The Citizen, 1992-03-11, Page 15THE CITIZEN, WEDNESDAY, MARCH 11 , 1992. PAGE 15.
Prices higher at Brussels Livestock last week
Sales at Brussels Livestock for
the week ending March 6 were:
slaughter cattle, 815; cows, 285;
veal calves, 240; lambs and goats,
79; stockers, 989; pigs, 259.
The trade at Brussels Livestock
this week saw premium cattle $2
higher with second cut cattle $1
higher. Cows were $2 higher.
There were 584 steers on offer
selling from $82 to $92.50 to the
high of $104. Eight steers con
signed by William Bennet & Sons
Farms, Gorrie averaging 1328 lbs.
sold for an average of $96.10 to the
high of $104 purchased by Nor
wich Packers. Thirty-three steers
consigned by George Adams,
Wroxeter averaging 1302 lbs. sold
for an average of $84.80 to the high
of $89.25. Fifty steers consigned by
W. B. Pletch Co. Ltd., Rockwood
averaging 1319 lbs. sold for an
average of $89.10 to the high of
Proper farm records help
avoid year-end surprises
BY BRIAN HALL
FARM MANAGEMENT
SPECIALIST FOR
HURON COUNTY
It is that time of year again. If
you use a farm operating loan, you
likely know about preparing crop
and livestock production plans, a
debt servicing worksheet and a
cash flow. These projections are
important as they set out objectives
and specify expectations for your
farm for the year. Your lender like
ly requires these statements to
determine the amount of operating
credit needed.
In order to avoid any year-end
surprises about where the money
went, here are some tips to help
you manage the use of your operat
ing credit.
The first thing to remember is
that operating credit is a revolving
line of credit. This means that it
should be paid down by the end of
the cash flow period. In reviewing
your projected cash flow, check to
see if the balance of the operating
loan at the end of the year is at least
as low as at the beginning. Remem
ber, if it can't be done on paper it
usually won't happen in the field or
the bam.
The cash flow can be used to
monitor business during the year,
which helps achieve the plans set
out for the farm. After spending
hours to prepare a cash flow for the
farm it should be used to monitor
where the money comes from and
where it goes during the cash flow
period.
To monitor the farm operation
compare the cash flow at the end of
each month to the books. This will
help you plan ahead and anticipate
any changes that need to be made.
The other benefit of monitoring the
cash flow is it helps to keep your
focus all year long on achieving the
goals set out for the farm.
Another idea is to possibly
reduce inventories. It usually does
not pay to stock pile seed, fertilizer,
etc. on borrowed money unless the
savings are greater than the interest
expense. Demand loans through the
banks or through suppliers are
compounded monthly (similar to
credit cards). Suppliers may be
keen to deliver supplies early. Sup
pliers like to plan their needs ahead
of the spring rush to avoid any last
minute shortages. They also don't
like to hang on to products any
longer than they have to. Try to
time payments to when cash flows
in as much as possible. Rent pay
ments are a good example here.
Increase frequency of buying and
selling. Buy supplies only as need
ed. Cash cheques immediately.
Take advantage of interest free
periods available with expenses
such as suppliers, telephone and
hydro.
You may find it interesting to
monitor your living expenses. If
you do not already have one, a per
sonal chequing account for family
needs allows you to separate per
sonal from the farm business. Many
lenders encourage this. Once a
month a transfer can be made from
the business to the personal
account.
Are there any capital items on the
farm that maybe are not paying
their way and could be sold to
reduce the operating costs?
Finally, remember the operating
loan should not be used for the pur
chase of capital items such as
equipment or for holidays or fixing
up the house. If you need to borrow
for these items, arrange for a term
loan. Good luck with achieving
your plans for the farm.
$95.75. Twenty-four steers con
signed by Gerald Geisel, Elmira
averaging 1480 lbs. sold for an
average of $87.45 to the high of
$90.75. Forty-one steers consigned
by Maple Emblem Farms, Dungan
non averaging 1412 lbs. sold for an
average of $86.35 to the high of
$90.90.
Forty-one steers consigned by
Cunningham Farms, Lucan averag
ing 1460 lbs. sold for an average of
$86.05 to the high of $92. Thirteen
steers consigned by Murray Shiell,
Wingham averaging 1315 lbs. sold
for an average of $83.85 to the high
of $90.50. Thirteen steers con
signed by Murray Forbes, Clinton
averaging 1380 lbs. sold for an
average of $85.50 to the high of
$87.50. Sixteen steers consigned by
Ken Eadie, Holyrood averaging
1511 lbs. sold for an average of
$85.30 to the high of $86.75.
Twelve steers consigned by Dale
Taylor, Creemore averaging 1532
lbs. sold for an average of $83.15
to the high of $86.
There were 219 heifers on offer
selling from $72 to $88.35 to the
high of $94.60. Seven heifers con
signed by G. A. Steward Farms,
Ripley averaging 1124 lbs. sold for
Letter to the editor
Chicken Bd.
says KFC
wrong
Tips on how to run a smooth
operation for your group
BY JANE MUEGGE
RURAL ORGANIZATION
SPECIALIST FOR HURON
COUNTY, OMAF
The terms “Director” and “Board
of Directors” are very familiar to
most members of organizations.
But do your members, and, more
important, your directors, know
what their role is?
Directors are responsible for
managing the affairs of an organi
zation and for applying its constitu
tion and bylaws. They have no
obligation to act honestly, in good
faith and in the best interest of the
organization at all times.
Here are some “Survival Tips”
for your Directors:
• Attend all board meetings and
keep your own meeting notes.
