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HomeMy WebLinkAboutThe Exeter Times-Advocate, 1959-07-09, Page 8Pave 10 The Timos-Advocate, July 9, 1.959 • P.ck.ors see problems , d • ef iciency payments The federal government's pro.- 'Prineiple Would appear to be ,more flk.Iy to encourage maxi- mum current domesticdistribu- tion of product than the mainte- nalwe of an inflexibleprice floor, there are some offsetting eonsiderations. posed deficieecy paYinent ,plan f,or the support of Bogs presents 40111e serious probleres in admin- istration, the Meat Packers Coun- cil or Canada says in its bi- monthly Jetter. The plan may also accentuate Seasonal peaks and dips in sup- plY, seriously affect the. sale .of Competitive products and nay tpree other countries to impose countervailing duties on hogs. These and other considerations ere outlined in the following ar- ticle which appeared in the let- ter: # The decision to use deficiency payments to support hog prices rai ses some interesting :ques- tions. While in principle defi- ciency payments are :neither In the first place, under con- ditions of very heavy surplus, it seems possible that either there would be no reailStie price whieh would clear the market, or, even if there were, that it would be so low that the sale of competing products would be seriously af- fected, Experience has demonstrated, for example, that pork 'tends to be substitutable with beef, lamb, poultry meat etc, depending on relative prices. Consumption of any meat tends to increase con- siderably when it is cheap and plentiful, whereas the amount of new nor particularly involved, maOrne spent on meat in total re - they have up to .date not been mains fairly steady. used very widely because or ad- Over the past few months it is ministrative complexities. interesting to speculate as to As the term implies, deficien- how low pork prices would have y payments involve reimburse- hadle fall to move the total sup- ment of producers directly by PlY 'Pt° "natrtPlicm• 11 wmdd certainly have required a very the government to whatever ex- tent actual market returns are below the prescribed floor. The general understanding is that the market price is left free to per- form its natural function of maintaining a ' balance between enpply and demand by guiding production and encouraging con - gumption. At the same time the producer receives a minimum forward price guarantee by means of what amounts to a ya- nahle subsidy. As an alternative to the prob- lems created by government purchase and holding of product surpluses, deficiency payments have some favourable aspects, particularly if the surplus is temporary or of reasonable pro- portions. At the same time they introduce administrative compli- cations for a :product such as has which are produced on large drastic cut in prices, ' which would have been bound to affect other protein foods. A second important considera- tion is the possible effect of a deficiency payment program on the export market. During per- iods of heavy domestic surplus, it is obvious that maximum ex- port sales are highly important. Although the flexibility of market prices under deficiency payments would in principle give some competitive export price advan- tage, there is a possibility that it might be short-lived. Other countries might conceivably in- terpret deficiency payments as a form of subsidy and as a re- sult, impose countervailing du- ties, as provided under GATT, The foregoing constitute some of the considerations which have at least some bearing on the pos- numbers of farms across the sible ' application of deficiency cotintry, and which are sold in Payments for hogs, and the re - volume at all times of the year. suiting economic effects on the Administration would be much industry. The ability of the Cana- •impler, for example, in the Wan hog industry to grow sound - ease of a seasonal crop produced ]y and hold its markets funda- In a specialized area, mentally rests on considerations But even assuming that there of both quality and efficiency. A let us remember it is the driver . is no insuperable problems in- reputation for quality has been who sets the rate. Have fewer nOw at $25.75 volved in the distribution of one established, ancl with constant ef- and Jess costly accidents and or two million deficiency pay- fort can be maintained. Recent- the department of insurance will Grade "A" - bogs in Ontario ment cheques to hog producers, ly the industry has been re -or- see to it that the rates are re- duced accordingly. this week are selling at $25.75 there are certain other consider- ganizing on the basis of larger, • per