Banner Graphic, Volume 12, Number 73, Greencastle, Putnam County, 2 December 1981 — Page 14

B6

The Putnam County Banner-Graphic, December 2,1981

Record Mexican grain harvest results in first-ever storage problem

By STEPHEN DOWNER c. 1981 Dallas Morning News MEXICO CITY Mexico, forced by drought and frost to import 1 million tons of grain worth $1.5 billion from the United States in 1980, is expecting such a bountiful harvest this year that officials are having to scurry to find enough room to store the grain. Agricultural experts predict the spring and winter harvests will produce a record 26.5 million tons of grain, 3 million more than last year and 6.5 million more than the disastrous 1979 harvests. And Miguel de la Madrid, presidential candidate of the ruling Institutional Revolutionary Party (PRI), said in the northwestern state of Sonora this week that the harvests may even reach 29 million tons.

Output of meat down slightly WASHINGTON (AP) - Commerical meat production last -month totaled 3.43 million pounds, down 4 percent from October of last year, the Agriculture Department says. But officials said that through the first 11} months of this year, production totaled about 32 billion pounds, down less than 1 percent from the January-Octo-ber period in 1980. For the 10 months, beef production was up 3 percent veal up 9 percent, pork down 5 percent and lamb and mutton up 5 percent. The October figures showed the month's beef output at 1.97 billion pounds, down 3 percent from a year earlier. There were 3.12 million head of cattle slaughtered, down 3 percent, while their average live weight increased 4 pounds to 1,068 pounds per head. Veal production, reported at 40 million pounds during the month, was up 5 percent from October 1980. Some 271,000 calves were slaughtered, up 5 percent from a year earlier. Their live weights increased 5 pounds to an average of 249 each. Pork production was shown at 1.39 billion pounds, down 6 percent from a year earlier. The 8.14 million head of hogs killed were down 7 percent, while their average weight increased 1 pound from a year earlier to 242.

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Rice to beans? Japan seeks to cut soybean imports by paying own farmers $97 a bushel

WASHINGTON (AP) - Japan continues to be the biggest foreign buyer of U.S. soybeans, even though it is trying to boost its own output by paying farmers up to $97 a bushel to grow the crop, Agriculture Department analysts say. However, they say Japan’s imports of soybeans “have stagnated while vegetable oil imports have doubled this year.” The analysis was in a new report on the world oilseed situation by the department’s Foreign Agricultural Service. In perspective, the world’s total oilseed production in 1981-82 is estimated at 173.9 million metric tons, including 89.7 million tons of soybeans. The remainder includes cottonseed, peanuts, sunflowerseed, rapeseed, flaxseed, palm kernels and other oil-bearing crops. The U.S. output of soybeans this year is estimated at 56.5

County extension clientele New Agriculture Department study shows larger farmers are most likely to participate

WASHINGTON (AP) - A new Agriculture Department study shows that county agents are most successful in getting larger farmers to participate in extension activities. For example, a survey of extension workers in 444 rural counties in 1979 showed that of six farmers who marketed products worth more than $1 million each that year, four

Harvester plants closing

ROCK ISLAND, 111. (AP) - The winter shutdown of two International Harvester Co. plants at Rock Island and East Moline will be extended again, this time by two weeks in January, company officials said today. The plants will close Dec. 14 and reopen Jan. 18, said Harvester spokesman Bob Eggleson.

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A government agronomist said the country has a storage capacity of about 16 million tons of grain. Bearing in mind the / million tons of grain harvested in March, April and may have been eaten, he said temporary storage space would be needed for about 3.5 million tons. “This is the first time we have had this problem,” he said. He said the temporary storage bins, covering 15,000 cubic feet, were being built in the open air but would be covered by tarpaulins to protect the grain from the elements. Most of the 10 main crops wheat, corn, sorghum, rice, beans, cartamo, barley, soybeans, sesame and cotton seed, which is used in animal feed —• have done well. Corn production, which totaled 12.4 million tons in 1980, is expected to be 13.1 million this year. Wheat production is expected to increase from 2.8 million tons to 3.1 million.

farm

million tons. A metric ton is about 2,205 pounds, or 36.7 bushels of soybeans. Thus, the U.S. harvest is about 2.08 billion bushels. By comparison, Brazil’s production is estimated at 15.2 million tons, and Argentina's at 4.3 million. Those are the United States’ chief competitors in the world soybean market. Japan, a huge consumer of oilseed products, produces relatively small amounts of soybeans and peanuts and thus is required to import large quantities to make up the difference. But Japan is trying to boost domestic soybean production by paying farmers high prices to switch from rice to beans. Soybean output this year is estimated at 174,000 metric tons and may rise to 210,000 in 1982 because of the incentive program, the report said. “Under this program, farm-

were involved in extension activities. In another category, of 102 farmers who had marketings of SIOO,OOO to $999,999 a year about 31 percent cooperated in extension programs. The middle categories farmers with sales ranging from $20,000 to $99,999 annually showed that 70 percent to 76 percent were involved in extension

