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Clinton News-Record, 1981-12-02, Page 12PAGE 12--CLINTON NEWS -RECORD, WEDNESDAY, DECEMBER 2 ,1 1 agriculture Task Force lists 20 recommendations The Ontario Federation of Agriculture's Emergency Task Force on Agriculture report, released last week has sharply criticized both levels of government and banks for the current "emergency" situation in Ontario farming. Task Force chairman Everett Biggs presented the report to a responsive audience at the Federation's 45th annual convention in Toronto, November 23 to 26. Biggs said the report was compiled in a scant eight weeks, adding that he did not realize the number of sub- missions and presentations that would be made. In ten public hearings, the Task Force accepted about 226 briefs and presentations from farm organizations, marketing boards, in- dividuals, agri-business, government and the banks., Biggs criticized the defensive attitude of government and banks when estimating the number of farmers facing financial difficulties. He said there was a lack of accurate in- formation being provided by bankers and government. The Task Force charged that banks encouraged over borrowing and gave poor advice to farmers. Of government, Biggs said there is a "lack of clear objective and policy - it's just notthere". A chart indicated $122 million should supply loan subsidies to Ontario farmers to reduce loans with 18 percent interest to . 12 per- cent. "These millions are being found for other ac- tivities, like energy," Biggs commented. He suggested politicians drinking a glass of oil for breakfast. While addressing the difficultiesof farmers in general, the task force said the red meat industry was particularly hard hit. "Without immediate action by government, part of the red meat industry will very quickly be lost to Ontario," the report states. Stressing the short time of the task force's preparation, Biggs said there was little time for research. The report was based on "The current situation principally as seen through the eyes of public hearings and within the very limited time frame of eight weeks." The report was accepted by the " OFA and the executive was authorized to organize seminars with government and businesses to lobby for the im- plementation of the recommendations. Biggs, reading from the Task Force report,' outlined the group's 20 recom- mendations which addressed the problems of the Ontario farmers and suggested policies for overcoming the difficulties. The recommendations, in summary, areas follows: Recommendations relating to general policies and programs: 1. The 1981 Agriculture Canada discussion paper "challenge for growth - and agri-food strategy for Canada" appears to provide an opportunity to develop short and long term agriculture pdlicies ... it is critical if the industry is to feel it has a sense of direc- tion and be able to meet the future needs of consumers. Such policies must be based on a clear understanding and acceptance by the two levels of government and by the public that the production of food and the economic health of the industry is as im- portant as energy supplies. 2. The province of Ontario DRYSDALE MAJOR APPLIANCE CENTRE LTD. SALES WITH SERVICE The Plate To Buy Appliances 4EW AND USED Her scall 262.2728 Closed Mondays should review subsidy and farm assistance programs available in other provinces, particularly Quebec ... to insure Ontario farmers are not disadvantaged through parochial policies of other provinces. 3. While supply management has been ac- cepted for several com- modities there are divided opinions as to its application to the red meat industry. Any changers requested by the industry should be pursued. 4. Ontario should establish a food land corporation to purchase farm lands, par- ticularly forced or bankruptcy sales. The specific purpose would be to lease the farm to a farm operator with preference given to the original owner. Financing could be a federal provincial , policy, but the urgency of the current situation may merit unilateral action by Ontario. 5. The federal income tax credit of seven percent should be extended to used farm machinery to en- courage the purchase of used machinery. 6. The resources of the economic branch of the Ontario ministry of agriculture and food must be strengthened with increased emphasis on marketing research, financial management and agri- business. The branch should also provide more support services for the provincial extension system while providing - more input into long term planning. 7. The ministry should give greater emphasis to financial management and marketing in their farm management programs. The programs should be closely scrutinized to determine _those activities which are not suited to the agriculture challenges of the 1980s. 8. Federal and provincial governments are urged to resolve a seeming impasse in income stabilization policy, as this program may well be the most significant component ,of a long term policy. Consideration should be given to developing a method of establishing support levels based upon current costs rather than the present method of using five year average prices and changes in cash crops. Recommendations relating to financing and credit: 9. An immediate moratorium should be im- posed on lending institutions to stop any action which would force a farmer into bankruptcy or voluntary liquidation of his assets. The interest could be guaranteed by the federal government for the period of the moratorium which should not be less than s ix months. During this period an In- tensive review should be made of the financial con- ditions of the farmer. Sub- sidies should be paid in order to result in an effective in- terest rate of 12 percent. 10. The farm credit cor- poration should immediately receive an infusion of suf- ficient capital to allow it to move immediately to assist farmers. Lowered interest' rates of 12 percent should be available for consolidation of debts and refinancing but not for capital expansion. 11. The FCC should be allowed to go to the private sector for funds which could be obtained through the sale of agri-bonds. These would carry an interest rate of 12 percent and interest earned would be tax deductible as an attraction for investors. 12. Farmers should be allowed to borrow directly from a private investor at a 12 percent interest rate, with the earned interest being tax deductible for the lender and the funds invested exempt from capital gains tax. This policy should also embrace farmers who sell their f arms and choose to invest such funds with farmers. 13. Small business development bonds should be expanded to encompass non -incorporated farm operations. This policy should give greater em- phasis and assistance for the consolidation of debts. It should also be made available for the purchase of used farm equipment. 