The Rural Voice, 1979-05, Page 16mmmmmmmimmmm
A matter of principle
by J. Carl Hemingway
By the time you read this we will be a little over half way down
the trail to the Federal Election date.
I'm still looking for a definite platform of each of the parties.
So far it's much like the old Indian said about the weather during
a dry spell "Heap big black cloud, heap big wind, no rain!."
We are getting some pretty definite statemetns. Let's do a
little thinking before we accept them.
Gene Whelan was reported by the media to have stated that
Canada has done the best job inthe world of marketing grain.
However, food supply experts estimate that there is a world
stockpile of grain for three months. The media also reported that
Mr. Whelan stated that Canada has a reserve of 1 year supply of
grain.
Is Canadian grain being efficently sold if we are being forced
to stockpile one year's supply of grain while other countries are
only storing a three month supply?
Since the delivery quota system forces farmers to provide
storage facilities for most of this extra stockpile of grain it would
seem to be an unfair expense that Canadian farmers are forced to
pay to give Canadian consumers the security of a nine month
supply of food grain after the "cupboard" in the rest of the world
is empty.
I'm sure consumetslon't realize what this costs the farmer.
If a western farmer has 100 acres of wheat it means that he has
to have storage for his total crop on an average. With a yield of
30 bus per acre this is 3,000 bus. Sale value amounts to $9,000.
Since the farmer would average one half of this in storage for
the whole year it would amount to an interest cost of $4.50 at
10%.
If the western farmer is to have a minimum income he would
need at least 500 acres of wheat or an interest cost of $2,250. for
the year. On top of this he would have the interest cost on the
capital cost of hisst)rage facilities which could easily be an extra
$2,500 or a total of $5,750. per year.
Then if he has to have credit for a fair portion of his production
costs his suppliers will gladly supply him with credit until he
sells his grain for a slight consideration of from 11/2 % to 2% per
month on the unpaid balance.
And Canada has the best grain marketing system in the
World?
Presently the Federal Department of Agricutlure is working on
an improved stabilization program for farm prices for farm
products.
We had a speaker from the O.F.A. at the last Huron County
Directors and members meeting in Grey Township a week or so
ago to explain the proposals that were being planned.
I've been a member of the Federation of Agricutlure since
1941 and this organization is still looking to government for
hand-outs to have a decent living.
In the question period that followed I asked him if the new
stabilization plan would apply to those products that are now
marketed through a quota production marketing plan. He replied
that products presently marketed under a quota marketing plan
would not be affected since their members did not wish to
participate.
If quota production marketing plans are providing a
satisfactory income for the producers of eggs, milk, chicken
broiler, turkeys, tobacco etc. isn't it about time the rest of us
smartened up?
If we really want to do something where government could be
effective let us press for government action to get away from
PG. 14 THE RURAL VOICE/MAY 1979
New Phone
now
519-523-4552
(Please Phone in Evening)
TRANS - CONTINENTAL BOLT CO.
Carter g. Representative
/`onaCd
BOX 255 BLYTH, ONTARIO
NOM 1H0
We are specialists in select pre-pak assortments of high quality
grade No. 5 zinc -plated bolts, especially designed for repair
and maintenance of farm and ranch equipment with a contin-
uing restock service programme.
NAME
Quality, Savings, Convenience
ADDRESS
LOT
TWP
PH.
CON