The shutdown originally was scheduled to end Jan. 3, and later extended to Jan. 11. About 2,000 workers at the Farmall plant in Rock Island and another 2,000 at the East Moline plant will be affected. Eggleson said the shutdown extension was caused by continued slow demand for farm equipment.

ers growing soybeans on converted rice paddy land received the equivalent of $97 a bushel for their soybeans in 1981,” it said. “Farmers utilizing other than converted rice paddie fields received $37 per bushel.” Comparatively, the Agriculture Department estimates that American farmers will average $5.75 to $6.75 a bushel for this year’s soybean harvest. Fearing that the 1980 drought would lead to a shortage, Japan imported 4.4 million tons of U.S. soybeans last year. But with ample supplies now available, imports this year and in 1982 are expected to be around 4.1 million tons annually. Meanwhile, Japanese imports of rapeseed and rapeseed oil mainly from Canada have risen sharply, the report said.

programs. At the lower end of the scale, about 47 percent of the small, usually part-time farmers with sales of less than $2,500 a year were involved in extension activities, the report said. The study was undertaken to come up with a profile of clientele served by extension offices. Some members of Congress and others have raised ques-

Extension calendar DEC. 11-Hoosier Cow-Calf Day-Registration at 9:30 a.m. at the Putnam County Fairgrounds. “Management Practices Can Improve Returns From Beef Production” will be the topic of the meeting. All beef producers are welcome. DEC. 14-Fairboard meeting at the fairgrounds. DEC. 17-Annual Extension Board dinner at Fairview Manor. DEC. 21~Junior Leader and prospective Junior Leader meeting. Market reports INDIANAPOLIS (AP) Hogs: 700; Barrows and gilts active, 25 cents higher. 1-2 215-250 lb 43.75-44.00, lot 275 lb 43 50; 1-3 230-270 lb 43.00-43.50. Sows moderately active, 50 cents to 1.50 higher; 1-3 465-510 lb 38.50-39.50,500-650 lb 39.50-41.25. Cattle: 350. Trading active, slaughter steers and heifers steady. Cows and bulls not fully tested. Slaughter steers: Choice 2-4 1025-1200 lb 60.50-61.00, lot choice 3-41180 lb 59.00; mixed good and choice 2-4 1000-1200 lb 59.50-60.50; lot good 1-2 1100 lb 59.50; Holsteins, lot good 2-3 1000 lb 52.00, couple lots standard 1-21050-1200 lb 42.00-44.00. Slaughter heifers: Choice 2-4 900-1025 lb 58.00-59.00; mixed good and choice 2-4 57.00-58.50; lot good 1-2 960 lb 58.00. Slaughter cows. Few utility and commercial 2-3 37.50-43.00. Slaughter bulls: Yield grade 1 1400-1600 lb 46.50^18.00. Sheep: 50, wooled slaughter lambs choice 90 lb 40.00, lot 75 lb 36.00. CHICAGO (AP) Wheat No. 2 hard red winter 4.09 :! 4 n Tuesday ; No. 2 soft red winter 4.09 :! 4. Corn No. 2 yellow 2.594 (hopper) unquoted for (box). Oats No. 2 heavy 2.24V 2 n. Soybeans No. 1 yellow 6.33. No 2 yellow corn Monday was quoted at 2.594 (hopper) unquoted for(box). INDIANAPOLIS (AP) Grain prices Tuesday at In-dianapoiis-area elevators: Corn, N 0.2 yellow shelled 2.332.42, Jan. 2.42-2.48; Oats, N 0.2 white 2.00; Soybeans, No.l yellow 5.95-6 14, Jan. 6.01-6.20; Wheat, N 0.2 soft red 3.70. New 3.84-3.87

The production of beans, a staple of the Mexican diet, is expected to increase from 971 tons last year to 1.2 million tons, 100,000 more than the nation consumee annually. Mexico is also expected to to be over the self-sufficiency level in corn by 600,000 tons. But experts say the country still will have to import about 1 million tons of wheat to meet demand, although other imports will be small. “We’re expecting an extraordinary harvest,” the government agronomist said. “The weather has been excellent this year. It rained early and there have been no frosts or droughts. The crops have had sufficient time to develop.” The drought and frosts of 1979 cut Mexican grain production to 19 million tons, no better than the harvest of 1976. The success this year no doubt encouraged De la Madrid to

