Banner Graphic, Volume 12, Number 79, Greencastle, Putnam County, 9 December 1981 — Page 7

Bill faces trouble in full House House-Senate conferees agree on farm bill

By SETH S. KING c. 1981 N.Y. Times WASHINGTON A House-Senate conference committee, after more than a month of haggling, agreed Tuesday on a new farm bill that will cost taxpayers at least sll billion over the next four years. The compromise bill accepted was a qualified victory for President Reagan in his effort to slow government spending on non-defense items. But if both branches of Congress accept the committee’s proposals, the conference bill will ensure higher consumer prices for milk and peanuts next fall. If grain and sugar prices continue to decline, it could also cost taxpayers millions of dollars in wheat, corn, rice, and cotton subsidies. The version accepted Tuesday appeared headed for trouble when the full House considers it. The measure includes sugar and peanut clauses that the House voted down when it adopted its farm bill in October. The chairman of the House Agriculture Committee, Rep. Kika de la Garza. D-Texas, warned that very few parts of the

Variety of speakers slated Hoosier Cow-Calf Day Dec. 11 at fairgrounds

Farmers and agri-business people from Putnam and surrounding counties will be participating Friday, Dec. 11, in Hoosier Cow-Calf Day at the Fairgrounds Community Building, Extension Agent James R. Baird has announced. Using the theme “Management practices can improve returns from beef production,” the day-long meeting will open with registration plus coffee and donuts at 9:45 a.m. KEN HENDRIX, Purdue animal scientist, will open the session at 10 a m. when he speaks on increasing returns with sound nutrition programs. Forage management practices which enhance cow-calf performance will be discussed by Keith Johnson, Purdue agronomist, at 10:25 a.m. Ralph Williams, Purdue entomologist, has been scheduled to speak at 11:05 am. on control of internal and external parasites. Closing the morning speaking sessions will be Larry Nelson, Purdue animal scientist, whose subject will be: “Effect of Conception Rate-Weaning-Weaning Weight on Profits.” FOLLOWING the noon luncheon, Dave Petritz, Purdue agricultural economist, will

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speak at 1 p.m. on the economic situation. He will be followed at 1:30 p.m. by Gary Swaim, director, Indiana Division of Agriculture, who will bring an update on video marketing. Putnam’s home economist, Betty Sendmeyer, will speak at 2 p.m. on dietary goals for Americans. Closing the speaking programs will be Bob

Feeder cattle price rise expected Soybean market strong, hog prices to weaken

WEST LAFAYETTE, Ind. (AP) Some good news awaits Indiana farmers who are getting ready to sell this year’s crops. Purdue University agricultural economists predict soybean, egg and milk prices should go up while hog prices weaken. The demand for soybeans is the key for strengthening prices and economists are urging farmers to watch for news of export sales. That could be a signal to sell part of the 1981 soybean crops. “Because of high carrying costs, prospects indicate only nominal returns from storage into next summer,” the economists said in a prepared statement.

Farm Workers Union ordered to repay $427,960

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conference bill would satisfy House members. He said it also would be difficult to pass in the Democrat-controlled House because of “the administration’s stubborn insistence on many aspects of it.” Thomas S. Foley, D-Wash., the influential House whip and former chairman of the agriculture committee, refused to sign the conference report and said he could not advise any House member who asked him to vote for the conference measure. By threatening on several occasions to recommend a veto if preliminary conference agreements were sustained, Secretary of Agriculture John R. Block persuaded Senate Republicans to force down the bill’s four-year costs by about S6BO million. In a deadlocked committee session Monday House conferees attempted to increase dairy and sugar price support levels, but Senate Republicans refused. House members then proposed seeking an agreement on a two-year bill that would raise dairy price supports in the second year and provide the same loan and subsidy rates on grain that the conferees and the administration had already accepted. But Block, who sat with the conferees Tuesday, told them

Hale, member of the IBCA board of directors, whose subject will be the Indiana Beef Cattle Association’s activities. Cow-Calf Day is scheduled to adjourn at 3 p.m. following panel discussions. Throughout the day, commercial interests will have exhibits on breeding, feeding, harvesting, handling and animal health.