cwt. at marketing yards of ations involved which merit more specialized, highly efficient * 4, rictus study. se- pro'Cluction units. Ti would be re- At a meeting ' of farmers af- the Ontario Hog P'roduce•rs Co- grettable to see these deficiency fected by the hydro line to be operative. No, 1 light sows are advances go by the board, built from Seaforth to Clinton it selling at $25.50; Na. 1 heavy -Clintoh News -Record was agreed that there was a depreciation of resale value sows and No. 2 sows at $18.50 and stags at $16.00. On -the western. markets this .Sets floor • week Winnipeg reports hog sales at $23.00 per cwt. Monday and would be to include the deficien- The most obvious procedure f or wheat Tuesday;' Edmonton $22.00 Mon- day and Tuesday and Calgary ey payment, if any, with each . $21.60 Monday and Tuesday. Mandatory support levels emit- In Montreal this - week hog; hog settlement, based on the dif- ference between the current mar- • • • . . • - • . prices on the west end market 1 ket and the floor. 12 this were valent to 8Q per cent of the ten- are steady at; $26.00 Monday and I dale, the result or course would year average market price will Tuesday and sows $17.00 to 518.001 he that in a heavy production apply for. Ontario winter wheat, Monday and $1.8.00 Tuesday. The! ats and barley fo•r 12 months cast erid market reports $25.00! per cwt. for Tuesday and $18.001 for sows. Total bog gradings for the. announced. see film. factory week of June 22' to 26 were 47,-i ▪ .....,......n...na•••••••••••••••••••••••••••••••••••••••••••••.•••••••••17:I FFRESORIPTIONA I DAD Gs © IMO, Xing Features Syndicate, Inc., World rights roscrved: 7-11 "The 'get well quick', card rack toppled over on him," Fieldman Comments Drivers set rates for auto insurance By J. CARL HEMINOWAY which would be settled for after HFA Fieldman the line was built. The Ontario Fedet•ation of Ag - We are now in the midst of riculture did approve the a - the holiday season with more mounts offered but only as a cars than ever before on our minimum and only as a trial of - highways, Accidents are iltit fer on the line to he built from. that much more. likely to hap- London to Sarnia. This latter pen. part was apparently . forgotten An interesting 'item came to by the representative. my desk this week, One well The meeting decided that those known auto insurance company who had not signed would con - has been giving extra medical' tinue to'hold out and that those payment benefits to those who who had signed should make a are total abstainers. This corn-- claim for depreciation under pany is now willing to give dou- damages. Also information on ble the extra coverage and again the reactions of the farmers on at no increase in premium if you sign the total abstainer's form. After two years of experience the company has.found that non - drinking drivers have fewer ac- cidents and they are less serious accidents, therefore more cover- age can be given at no extra cost, We often complain about the Wall cost of auto insurance but Grade "A" hogs London -Sarnia line should he ob- tained. This may seem to be of little interest to many hut I have heard rumors of one water pipeline, a gas line and another hydro line to be constructed shortly, One of these may cross your prop- erty. There has been no definite in- dication yet as to how the amount of the deficiency pay- ment to which any indivdual pro- ducer is entitled, would be cal- culated. It could of course he done in a variety of ways. when a Hydro line crosses a farm, For this reason several refused id sign the contract or- fered by hydro. Others stated that they had signed because the representa- tive of hydro stated that the On- tario ; federation had .approved the amounts offered. and that the ,depreciated resale value would come under damages .-car, payments would be larger during periods of seasonally ° heavy markctings and less (or commencing July 1, the Agri- District 4-H clubs even zero) during seasonally culture Stabilization Board has lighter marketing periods. This would an ean that producers of hogs from higher -cost winter litters might net no higher re- turns than those marketing hogs In peak supply periods, which would .climinate or greatly re- duce the incenitive for a more ba- lanced seasonal marketing pat- tern. An alternative procedure would be to calculate average prices on a quarterly, semi-annual or an- nual basis, and make deficiency payments based on such aver- ages, at the end of the respective period. This would mean that the producer would not know at the time of marketing what his final return might be. If the calculation were made on