• Review all minutes and insist
on corrections.
• Insist on written legal and pro
fessional opinions when necessary.
• Ensure that minutes record any
disclosure, dissent or refraining
from voting.
• Vote against cash disburse
ments if there is a chance that the
organization may not have enough
funds.
• Ensure that internal controls are
in place to oversee finances (ie.
Continued on page 21
THE EDITOR,
A spokesperson for Kentucky
Fried Chicken stated on a recent
C.T.V. national newscast that
prices in Kentucky Fried Chicken
stores are much higher in Canada
because of marketing boards.
The Ontario Chicken Producers'
Marketing Board warns that this
statement is false and the Board
will not accept statements which
blame the chicken producers of this
province for prices in Kentucky
Fried Chicken stores.
Today, farmers are being paid
just under $2.00 for a chicken. The
processor who pays that $2.00 cuts
the chicken into nine pieces. These
nine pieces are then sold to Ken
tucky Fried Chicken for about
$3.50. However, when consumers
buy the chicken in a box at a
K.F.C. store, they are charged more
than $11.50. The Ontario Chicken
Producers' Marketing Board is sur
prised that Kentucky Fried Chicken
would go on national television and
blame the farmers for prices in
K.F.C. stores.
If Ontario chicken producers
gave their chickens away for abso
lutely nothing, and the processing
plants charged nothing to process
them, a small box of Kentucky
Fried chicken would still cost con
sumers $8.00 which is $2.00 more
than the U.S. price.
In 1981 Ontario chicken produc
ers were paid $1.10 per kilogram
for their chicken. Today, a decade
later, they are receiving $1.11 cents
- only one penny more, and yet, Lhc
public still thinks the farmers are to
blame for the higher prices.
The price of a bucket of chicken
is a lot higher in Canada than the
United States, but marketing boards
are not the reason. The Ontario
Chicken Producers' Marketing
Board regrets that Kentucky Fried
chicken has suggested otherwise.
Roy Maxwell,
Board Communications
The Ontario Chicken
Producers' Marketing Board.
an average of $86.15 to the high of
$88.75. Six heifers consigned by
Terry McCarthy, Dublin averaging
1273 lbs. sold for an average of
$87.80 to the high of $88.30. Six
heifers consigned by Mcrv Mc
Pherson, Orangeville averaging
1115 lbs. sold for an average of
$87.40 to the high of $89. Four
heifers consigned by Ross Corbett,
Exeter averaging 1050 lbs. sold for
an average of $85.90 to the high of
$86.80.
Fourteen heifers consigned by
Doug Simpson, Orton averaging
1129 lbs. sold for an average of
$85.65 to the high of $86.75. Forty-
two heifers consigned by Melvin
Bearinger, Mount Forest averaging
1113 lbs. sold for an average of
$85.35 to the high of $90. Four
heifers consigned by Brad Marlin,
Drayton averaging 1055 lbs. sold
for an average of $85.30 to the high
of $87. Four heifers consigned by
Ken Kraemer, Walkerton averaging
1163 lbs. sold for an average of
$84.70 to the high of $88.75.
There were 285 cows on offer
selling from $51 to $60 to the high
of $68. One cow consigned by John
McKee, Listowcl weighed 1400
lbs. and sold for $68. One cow con
signed by Ronald Mcnary, Luc
know weighed 1470 lbs. and sold
for $65.75. Five cows consigned by
Carl Hinz, Monkton averaging
1568 lbs. sold for an average of
$61.10 to the high of $62.75. Two
cows consigned by Peter Ncwans,
Mildmay averaging 1425 lbs. sold
for an average of $60.20 to the high
of $65.
There were 240 veal on offer
selling from $68 to $90.50 to the
high of $113. Three veal consigned
by Wayne Brown, Monkion aver
aging 490 lbs. sold for an average
of $91.85 to the high of $94. Two
veal consigned by Wayne
Brillinger, Ayton averaging 640
lbs. sold for an average of $90.75
to the high of $96.50. Five veal
consigned by Bob Spence, St.
Marys, averaging 592 lbs. sold for
an average of $90.35 to the high of
$97.50.
There were 259 pigs on offer
with 85 paper pigs.
Pigs 20 to 30 lb. sold to a high of
90 cents per lb.; 30 to 40 lbs. to a
high of 78 cents per lb.; 40 to 50 lb.
to a high of 75 cents per lb.; 50 to
60 lb. to a high of 82 cents per lb.;
over 60 lbs. to a high of 72 cents
per lb.
FIRST LINE SOYBEANS
A.C. BRAVOR
3 Year Ave. 12 Trials
Yield Index 110
Call
John A. Van Beers
R.R. #1 Blyth 523-4431
BRUSSELS LIVESTOCK
Division of Gamble & Rogers Ltd.
UPCOMING SALES
_____________________________
TUESDAYS
THURSDAYS
FRIDAYS
10 a.m. Slaughter Cattle
& Cows
Veal, Goats,
Sheep &
Lambs
Stockers
Pigs
11
11
1
a.m.
a.m.
p.m.
BRUSSELS 887-6461
"CHICK DAYS"
Early Date
Order by April 15/92
Delivery May 8/92
Late Date
Order by May 15/92
Delivery June 5/92
Ducks & Geese - June 5 Only
Turkeys available both dates
Mixed meat chicks
strong legs, excellent livability
DAUPHIN
FEED & SUPPLY
"Partners In Performance"
DUNGANNON WALTON
529-7951 529-3133 887-6023
1-800-665-5675