Continued slide seen in 'B2

Farm price index 10% behind 'BO

WASHINGTON (AP) - For the fourth straight month, prices of agricultural commodities at the farm have dropped below year-earlier levels, the Agriculture Department says. Average prices in November declined 0.8 percent from October and stood 10 percent below a year ago, the department said Monday. The price index for corn and other feed grains, for example, dropped 2.5 percent from October and averaged 22 percent below a year ago. All of the decline was caused by lower corn prices as the other feed grains oats, barley and grain sorghum increased from October. Overall, the monthly farm price index has not risen in nearly a year, according to department records. The 1981 price slide coupled with continued inflation and high interest rates means another financial crunch on farmers this year. Huge harvests and the failure of the livestock sector to recover are major factors. Department economists say the 1982 outlook also is grim, with net farm income possibly falling another $1 billion to $3 billion from this year’s depressed level. But they say the decline in raw commodities has helped keep a lid on food prices this

tions about the cooperative fed-eral-state extension system, its role and how it might be improved. Questionnaires were returned from 562 counties, including 118 classified as predominately urban. . “In rural counties sampled, 66 percent of county professional staff time is estimated to be spent with three clientele

year and also helps dampen chances of any rapid boost in 1982. Looking at the current figures, officials said lower prices for cattle, hogs, corn, grapefruit and lemons contributed most to the decline from October. However, higher prices were reported for oranges, eggs, strawberries, potatoes and milk, which offset part of the decline for the other commodities, the department’s Crop Reporting Board said. Revised figures show that on a month-to-month basis, farm prices have not risen since they gained 0.7 percent in December 1980. This year, the monthly index held steady in three months but dropped in eight months, including the last five. The new report also showed that the index in October declined 3.0 percent from its September level. A month ago, the preliminary report showed a 3.7 percent drop. Meanwhile, the index of prices farmers pay to meet expenses was unchanged in November for the third straight month but still averaged 10 percent higher than a year ago. According to the preliminary November figures which are based mostly on mid-month averages prices of meat animals as a group dropped 4.1 percent from October, averaging 10 percent less than a

groups: commercial family farmers, suburban non-agricul-tural audiences and small or low-resource family farmers,” the report said. County extension “paraprofessional” workers spent 86 percent of their time with the three groups, including 47 percent with the small and-or poorer family farmers. Looking at the 118 pre-

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announce this week that he would continue with the Mexican Alimentation System, known by the Spanish acronym of SAM, when he becomes president. SAM, introduced early last year, aims to make Mexico selfsufficient in food and to eliminate malnutrition within a few years. jit is customary for Mexican presidents, who serve for six years, to throw out many of their predecessor’s ideas. Mexican farmers, many of whom have benefited from improved credits under SAM, must have been relieved to hear De la Madrid say, “SAM should, in my opinion, form an important part of the democratic planning of the country in the years to come. The program also offers farmers guaranteed prices for all crops and 100 percent compensation for crop losses. (Distributed by The NY. Times Newsservice) ,

year ago. The November fruit price index was up 15 percent from October and averaged 12 percent more than a year earlier. The index for potatoes, sweet potatoes and dry beans was up 8.5 percent from October but still was 10 percent below a year ago. Department economists predict retail food prices will average 8.2 percent higher this year, compared to an 8.6 percent gain in 1980, which was the smallest annual increase since 1977. They predict a 7 percent gain for 1982 food prices. Farm prices in November averaged 129 percent of a 1977 base price average used for comparison, according to the preliminary figures, compared to a revised October index reading of 130. The November parity ratio was 57 percent, unchanged from October. A year ago, the ratio was 67 percent. According to Agriculture Department records, the ratio the past three months has been the lowest since it averaged 54 percent in April 1933. At 100 percent, the indicator would mean, theoretically, that farmers have the same buying power they had in 1910-14. For example, the average actual price of corn in November, according to the preliminary figures, was $2.33 a bushel. That was 48 percent of the November

dominately urban counties which had a total population of 212,238 adults against 24,050 for rural counties the report said farm participation still was a major part of extension work. “Sixty-one percent of the farm adults were served by agriculture and natural resources extension programs. In total, 15.9 percent of the rural-urban

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parity price for corn of $4.89 a bushel. The report also said: —Cattle averaged $53.90 per 100 pounds of live weight nationally, compared to $55.80 in October and S6O in November 1980. Those are averages for all types of cattle sold as beef. —Hogs averaged $42.20 per 100 pounds, compared to $45 in October and $45.60 a year ago. —Corn, at $2.33 a bushel, compared to $2.45 in October and $3.10 a year ago. —Wheat prices at the farm, according to the preliminary figures, averaged $3.80 a bushel, compared to 3.77 in October and $4.32 a year ago. —Rice averaged $9.83 per ’OO pounds, compared to $10.20 in October and $11.60 in November 1980. —Soybeans were $6 a bushel against $6.06 in October and SB.IB a year ago. —Peanuts averaged 26.5 cents a pound, unchanged from October. They were 27.4 cents a year ago. —Upland cotton was 63.0 cents a pound on a national average, compared to 62.3 in October and 77.6 a year ago. —Eggs were 69.5 cents a dozen, compared to 63.8 in October and 65.8 a year ago. —Broiler chickens, at 25.2 cents a pound, compared to 25.9 in October and 30.2 cents a year ago.

adults were served in the combined rural-urban sample.” The report said a combination of methods appeared to have been used to gain participation of farmers and others in the extension programs, including direct mail newsletters, news releases and radio and television bulletins and publications.