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The Rural Voice, 1983-09, Page 7MENT: It was reached in Vienna in August and it requires the Soviets to buy at least 9 million metric tons of grain each year from the U.S. (Roughly half corn, half wheat.) That's up from the previous minimum of 6 million. Without of- ficial U.S. government approval the Soviets can buy up to 12 million. This maximum is up from the previous 8 million. As an added incentive, the Soviets can reduce the minimum for corn and wheat to 8 million metric tons by buying 500 thousand tons of soybeans or soybean meal in any year. (By the way, they did buy some beans in the early -to -mid stages of the bull market, one reason there was great commercial support as prices gathered steam.) SOME PEOPLE ALWAYS GET BURNED AT THE TOP OF BULL MARKETS. Take it from a wise man of the markets, Jim Gill. "Those who always thought they were poor will try to get rich in a hurry. If you are using the market to prove something- --then you are on the road to lose. Remember the old rule --When you make money in a bull market, you will fritter it all away. Make money in a bear market and you will be scared enough that you will keep it." Those are some warnings for would-be speculators. These bull markets go higher than you ever think possible and just when you finally think prices will smoke ever higher for sure, they are probably peaking. FARM MARKET PERSPECTIVE and Ontario production areas. FINALLY, SOME STRATEGY IDEAS: Many U.S. advisory services were telling their consumers to be sold out of about half their corn and soybeans by August 16th or so. (That's 1983 production... use con- servative yield estimates in gauging percentages to contract. Early frost would damage late planted crops.) Also: Learn about selective hedging and be ready to consider selling small portions of 1984 production by using futures if those Chicago markets challenge 1980 highs. Think about INFLATION... It's still a ways off, but higher food costs could result from the U.S. drought, and budget deficits are still high. So it could return in 1984 or '85. LAND PRICES: SOME LOCAL FIGURES...The average for a sampl- ing of Oxford County transfers was $2,094 per acre, for 1982, according to a study by Muir Appraisal Services in Woodstock. The average for the first 6 months of 1983 was lower: $1,866. A drop also occurred in Mid- dlesex and Elgin Counties, according to a survey by Deloitte, Haskins and Sells, Associates, in London. All sales of 50 acres or greater in Middlesex showed an average reduction of 21 per cent comparing Feb. to May of 1983, with all of 1982. In Elgin, the drop was 11 per cent. WHITE BEANS: Looking brighter, now that the 1982 crop plus last year's carryover should be under 7 million bags...that figure includes the tan, Minnesota, North Dakota, selling corn for cash while using cheaper feed alternatives to feed livestock, and note that the livestock outlook is brighter now that U.S. farmers will cool meat output. Expect the higher grain markets to stabilize or even boost farmland, rent, and machinery prices, and act according- ly. These are some opinions gathered from top farmers and analysts who see opportunities in today's exciting farm markets. They admit, of course, that the big problem of tight credit is still thwarting attempts at recovery on many individual farming operations. FIRST LINE WHEAT SEED CaII us First Your first call for winter wheat seed should be to a FIRST LINE SEEDS shareholder/grower. • Fredrick and Gordon varieties. • Certified, registered or foundation seed available. • 25 Kg. bags or bulk pick up at some locations. • Discounts for volume and/or bulk orders. FIRST LINE SEEDS LTD. R R a2. GUELPH ONTARIO. CANADA N 1 H 6H8 For wheat seed or more information contact: JOHN HAZLITT, benmiller acres 524-7474 R.R.4 Goderich. N7A 3Y1 BEV HILL, Hill & Hill Farms Ltd. 482-3218 Varna, Ontario. NOM 2R0 HUGH SCOTT, H.J.A. Farms Ltd. 345-2886 R.R. 2 Staffa. NOK 1Y0 GORDON STRANG, Strang Farms 235-1466 R. R.3 Exeter. NOM 1S0 THE RURAL VOICE. SEPTEMBER 1983 PG. 5