ac cording to Liebenow. The EPI study examines the impacts of the 1981 sugar program in the coontext of industry trends over the past 15 years. It compares sweetener industry performance since 1981 with trends that could reasonably have been expected in the program’s absence. Major conclusions of the sutdy are: • If foreign subsidies had not distorted the world sugar market since 1981, the U.S. sugar program would have had relatively little impact on sugar producers. Its ' MARYLAND TOLL FREE: 1-800437-5200 Ask for Operator 104 IN MD: 1-800438-8890 Ask For Operator 104 WASHINGTON A bacterium in the soil may become a natural fungicide against rust fungus that causes bean crop losses of up to $250 million a year, a U.S. Department of Agriculture scientist said. C. Jacyn Baker, a plant pathologist in USDA’s Agricultural Research Service, said that in field tests the bacterium Bacillus subtilis controlled seven of the major types of rust. He said the bacterium holds promise of con trolling all 28 fungus types that cause rust disease on fresh and dry beans. “Bean rust may be the most changeable fungus in America.” 717-274-5333 814-258-8381 215-258-7584 215-273-3131 717-388-1391 215-367-2189 7X7-778-3129 717-784-0494 215-889-9440 814-237-3141 717-729-7177 717-837-2214 717-887-7574 717-359-5883 717-538-5521 717-284-9588 717-283-8424 717-737-4554 717-933-4138 717-432-9738 412-437-9851 301-733-0515 301-452-8521 LOUCKS V GRAIN EQUIPMENT, INC. primary role would have been to guard against potentially damaging price swings caused by variations in weather and yields. * World economic and political trends indicate that the factors which have caused worldwide depression in sugar prices are ( STIHL® MODEL SG-17 MISTBLOWER I A multi-purpose I power tool which I Blows, Ousts, & Sprays ) I liquids and dry I I chemicals, to I I and elumnate weeds I Complete tobacco, I worm and sucker I control - covers leaf over and under I Complete fly insect control barns ■ ■ Umited Tune _ * OUTLASTS THEM ALL WES STAUFFER ENGINES & EQUIP. 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According to Baker, almost every time a resistant bean is developed for one type of rust, another type seems to adapt to the plant resistance. Baker and pathologist J. Rennie Stavely screened bacteria at the Beltsville, Md., Agricultural Research Center. They found that B. subtilis is initially 60 to 70 percent effective in keeping spores of the rust fungus from infecting bean leaves. “We only get that level of control if we spray the plants every few days, which is expensive,” Baker said. The bacterium stops working either because it cannot spread to the environment nev lopvoss competition among sweeteners. High fructose com syrup has gained an increasing share of the U.S. market because of production cost advantages. However, even high fnif’*"™ com syrup producers could u competition with current world su 0 «» r prices breaks it down. As a first step toward over coming this problem, Baker isolated the ingredient from the bacterium that prevents the spores from germinating. He has started testing combinations of the ingredient and chemicals for a potential “rust-icide.” “We want a natural fungicide that will move around on bean leaves and be more stable in the environment,” he said. Baker may also explore the possibility of using genetic engineering to make a rust controlling bacterium that will thrive and spread on bean leaves. '' liijira ■■■l4 1978 RD #l2 Box 307 York, PA 17406 (717) 755-2868
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