Dairy Cooperatives and farm
organizations collectively
representing thousands of farmers
in the Northeast have joined
together in a new organization to
“address the key issues facing
dairy farmers.”
The announcement was made by
Clyde E. Rutherford of Otego, NY,
elected chairman of the newly
formed “Northeastern Farm
Policy Council” by representatives
of 13 organizations attending the
initial meeting of the group May 2
USD A To Assist
Fuel Ethanol Industry
WASHINGTON, D.C.-The U.S.
Department of Agriculture will
assist financially distressed fuel
ethanol plants that would other
wise close and jeopardise the
commercial grain market,
Secretary of Agriculture Richard
E. Lyng said today.
The temporary assistance
program began May 10 and will
end Sept. 30. The assistance will be
in the form of Commodity Credit
Corporation commodity cer
tificates, which, said Lyng, “will
lower feedstock costs and permit
the industry to survive until new
crop grain becomes available.”
Lyng said the alcohol fuel in
dustry petitioned USDA to take
this action, which is authorized
under the Food Security Act of
1985. The act permits CCC com
modities to be made available free,
or at reduced cost, to encourage
their purchase for fuel production
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Farm Policy Council Formed By Ag Groups
in Syracuse. William Zuber of
Churchville, NY was elected vice
chairman.
The Council is an outgrowth of
the 1985 Northeast Farm Bill
Committee which was active for
two years prior to the passage of
the 1965 Food Security Act.
Members of Congress have
credited the Committee with
exerting persuasive effort to get
included in the law provisions
which deal fairly and humanely
in a manner that will not displace
normal commercial purchases.
“In 1986 energy prices dropped
by more than half, yet grain
feedstock prices held relatively
stable because of government
commodity programs, ’’ said Lyng.
“The alcohol fuels industry has no
prospects for relief until grain
prices fall as commodity programs
change with the new crops in
September.”
Eligible ethanol producers will
earn CCC commodity certificates
by furnishing proof to the cor
poration that grain was removed
from the market and processed
into ethanol by Sept. 30. For every
2-1/2 bushels of grain removed
from the market, producers will
earn the market value of 1 bushel
of CCC-owned grain.
According to Lyng, the industry
provided a market for about 250
million bushels of grain in 1985.
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with the problems of diary far
mers.
“It is tt)e desire of the
cooperatives and general farm
organizations of the Northeast that
we continue this dialogue and
policy review,” said Rutherford.
ioy
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Organizations represented at the
organization meeting of the
Council were: Agri-Mark, Agway,
Allied Federated Cooperatives,
Dairylea Cooperative, Eastern
Milk Producers Cooperative,
Eastern A.1.C., Erie County Milk
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