A3B-Lancaster Farming, Saturday, December 22, 1990
RCMA To Petition New York For
SYRACUSE, N.Y. The
Regional Cooperative Marketing
Agency (RCMA)’s proposals to
bolster falling milk prices for far
mers were discussed during the
agency’s annual meeting on
December 7.
President William G. Zuber, a
dairy farmer from Churchville,
N.Y., told the approximately 130
delegates and directors that
RCMA is working on two fronts
to create an economic safety net
for dairy farmers.
“The federal government,
which used to provide the milk
producers’ safety net through its
support price, has continually
lowered that support price until it
is below what farmers need in
order to stay in business,” Zuber
said. The 1990 Farm Bill set the
nationwide support price at
$lO.lO per hundred pounds of
milk.
“As farmers have watched that
former source of security continu
ally erode, it has become clearer
than ever that we must act
ourselves in order to protect our
livelihood. That is what the cur
rent RCMA proposal will do,” he
added.
RCMA, with 22,000 dairy
farmer members in the II North
eastern states, is preparing to file a
petition under New York State’s
Rogers-Alien Law. The petition
will ask Richard McGuire, com
missioner of Agriculture and
Markets, to set minimum prices in
New York State for both Class I
milk, which is used for fluid con
sumption, and Class II milk,
which is used for making dairy
products such as cheese, ice cream
and butler.
An RCMA task force has been
formed to work with the organiza
tion’s lawyer to draft the petition,
which is expected to be filed early
in January. The commissioner
would then call a hearing to con
sider the merits of the petition, and
then could issue an order estab
lishing minimum prices in New
York State.
At the same time, RCMA is try
ing to implement its own plan for
premiums by negotiating with
milk handlers across the North
east, Zuber said. RCMA proposes
to establish target milk prices on
all milk using the Minnesota-
Wisconsin price as its basis. When
the Minnesota-Wisconsin price
drops below the target price,
RCMA premiums would trigger
in, making up the difference. The
opposite is also true; when the
STRIKE
IT
RICH!
SELL
IT
WITH
A
LANCASTER
FARMING
CLASSIFIED
Minncsota-Wisconsin price rises
above the target price, the prop
osed premiums would end.
The Minnesota-Wisconsin
price has dropped about $S since
December 1989, which means a
significant reduction in farmers’
incomes. Economists are predict
ing milk prices will remain
depressed throughout 1991.
“Dairy farmers need a proposal
like this in order to stay in busi
ness,” Zuber said. “Without such a
program, we will again see the
large number of dairy auctions
that we witnessed in the mid
1980 s. If that happens, milk hand
lers will lose important sources of
local milk, and the market will
return to the economic chaos we
experienced in the last 12 months.
“Consumers will also be the
losers,” he added, “because they
will lose parts of their supply of
fresh, locally produced milk. And,
STRONGSVILLE. OH.
How strong is the Ohio dairy
industry? Can regional competi
tion spell trouble for Ohio’s dairy
producers? These and other topics
will lead off the annual meeting
and joint seminar of the Ohio
Dairy Farmers Federation (ODFF).
and The Ohur State University
(OSU), Jan, .7-8, 1991.
The meeting will be field at the
Stouffer Dublin Hotel, Dublin,
4 i ’
u-2- •
GOLDEN LEAF
W TOBACCO CO. INC. W
NOWHERE IN LANCASTER CO. ARE TOBACCO GROWERS RECEIVING MORE
TAKE HOME PAY FOR THEIR TOBACCO.
On Dec. 20, 1990, Golden Leaf Tobacco Co. was paying $1.76 per lb.
tobacco.
We will receive tobacco at our buying station Thurs., Dec. 27 and Fri., Dec. 28,
1990. Beginning on Jan. 2, 1991 we will be open from 8 a.m. to 4 p.m. Monday
thru Friday.
We are located in Martin’s Sales Bam, 2 miles east of Intercourse at the inter
section of Rt. 340 & New Holland Rd.
If you have any questions, pleast contact Golden Leaf Tobacco Company, or one
of our buyers for daily prices.
