(Continued from Pago A 36)
and offered more coverage choic
es. While these broad product
choices are good for producers,
the range available requires
time and effort to become knowl
edgeable about each choice. The
coverage has expanded from
yield only alternatives to alter
natives which complement mar
keting plans.
Access To Inputs
1) Land rental and land
acquisitions arrangements. This
is an increasing risk considera
tion. Some people are concerned
that land is often inherited or
purchased by people not directly
involved in agriculture.
However, these people often
have a farm background or fam
ily connections to the land. This
is a way to bring outside capital
into agriculture. There is intense
competition for land. This raises
two issues. If the rental or pur
chase cost is too high for an indi
vidual operation, producers
must be willing to pass up the
opportunity and select only the
situation which will enhance
their financial position.
Producers must also plan their
operation so their labor avail
ability, machinery capacity,
management structure and land
base are all balanced.
2) Purchasing other inputs.
There are two issues here There
is an increasing trend to use
more customer operators.
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PRACTICAL IN DESIGI
DEPENDABLE IN ACT
Individual operators have to
decide what works in their situ
ation and in their cash flow.
There is also the discount house
phenomenon of trying to reduce
input costs by buying from a so
called discount house which may
be some distance from your
farm. There are tradeoffs with
supporting and maintaining
local suppliers and receiving the
service that may be provided by
local suppliers.
Contract Production
This is directly related to
marketing risk. There will be
more contracting in all crops in
the future. The advantages are a
potentially higher price and an
assured market. I see two disad
vantages. One is the additional
handling facilities that may be
needed and the other is the
requirement, in come cases at
least, to purchase the inputs
from the contract commodity
buyer. Related to the facilities
requirement is the risk of main
taining the purity of the prod
uct. Another risk is producing
the quality, which sometimes
cannot be controlled due to
weather, called for in the con
tract
New Technologies
Can you look forward to the
introduction of cutting edge
strategies and technologies 7 Foi
any new technology, farmers
need to estimate the expected
costs and benefits for their oper
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ation and have a set of criteria
they use for their decision as to
whether they will adopt it or
not Each technology involves an
individual analysis for each
operation. In all likelihood, risks
will be reduced with the new
technology but probably a high
er level of management will be
required.
Information Sources
Farmers are faced with an
information overload. The
biggest challenge can be to
select the part of the available
information that can be used on
your farm. Farmer operators
need to know the strengths and
Grange Pleases With Drought Relief Bill
HARRISBURG (Dauphin
Co.) The Pennsylvania State
Grange is pleased that the
Pennsylvania General Assembly
recently passed a $65 6 million
drought relief bill prior to
recessing for the rest of the year.
“We need this money now,
when it’s important for farmers
who are placing orders for seed
and fertilizer,” said Steel,
Pennsylvania Grange Master. “It
is imperative that the farmers
receive drought relief grants
immediately to plan for next
year. We decided that we could
always revisit the issue in next
year’s budget if we discover that
the drought appropriation was
inadequate In the meantime,
we have $65 million to distrib
ute to those farmers who lost
partial or entire crops last sum
mer”
The drought relief package,
which passed on a 138-54 vote,
earmarks $6O million m grants
to help farmers recoup 1999 crop
losses and $5.6 million in crop
insurance incentives for next
year. The state money combines
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shortcomings of the products tor
individual conditions and farm
situation. Growers need help to
focus on the details that apply to
their operation.
There are a number of differ
ent methods to help make deci
sions and get information for
farming. Farm organizations,
industry, extension, trade publi
cations and advisory services
are some of the ready sources of
materials, meetings and ideas.
Summary
Even though agricultural
with an estimated $75 million in
federal aid and brings the total
for drought relief in
Pennsylvania to $135 million.
With final passage and quick
approval by Gov. Tom Ridge,
checks could be arriving m eligi
ble farmers’ mail boxes by early
January, officials said.
“Some agricultural groups
were saying that we should wait
and hope for more next year,”
Brenda Shambaugh, Grange
legislative director, said “While
that was an enticing carrot to
dangle before the Legislature,
we convinced our elected leaders
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Regional Dealers
ROMBERGFR FARM SUPPLY
KLINGERSTOWN, PA
570-648-2081
McNEAL FARM SERVICE
TOWANDA, PA
570-364-5460
R L BAUGHMAN & SONS
BARN EQUIPMENT
TOWNVILLE, PA
814-967-4115
CEDAR CREST EQUIPMENT
LEBANON, PA
800-646-6601
ART DETWEILER
DANBORO, PA
215-348-3117
FRANKLIN FARM SERVICE
LACEYVILLE, PA
570-869-240/'
HESS EQUIPMENT
SALES & SERVICE
MIFFLINBURG, PA
570-966-1998
LANCHESTER FARM SERVICE VIRGINIA HARVESTORE
NARVON, PA TROY VA
610-273-9060, 800-89l’-8786
JOE MARKOVITCH
MONTROSE, PA
570-278-3637
CEDAR GROVE FARM STORE
SHIPPENSBURG, PA
717-532-7288
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Lancaster Farming, Saturday, December 18, 1999-A37
that it was more important to
finalize the funding bill now and
get the grants to farmers before
next spring. This is a huge victo
ry for farmers across the state ”
The aid program is available
to farmers who can document a
crop loss of more than 35 per
cent State officials do not know
how many of the 25,000 full
time farmers will apply for the
aid The package includes $l5
million in emergency aid for vic
tims of flooding from Hurricanes
Dennis and Floyd and $2 million
to help Adams County fruit
growers deal with the plum pox
virus
DONALD NISSLEY
WILLOW STREET, PA
717-786-7654
ED RISSLER MFG
NEW ENTERPRISE, PA
GLENN ZIMMERMAN
KUTZTOWN, PA
610-682-2692
SOMERSET BARN EQUIPMENT
SOMERSET, PA
814-445-5555
THOMAS L ZARTMAN
EPHRATA, PA
717-733-1050
ROVENDALE AG & BARN EQUIP
WATSONTOWN, PA
570-538-9564
DAIRYMEN SPECIALV. CO
HARRISONBURG, VA
540-433-9117
M & M BARN SAL. -
HARRISON VALLEY, PA
producers will continue to have
some of the world’s best technol
ogy for crop production at their
fingertips, price and yield risks
will be part of their lives. It will
be up to producers to manage
those risks to the best of their
ability, in a way that is appropri
ate for their situation. As we
approach the year 2002 and the
end of the current farm legisla
tion. there might not be money
in the U.S. Treasury or the will
of the people to return farm pro
grams to days prior to Freedom
to Farm.
McMILLEN BROS
LOYSVILLE, PA
717-789-3961
814-766-2246
STAR SILO
MYERSTOWN, PA
1-800-431-7709
814-334-5452
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