an annual. average basis, pre- sumably all producers would re- ceive a uniform deficiency pay- ment. This would tend to pre- serve traditional seasonal price advantages, which would be de- sirable. But it could result in some producers netting less than the prescribed floor, while others would possibly receive more. Regardless of how deficiency payments are administered, it would seem desirable that they not have the effect of causing any further imbalance in the seasonal distribution of market- ings. A relatively level return the year round would inevitably aceentuate seasonal peaks and dips in supply. While the. deficiency .payment The ten-year average or base t 413, an increase of 2,592 over the price for wheat 'No. 2 Canada Exeter 4-12 dairy calf club Eastern or better grade, 14 per judged Holstein cows at the previous week. The number ofEastern, hogs going through the 28 mar - farm of Sandy Elliott, Usborne, ketinebyards of the Hog Co-op during their meeting June 25. in Ontario last week was 45,851, Later they went to SHDHS to an increase of 3,216 over the a joint meeting of clubs. A film 1 previous week. This represent's' on veterinarian work at Guelph . 955, of total gradings. The above was shown and Dr. R. F. Roe- figures do not include Ontario hogs moving to Quebec. cent moisture, has been esta- blished as $1.73 per bushel on track at Ontario shipping points. The support price for the 1959-60 crop year at the 80 per cent level will be $1.39.per bushel. • As in the 1958 crop year one commonly -called "deficiency pay - men" system will be used for de- termining. whether or not any payment will be made on the 1959 crop and :as requested by the Ontario Wheat Producers' Marketing • Board calculations will be made on the equivalent elevator -door price. The ten-year average or base price for No. -2. Canada Eastern or better grade oats has been es- tablished as 70.5 cents per bushel on .track at Ontario 'shipping points. The equivalent support price for the 1959-60 crop year at the 80 per cent level will be 56 cents compared with a sup- port in the 1958-59 crop year of 58 eents per bushel. The ten-year average or base price for No. 2 Canada Eastern or better grade barley has been established as $1.01 per bushel on track at Ontario' shipping points. The support price for the 1959- 60 crop year at the 80 per cent level will he 81 cents per bushel as compared with a price of 83 cents per bushel, for the 1958-59 crop year. • .""4111111111111111111111111111111111.11111111 THE FAMILY KNOWS .... THE IMPORTANCE OF THE DOCTOR'S PRESCRIPTION Your registered pharmacist is fully quali- fied to follow the 'instructions of your physician and give you "jtist what the doctor ordered." We're prepared by professional training to help doctOrS guard the health Of the community, ar loworro. tor',tt' 4.4* Huntley's Drug Store PHONE 10 EXETER j Iofson, Exeter, spoke on diseases of dairy and beef cattle, Exeter corn club made a tour • of Canadian Canners plant here A man in 'Alaska was arrested during ,their meeting Monday for bigamy. He had a wife in nigh.t. . Nome, another in Fairbanks and A talk on safety by 11. E. Bell- still another in Juneau. The judge man, engineering extension spe-1looked at the culprit and stern- cialist for Huron and Bruce, ly asked. "How could you do was the feature of sugar beet 1 such a thing?" club meeting here Thursday! To which the bigamist replied, night, "Fast dog team.' Safety was a word to Jim, Aimed at others, not at him. William, on the other hand, Practised safety on his land. Jim drove his tractor like a jet, Certain he would not upset. William drove his with great tare - Of ifs dangers -well csware. Jim was always having falls On broken ladders, pitchforks, Walls. Will was healthy, careful, wise On sdfety he'd not compromise. Jim left this world the sudden way While blbwing up some stumps one clay. Wise William's living out his days Because he knows thaf.safety paysi National Form Safety Week. JULY 19-25 #11 A CO-OPEkATORS. INSURANCE:, ASSOCIATION: Sponsored by the OFA Offices Ift Tatanfai Londoa, Windsor, Hantiltort, Ottawa,bwialouttl Urge •comparison on feed purchase Ontario farmers have been de -1 Protein also provides energy pereemage,• but it's usually considered ma - :terms; and is part of that TON percent, luged for years with the energy value, and 1114 TDN, protein, the like. iTately, Why?. Becauseiit's needed in comparative y large amounts Not only are these seeding for growth and milk production. farmers but often too little con-° lotthsernienareergyexsPoeunrsclevsn. tan' than terms misunderstood by .a lot sideration is given. to price