14. Ontario should reconsider its position on long term credit for young and starting farmers. Recommendations relating to information, training and marketing: 15. Grade labelling on imported produce should clearly indicate it is not produced in Canada. 16. A strong, well-financed overall farm organization is a critical need for the present and the future. The OFA could consider joining with the National Farmers Union and the Christian Farmers Federation to present a stronger front. 17. Presentations indicated inadequate market in- formation for certain commodities. Ontario could consider making "seed money" available to the OFA to allow the OFA to step in the gaps where inadequate market information exists. Turn to page 13 • Huron County delegates from the East Central Region to the 1981 OFA Convention were (left to right) John Van Beers, Doug Garniss, John Nesbit, and Ralph Deweerd. news farm news Prevent stable injuries A popular area of interest in dairy housing, and this may be of greater interest to the free stall operation, is the use of the "Scabbier," to help roughen slippery concrete. Hundreds of dollars are lost every year by dairymen. who have been faced with the problem of slipppery con- crete flooring . causing permanent injury to milking cows and heifers.. One alternative is to roughen the surface using a wheel - mounted device called a scabbier, which has a series. of air -driven hammers or bits with hardened steel points. U.S. reports indicate heat detection has been easier because cows are more sure on their feet and less afraid of falling. The "Scabbier" is distributed in Canada by: Allan Fyfe Equipment, 261 Bowes Road, Thornhill (Highway 7 near Keele) Phone: 416-669-1313, and sells for $2,878 complete (five head L5 unit). The distributor was aware of the following rental outlets which have the "Scabbier" available: Newmarket Rentals, 180 Davis Drive, Newmarket, Ontario (895- 2345) - Charges $60 per day plus $40 per day for com- pressor (if desired): Will demonstrate for groups anywhere if the interest would make it worth their while (five head unit) . Ray Gordon Ltd., 21 Milvam Drive, Weston, Ontario. (one mile west of Highway 400 north of Finch) (742-3190) - Charges $75 per day plus $40 per day for the compressor. There is an additional charge of $105 for sharpening the bits each >- MORE " WATERBEDS t a a >- r WHY PAY MORE* WATERBEDS * WHY PAY MORE JUST ) ARRIVED! O 2 Tiffany Cane Waterbed Cash *Cheque Vise WSW' Cad FFURNffURE Open Daly 10 9 Saturdays tit 6 Yz MILE EAST OF McDONALD'S LTRATFORD 273'30601 time the machine is returned ( seven head unit) . Retizel Rentals, 85 Bridgeport East, Waterloo, Ontario. (885.5000) - Charges $45 per day plus $30 per day for the compressor. The person renting must supply his own bits, which they have for sale for $250 per set (five head unit); also available through other Reitzel outlets (London); all rental charges are for a 24-hour period. -Dennis Martin, Assoc. Ag. Rep. Drainage Law In a previous article, I discussed the law pertaining to surface and subsurface water. If someone has collected water by any means and is dumping it on your land, (not in a natural watercourse) there are a few ways to deal with it. (1) If the water is coming from a small watershed i.e. 50 acres or less, you might consider an agreement drain. You and your neigh- bour would share the cost of the outlet and future maintenance. An agreement should be drawn up and filed in the registry office. Your local agricultural engineer may help with the agreement. (2) If there are three or more properties involved or if the watershed is large i.e. over 50 acres, a municipal drain should be considered. This type of outlet is paid for Turn topage 13• Farm wives worth $682 a weep Guest speaker Gisele Ireland told the Nov. 17 an- nual meeting of the McKillop Federation of Agriculture at St. Coluo'iban Hall that at go- ing rates, she figures a farm wife is worth about $682 a week. They have to be very versatile, she said, . "and know a lot of little things about a lot of things." Mrs. Ireland, farm magazine columnist and ac- tivist who with husband Brian runs a hog operation near Teeswater gave a humorous talk on the trials and tribulations of being a farm wife, although with high interest rates and the country's economic slump she noted "it's getting harder and harder to find funny things to write about." "Romance and farmers - they just don't go together," Mrs. Ireland said, however most farmers get' married young because "things get lonely in the barn". And once a farm wedding takes place it tends to last. Farmers have a lower divorce rate, she noted, perhaps they can't afford a divorce or don't have the time. In a less humorous vein, Mrs. Ireland said the objec- tive of farm wives' groups that are springing up is to in- tegrate with men's groups to give all farmers more political clout. Women make a lot of noise, she observed, and are a lot meaner than men. When women want it, she said, they want it right now. Mrs. Ireland said simple division shows only a max- imum of 250 farmers can be helped by the $45-millioh in- fusion into the Farm Credit Corp. announced in the re- cent federal budget. She also took a swing at low interest small business development bonds which were extended to farmers for the first time in the federal budget. "We got another rip off," she , said, the interest rate ap- pears to be higher than we assumed. Instead of half of the prime rate plus two per cent which was the old rate, it appears the new rate is half of prime, plus two, plus another six per cent. Secretary -treasurer Marie Hicknell, who resigned at the meeting because of other commitments, reported the McKillop federation has a balance on hand of $625.82. Christa Eckert accepted the nomination as Mrs. Hicknell's replacement. The remainder of the ex- ecutive was returned: presi- dent Ken Scott, first vice- president Kevin Kale, and second vice-president Bill Murray. John Nesbitt, a guest representing the Huron Federation of Agriculture on which he is a director, spoke from the floor on his concern of foreign ownership of farmland becoming an issue in the Myth area. Because of the presence of the press he was reluctant to identify the individual or in- dividuals involved, but said 4,000 acres have been pur- chased by foreign investors, who won't farm it, but rather use it strictly as an invest- ment. Mr. Nesbitt said he doesn't - think this land will ever be. broken up into small parcels again, and he urged anybody concerned with the prospect to contact area MPP Jack Riddell. Chained Lightning... Stop in today for a demonstration on the new line of John Deere Chain Saws. Choose from sever models - 30 to 78cc.12 to 27 -inch spocket-nose guidebar. Each has a chisel or semichisel chain, automatic oiler, and counterbalanced crankshaft. Convenietly located handles and controls. Throttle/trigger interlock provides added safety. 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