Farm Workers Union to return $427,960 in federal funds that allegedly were misspent. The union responded by attacking the farmers group, decrying government “harassment” and asserting it “won’t return a nickel” of the funds. The order is revealed in a Dec. 1 letter to a UFW agency from the office of community services in the' Health and Human Services Department. The office is successor to the Community Services Ad-

Market reports INDIANAPOLIS (AP) Hogs: 1,200; Barrows and gilts moderately active, 50 cents lower. 1-2 220-250 lb 42.00-42.25; 13 215-275 lb 40.50-41.75, US 2-3 lot 310 lb 37.00. Sows not well tested 1-3 500-510 lb 36.00. Cattle: 300. Trading slow, slaughter steers and heifers 1.00 lower ; Cows and bulls not fully tested. Slaughter steers: Choice 2-4 1000-1200 lb 58.00-59.00, couple packages choice 4 1130-1150 lb 53.00; couple lots mixed good and choice 2-4 975-1125 lb 56.00- 57.50, lot good 1-21375 lb 57.00; Holsteins lot good 2-31130 lb 52.00. Slaughter heifers: Choice 2-4 800-1050 lb 55.00-57.00; lot choice 4 1000 lb 52.00; couple lots mixed good and choice 2-4 900-1000 lb 54.00-55.00. Slaughter cows: Few utility and commercial 2-3 36.00-39.00. Slaughter bulls: Yield grade 1-21125-2050 lb 43.00-48.00. Sheep: 5, not tested. INDIANAPOLIS (AP) Grain prices Tuesday at In-dianapolis-area elevators: Corn, N 0.2 yellow shelled December $2.22-$2.41, January $2.29-$2.41; Oats, N 0.2 white $2.00; Soybeans, No.l yellow December, $5.78-$6.07, January $5.846.12; Wheat, N 0.2 soft red $3.58-$3.84, July $3.52-$3.68. INDIANAPOLIS (AP) The Indiana direct hog market Tuesday at 70 yards and plants: Estimates 15,000. Demand moderate. Barrows and gilts 50 cents to 1.00 lower. 1-2 200-240 lb 40.00-41.25, few selected lots at 41.50, 240-250 lb 39.75-40.50; 1-3 250-260 lb 39.00-40.25. Sows weak to 2.00 lower. 1-3 300-500 lb 30.00-33.00, few under 400 lb 29.00, 500-600 lb 32.00-34.00.

User fees to finance modernization? Improve waterways for

WASHINGTON (AP) - With expansion of exports considered pivotal to improving the flagging U.S. farm economy, America’s transportation network must be made more efficient, the Agriculture Department’s transportation chief says. The key, according to Martin Fitzpatrick, is an integrated transportation network that eliminates bottlenecks on the waterways and maintains serv ice on important, though sometimes uneconomical, farmbelt rail lines. “Agricultural exports are essential to maintaining farm incomes,” Fitzpatrick says, citing the fact that a third of the nation’s commodity production goes to foreign buyers. “The last thing U.S. farmers need is to have their income potentials hampered by marketing problems,” he says. “Transportation is critical to continued growth in agricultural exports.”

Slaughter levels have exceeded packers’ expectations and hog prices have weakened over the past 30 days, they continued. “The outlook for the month does not hold signs for a quick recovery,” the economists cautioned. “Producers are encouraged to stay current in their marketings.” Prices for choice slaughter cattle should average in the low to mid S6O range during the next few months. Ag economists advised cattle feeders to market cattle as soon as they reach grade requirements. “As for feeder cattle, some rise in their price is expected in December, as fed cattle prices strengthen and wheat pasture demand increases,” their predictions said. “A continued

ministration, which in 1978 gave the UFW grants for a microwave communications system to aid 20 migrant service centers in California, as well as helping institute a credit bureau. Use of the funds was quickly challenged in a suit filed against the government by groups including the American Farm Bureau Federation in suburban Park Ridge. With three million member families, the federation is the largest general farm organization in the nation.

Reagan would veto a two-year bill and would accept nothing more than the version that was finally approved Tuesday. The House conferees, by a bare 8 to 7, then accepted the commodity clauses they opposed Monday. These will result in some of the lower costs Reagan had demanded. But the conference bill also includes higher milk price supports than the president first wanted as well as a grain subsidy program and a sugar price support loan program Block had originally opposed. The president’s opposition to sugar loans was removed last summer in exchange for the support of sugar state Democrats for his budget and tax bills. The compromise accepted Tuesday will hold dairy price supports at $13.10 per hundred pounds until next October. They will then increase to $13.25 in fiscal 1983, and to $14.00 and $14.60 in the following two fiscal years. Supporting milk at $13.10 was expected to cost at least $1.9 billion in fiscal 1982. It will probably cost at least that much in fiscal 19&3, unless dairymen surprise the experts and reduce production. The proposed sugar loan program would provide price sup-