corn.' Some feeds are low in protein Parison of different kinds of; but high in TDN (for example, feeds. Perhaps these ideas from; grains); others are comparative - Livestock specialists of the On-, ly high in both protein and TDN taria Department Of Agrictilture,' (oil meals, for instance). If you !need protein in your ration, wiLllethsellPo•Ok at. TDN, for instance., here's how to figure the cost per Usually you read or hear it as a pound of protein for different oil "percent" measure. This "per-;111eals- cent" figure simply means "Matt Assume soy bean oil meal is part of a feed that's used hy' selling for $3.65 per 100 lbs. The livestock for meat, milk, wool,' protein percentage is about 44'';•. or work and does not pass Divide $3.65 by 44 to get 8.3c per through as manure." In otherlb. of protein. Now suppose 35('';" words, it's a measure of the ener-. protein oil meal is selling for gy value of the feed. $3.50 per 100 lbs. Divide $3.50 by 35 to get 10c per lb. protein. At these prices soy bean oil mdal Huron County is the best buy - it's 1.7c cheaper. ' When you're buying energy crop report feed such as grain you compare By D. J. ROSE the cost per pound of total di- gestible nutrients (TDN). If corn Summer Assistant, HOron is priced at $2.50 *per 100 lbs. Haying operations are nearing and has a TDN of 80'1., divide completion in most of the calm- $2.50 by 80 to get a price •of 3.1c ty with a better than average per ib. of TDN, er'nfPlie h etngharvestinghal'yna ofted early can. sot ingrnmolassesaiasseas bwetitther abeTyD?NAosf- ning peas is also nearing com- 60rs sells for 33.75 per 100 lbs., PleStutgnnar' beets are making excel- 6.2e per lb. of 'PDN. Obviously divide 3.75 by 60 to get a price, of lent, growth. However, some corn is a better buy. fields of corn and white beans Naturally, some consideration appear to be at a standstill. will have to he made for trans - Early barley is ripening quick- portation costs, storage, and pa- ly and fall wheat appears to be latability before you .can settle filling very well. on the cheapest according to feed value. Other grains and meals will have to be compared too. Your Agricultural Represen- Province tops tative or feed dealer will have tables showing the various TDN ,in agriculture and protein percentages for other Cash- income of Ontario farm- feeds' ers is revealed by the Dominion Bureau of Statistics as 31.1% of that of all farmers in Canada, and. is .almost is great as the combined cash income of farm- ers in Prince Edward Island, Nova Scotia, New Brunswick, Quebec, Manitoba arid British Columbia. Milk cows in Ontario comprise 32.4% of the total number in Canada, hogs 30.0%, sheep and lambs 22,6% and hens and chickens 41.25r. Ontario produces all of the winter wheat grown in Canada and stands first in the acreage planted to mixed grains, grain corn, fodder corn, dry beans, soybeans, rutabagas and tobac- co; second in acreage in fall rye, hay, sugar beets and potatoes. Practically all the production of dry beans and soybeans is in Ontario. In the case of dry beans, the acreage in 1958 was 65,000 and soybeans 256,000. Acreage of sugar beets in South-western Ontario is being expanded greatly and will amount 'to 40,000 acres 'in 1959 as compared with 20,600 in 1957. Statistics such as those above are compiled from the basic information supplied from the annual June 1 survey schedules which will be distributed to every farmer across Canada at the end of May.' Ontario farmers have always given an excellent response to this survey and their co-operation in filling out and mailing their schedules promptly is again requested by the On- tario. Department of Agriculture which computes the figures for this province. The survey has •absolittely no connection with taxation. Individ- ual returns are never divulged to anyone and are used only to prepare county and provincial totals. CALL US FOR THE YEAR'S REST BUYI Get quick delivery en top quality coal at low spring prices. 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Hamburg GET FREE GIFTS WITH LUCKY DOLLAR 2 20 10 FOR L . LS, L . LS. L . LI13. FOOD RECEIPTS 27' '39' 75c 63 49 57' 49c 49c LUCKY DOLLAR PHONE 207 Hank Nyhuis, Prop. Free Parking EXETER 1.1 MALCOLM THE MILK MAN 1 CAN'T FALL ASLEEP 1 I CAN'T GET MILK OFF MY MIND NUTRITIOUS, , DELICIOUS MILK ! .......'; ' .. TASTY, BODY BUILDING NATION BUILDING MILK oal I MUST SLEEP! r4 ..-..:-• . by EXETER DAIRY 7 I Only milkmen like Malcolni count cows to induce sleep. But any, one can stay awake thinking of the wonderful things milk can de. Oven better then thinking about is drinking pleiity. of it. EXETER DAIRY Phone 331 •