Gene Bare
Bird In Hand, PA
717-656-9306
as local supplies shrink, consum
ers’ cost per quart will increase.
Therefore, it is for the good of the
whole Northeast dairy industry to
implement RCMA’s proposal.”
RCMA has successfully sup
plemented dairy farmers’ incomes
in the past From 1987 through
1989, it distributed $7O million in
premiums to its members. Presi
dent Zuber is optimistic the orga
nization will again offer premiums
when dairy farmers’ prices are
low.
Zuber and Carmen L. Ross,
RCMA executive director, high
lighted some of the agency’s suc
cesses during the past year,
including opposition to proposed
changes in the federal milk mark
eting orders that would have
reduced dairy farmer income in
the Northeast by more than $lOO
million annually, improved col-
Ohio Dairy Farmers, Ohio State
University Ag Leaders To Meet
Ohio.
“Our theme is Ohio dairying in
the 19905, and we plan to take a
close look at the critical issues that
we face,” said ODFF President
Charles Lausin. “This joint meet
ing gives us a chance to work
more closely with OSU and the
extension service: In fapt, on the
..evening of Jan. 7 we are planning
•a reception for some of the Uni
versity’s agricultural leaders so
Aaron Miller
Bird In Hand, PA
Minimum Milk Price
lection of money owed to RCMA,
increased office efficiency and
reduced operating expenses, and
increased membership.
Since all dairy farmers benefit
from RCMA’s activities, Ross
said the organization will put
increased emphasis on signing up
new members in 1991. RCMA
represents approximately 90 per
cent of the dairy farmers in the
Northeast, but wants to expand
that number in order to more
effectively implement its
programs.
In other action relating to
declining milk prices, the RCMA
directors endorsed a petition to
Secretary of Agriculture Clayton
Yeutter to suspend the Louisville
Plan for one year. This plan is
designed to encourage milk pro
duction in the fall, when produc
tion usually is lower, by seasonal-
we can discuss Ohio’s dairy
industry.”
The business meeting will start
at 3 p.m. on Monday, Jan. 7. The
seminar will adjourn on Tuesday
at 3 p.m. Registration is $4O. The
special room rate at Stouffer
Dublin Hotel is $6O for a single
and $65 for a double. The hotel is
located near the intersection of
1-270 and Route 161 in Dublin,
Ohio.
Send your registration fee to
ODFF Annual Meeting, c/o
COBA/Select Sires. 1224 Alton-
Darby Road, Columbus, Ohio
NEED TO SAVE
ON TAXES??
See Us For
BIG PARTS DISCOUNTS
Now Thru Dec. 31st
Mac Bailey
President
717-768-3074/
ly increasing prices, and discour
age it in the spring by reducing
prices.
However, fanners have higher
costs in the spring, when they
must buy seed, fertilizer and other
items related to planting their
crops. This year, they will have
trouble meeting those expenses
because of the falling prices. To
help ease the anticipated cash
flow problems, RCMA directors
endorsed the petition from major
dairy cooperatives to suspend the
Louisville Plan this one year.
RCMA directors and delegates
were encouraged in their efforts to
gain higher prices for milk by
Congressman James Walsh
(R-N.Y.), a member of the House
of Representatives Agriculture
Committee, and New York State
Senator Nancy Larraine Hoff
mann (D-Syracuse).
43228. Call the hotel directly at
614-764-2200 for reservations.
The Ohio Dairy Farmers Feder
ation is an association of Ohio
dairy groups that joined together
with a purpose of improving Ohio
dairy farming through legislation,
education and research. Members
include NOBA, Inc., Milk Mark
eting Inc.; Ohio DHIA; COBA/
Select Sires, Inc.; The Ohio State
University: Ohio Ayrshire Assoc.;
Ohio Brown Swiss Breeders
Assoc.; Ohio Guernsey Breeders
Assoc.; Ohio Holstein Assoc.; and
Ohio Jersey Breeders Assoc.
for 609
Clark Stauffer
Ephrata, PA
717-733-8921