HomeMy WebLinkAboutThe Lucknow Sentinel, 1982-04-07, Page 212 Tire Pans Editi s Week of Awl Y, 1912.
Whelan to announce
beef marketing plan
Canadian cattlemen are
now speculating about what
kind of marketing plan fed.
erai Agriculture Minister
Eugene Whelan will unveil in
the next few weeks.
As well, there is no firm
answer on exactly what will
be done, with it, Whether it
Will be imposed, producers
will vote on it or it will simply
be a basis for discussion is
unclear, ,
Whelan told • the Ontario
Federation of Agriculture
marketing . seminar in Cam-
bridge earlier this month that
he would soon ' submit a
marketing pian. Once . it is
released, ' he will discuss ' it
with producer groups and
provincial government offic-
ials. '
At a news conferencethat
day, he was vague about the
plan's details. He would only
say it will be workable and
cost less than income stabili-
zation cattlemen' now seek.
Some confusion arises on
that point. The Canadian
Cattlemen's Association
wants ;a three-way stabiliza-
tion plan.
In a prepared speech, the
minister said he and the
association "aren't that far
apart on principles now .., I
am very hopeful that we'll
have some kind of contribu-
tory plan in place for prod-
ucers within the coming
fiscal year."
The coming fiscal year
starts April 1. Whelan's pro-
posal may restrict the num-
ber of animals per producer.
He said it .would "not be one
that's going to cost me $500
million."
He has estimated that as
Ottawa's cost if he accepted
the cattlemen's three-way
plan.
If his plan does restrict
number of animals covered it
would be a type of supply
management, something he
has pushed for: redmeat
peoducers to accept.
Saskatchewan and British
Colunta now have similar
schemes provincially. Farm-
eers can produce as: much beef
as they want but are guar-
anteed a profit .on only a
limited number of animals,
Whelan also said federal
legislation is being investig-
ated and he may seek, to have
it changed, Asit stands, he
has no authority to impose a
national marketing plan.
He revealed his controver-
sial survey of beef producers
shows, that probably less
than 50 per cent support
national supply manage-
ment, although support is
considerably higher in east-
ern provinces.
At least 75 . per cent of
producers, however, want
imports restricted. Canada
can only .dn. that .if . it . has
supply management to stay
within international 'trading
rules, he explained.
Survey results are still.
incomplete. Whelan promis.
e4 they would be released
publicly once they are tallied..
Crop selection requires attention
to costs, resources and management
Planning and budget .esti-'
mates are essential to mak-
ing
any cropping system
work.
• "In today's agriculture,
with ever changing condi-
tions, farmers need an accur-
ate method of Choosing ,the
cropping .program best suit-
ed to an 'individ'ual farm,"
saysiAi Fisher, of the Ontario
'Ministry of. Agriculture and
Food economics branch.
Choosing thea most profit-
able crop or combination of
crops requires careful' asses-
sment of production costs,
resources and management
skids. Mr: Fisher stresses
that there isno single crop-
ping program . that is . the
most profitable for all grow-
ers -- the choice depends on
the resources of the individ-
ual farmer.
To help farmers ' decide
which crops to grow, the
ministry has prepared cost 'of
production estimates for
each .of the five major crops
grown in the province. The
estimates consider the cost of
seed, fertilizer, chemicals,
operating and fixed :costs of
machinery, drying charges,
storage, crop insurance,
marketing board fees, inter-
est on operating loans, ,labor,;
land and miscellaneous ' it-
ems, based on average yields
per hectare.. .
Based on these costs, 'the
estimated costs of.production
for 1982 are:. grain corn at
$862/hectare or $145/metric
tonne ($349/ac and $3.71/
bu); soybeans at $613/ha or
$275/t. ($248/ac and '$7.51/
bu); 'winter wheat at $582/ha
or S157/t ($236/ac or $4.29/
bu); white beans at $734/ha
or 50,54/kg (5313/ac or
$24.67/cwt); . and barley at
$493/ha or $166/t ($200/ac
"The first things to come
out of the farmers pocket are
the production costs such as
seed, fertilizer, chemicals,
hired labor, ' custom work,
and land rental,", says Mr.
Fisher. "Thenthere are . re-
pairs, fuei, oil ' and grease.
costs required to keep trucks.,
tractors and machines oOer-
ating. But what many farm-
ers often fail to consider are
the overhead and fixed costs
such as taxes, interest pay-
ments, 'electricity and phone:
bilis, buildings, drainage and.
other farm • maintenance
costs that eat away at profits
each .year whether or not a
crop is produced."
Before farmers can 'set
1982 .production.; goals, de-
cide on marketing options or
plan their credit needs, Mr.
Fisher advises them to de-
velop a budget or estimate of
input needs and productirn
or $3.63/bu). . costs, • '
Farm assistance program changed
to include more farmers
Ontario's new agriculture
minister waited little time
fulfilling a major promise in
the government's ' Speech.
from the Throne to expand
provincial farm aid.
Two days after the Legis-
lature resumed sitting in.
early. March and the speech,
outlining government inten-
tions during the next session,
was read, Dennis. Timbrell.,
announced new criteria for
the Ontario 'Farm. Adjust-
ment Assistance Program.
As originally announced
last December, the '$60 mil=
lion program was aimed at
5,000 framers who could re•
-
main •viable with sone fin-
• ancial and management
help. The new criteria should
make an estimated 2,500
more producers eligible.
The value of 1981 produc-
tion for qualifying farmers.
has been reduced to $12,000.
from $25,000. Remaining
equity in an operation must
still be at least 10 per cent
but the upper limit has been
raised to 60 from 50 per cent.
One Unchanged
One criterion remains un-
changed. A qualifying farm-
er's ' interest and principal
payments on outataniding
debt must exceed 20 per cent
of his operating costs.:
Ontario federation of Agri-
culture (OFA) president
Ralph Barrie 'welcomed the
announcement. "It's really
an improvement.''
He thinks the new criteria
will allow many cow -calf
operators, who would have
been excluded from the
program before, to benefit
from it now. It offers interest
rebates up to five percent-
age points on 1981 operating
loans, six-month interest
payment deferrals and gov-
ernment guaranteed new lin-
es of credit at the ptime rate,
Turn to page 6•
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