The Rural Voice, 1982-10, Page 10of developing their own bargaining power
in the market place. But this time instead
of voluntary co-operatives, they began to
think about some form of compulsory
cooperation. This took the form of
government legislation which provided
for producer marketing boards. Before
this came about there were various price
support and stabilization acts which
meant that this support came from the
government, or more specifically from the
taxpayer in the form of subsidy cheques.
The taxpayer began to revolt against
rising govt. expenditures for agricultural
subsidies, and farmers too, were not
happy receiving government cheques.
They wanted a price in the market place
that would yield them a fair return on
their capital, labour and management.
You can tell by now that 1 think
marketing is just as important as all the
other factors that go into farming. Those
of us who are in commodities organized
into marketing boards are gaining the
benefits of our labour. We are not giving
our food away. Those of us in the egg
business went through the cycles of boom
and bust 10 years ago, which the pork and
beef industry continue to have. The
trouble is that the m w part of the cycle is
getting longer, and these other industries
are studying improved marketing me-
thods.
An example of organization in mar-
keting is the oil producing countries who
formed OPEC. In 1971, oil was selling for
$2.70 per barrel. In 1982 - $40.00/barrel.
In the same time frame, 1971 corn sold
for $2.50, and what is it today - the same,
approx. $2.50. Isn't that something!! And
we are using that expensive oil to operate
the farm equipment to plant and harvest
that same $2.50/bu. corn. The input
costs for farming, largely caused by
increased fuel prices, and high interest
rates are rapidly outpacing farm incomes.
As a result the farming economy is
slowing down. And the agriculture indus-
try does not end abruptly at the fence -
lines. Most towns and cities in this
country have some type of agricultural
activity in their midst. Farm related
industrial activities,take the form of farm
machinery and fertilizer dealers in the
local towns, firms producing grain box
cars in Montreal, farm trucks rolling off
the assembly line in Oshawa, meat
packing plants in Toronto and Kitchener,
the banking industry, the terminal eleva-
tors, ports and ships. The food supermar-
ket in e% ers town and city in this country
Ontario
THE ONTARIO
MINISTRY OF
AGRICULTURE
AND FOOD
Congratulates the new
owners of THE RURAL VOICE.
We would also like to remind
its readers that the Ministry
is committed to supporting
agriculture... providing
advice and assistance to
help you, Ontario's farmers,
grow crops, raise livestock
and market your products.
Information and consultation
are as near as your telephone.
Talk to one of our 54
agricultural representatives
across the province. You'll find
them in the Blue Pages of your
telephone book
Ministry of
Agriculture
and Food
Dennis R. Timbrell
Minister
Duncan Allan
Deputy Minister
PG. 10 THE RURAL VOICE i OCTOBER 1982
is a further reminder that food production
and consumption are of direct interest to
23 million Canadians.
A new industry has a multiplier effect
of 7, so. you can see what a healthy
farming industry can do to create other
industry to help the Canadian economy.
In 1979, Canadian farmers spent about
$10.4 billion on inputs for their business.
This huge expenditure helped to sustain a
great variety of industries in the urban
sector. A farm machinery industry invol-
ving 6 companies, 143 plants and over
15,000 employees, a fertilizer manufac-
turing industry including several mines
and chemical plants and employing over
8,000 people, a pesticide industry inclu-
ding 40 companies and 1,200 employees, a
feed industry employing 10,000 people in
2,000 feedmills; a farm credit business
involving government agencies, banks,
credit unions and finance companies
which now extend over $8 billion worth of
credit annually to farmers.
By working in farm organizations we
work toward a better understanding
between the agricultural producer and
food consumer in this country. This will
bring about a stronger agricultural indus-
try and country where we can live in
harmony.
QUALITY PRESSURE WASHERS
700-2000 PSI
ELECTRIC OR
GAS ENGINE
7 models
1200E shown
a
• QUIET
• RELIABLE
• EFFECTIVE
apps
Clmton,Ontano NOM 110
CaII for
on-farm
Demonstration