On Monday, the Agriculture Department reported that wheat exports in 1981-1982 should hit a record 50.1 million tons, half the world trade. Export tonnage for corn is also expected to exceed the previous year’s level. The ability to move as much of the U.S. crop as possible to export sea ports is all the more important, Fitzpatrick says, because record global production of wheat and grains has driven market prices down. Department analysts reported that recent export shipment rates for corn and wheat have been slightly below levels anticipated for the season, apparently because many importing nations expect no price increases and because of continued high interest rates and storage charges. And although the United States has prospects for improved marketing in Africa, Russia, Spain and Egypt, the

The suit claimed that funds from the Community Services Administration and the Labor Department were improperly spent to help the union organize workers. Rep. Henry J. Hyde (R-Ill.) asked for an audit by the General Accounting Office, which concluded that as much as $600,000 might have been misspent. The suit was settled last month with the understanding that the two agencies would individually seek return of funds used illegally.

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analysts say the this country is facing some problems in maintaining and expanding exports elsewhere. Those gains, they say, could be offset by new wheat sales agreements Canada and Austrialia have made with China. They also say growth of the U.S. market in Japan, Taiwan and Korea is being inhibited for various reasons. “Without adequate service on a timely basis at reasonable cost, export markets will diminish,” Fitzpatrick said. The director of civil works for the Army Corps of Engineers told the congressional Joint Economic subcommittee on agriculture and transportation that the inland waterways network, which is responsible for moving the bulk of export grains to port, must be modernized if it is to satisfy the rising demand to move farm commodities. But severe constraints on fed-

downard trend in interest rates would support feeder cattle price increases.’ Economists also see milk prices increasing on a seasonal basis. Milk production is above year-ago levels and support prices continue to set the pace for milk prices. Egg prices should remain seasonly strong the remainder of the year. Supplies are expected to remain below a year ago at least through the first half of next year. Broiler prices will increase slightly from their 42' 2 cent level of mid-November. Broiler production will be slightly lower than last year for the next few weeks, the economists said.

Extension calendar DEC. 11- Hoosier Cow-Calf Day will be held at the fairgrounds. “Management Practices Can Improve Returns from Beef Production” is the topic. Registration will be at 9:30 a.m. with adjournment about 3 p.m. Beef producers are welcome. DEC. 17- Annual Extension Board dinner will be held at Fairview Manor at 6 p.m. Reservations by noon on Dec. 14. DEC. 21- Junior Leaders and prospective Junior Leaders meeting will be held at 6:30 p.m. at the fairgrounds community building. This is the “kick-off” meeting for 1982. To be a 4-H Junior Leader you must be at least 14 years of age and have completed three years of 4-H. You will need to take at least one project in your local 4-H club.

December 9,1981, The Putnam County Banner-Graphic

port loans at 17 cents per pound, on next year’s crop. Domestic market prices were close to that level this week But these could rise sharply if the administration decides to raise import tariffs and thus prevent much of next year’s domestic crop from ending up in government warehouses as payment for the loans to American growers. The conferees also agreed Tuesday on a wheat loan rate of $3.55 per bushel on the 1982 crop and a subsidy level beginning at $4.05 per bushel next year and rising about 3 percent in the next three years. They proposed a corn loan rate of $2.55, and a subsidy level of $2.70, in 1982, with escalators of about 3 percent in the next three years. The peanut price support level was set at $550 per ton, up from the $455 level this year. All other 1982 loan and subsidy levels were also higher than this year’s. The loan levels, which determine the rate at which farmers may borrow on their crops, tend to set a floor under free market prices. Subsidies are paid when the average market prices fall below the established subsidy trigger level.

exports: USDA

eral expenditures mean that modernization drive must rely, not on tax dollars, but on user fees paid by those who use the waterways as President Reagan has proposed, said Maj. Gen. E.R. Heiberg. “This is unpopular in many corners,” Heiberg told the panel. “But the nation has to wrestle this problem to the ground.” With pressure to move farm goods on U.S. waterways expected to double by the end of the century, Heiberg said failure to modernize the waterway system will mean severe bottlenecks and traffic constraints. By the year 2000, he said, 44 U.S. locks and eight Canadian locks will be more than 50 years old. “Many critical components of the existing waterway system are of a past technological era and will have to be replaced or modernized if the waterway

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