The Lucknow Sentinel, 1988-05-11, Page 3Lueknow Sentinel, Wednesday, May 11, 1988—Page 3
Banks are learning to deal with agriculture
The recent move by Canada's Chartered
Banks to gain access to the insurance
market has brought to the surface con-
cerns over the enormous power wielded by
these mega -institutions. Although the om-
nipotence of the banks affects every single
Canadian, it is surely of special interest to
those involved in agriculture.
Perhaps nowhere is the greed, short-
sightedness, and unscrupulousness of
financial institutions more evident than in
their dealings with farmers.
Talk to anyone who farmed more than
thirty years ago and you will hear about a
time when the average farmer just could
not get money from a bank. Repayment
ability or management expertise were
scarcely considered. Acceptable security
was a first mortgage on the farm and
nothing else. That was usually held by the
preceding generation so, in effect, farmers
were just considered a bad risk.
All that changed for a brief period in the
late sixties and seventies. Real estate
values were exploding, farmers were mak-
ing money and retiring rich and the banks
decided to get a piece of the action. Some
who got started during this time
remember being courted by two or three
rival bankers, each hoping to secure a new
farm account.
Many recall visiting the manager to bor-
row for some modest expansion and com-
ing out with plans to expand much further.
With inflation running three or four points
above interest it seemed the banks just
couldn't get their money into agriculture
fast enough.
And how co-operative we were, buying
bigger equipment, modernizing barns,
building silos and granaries like mad,
boosting output to lead to a worldwide food,
surplus that would nicely coincide with the
doubling of interest rates and the crash of
farm real estate values.
Exit the banks from agriculture, and
along with .them many, many farm
families.
Have we learned anything from this
sorry ordeal? We should have. The banks
have certainly learned to be much more
cautious, for the time being. But as
farmers we have to look at a much longer
time frame and when we do, we see that a
partnership between financial institutions
and agriculture is dangerous. Schemes to
make this partnership more palatable
abound. Equity financing, franchising, in-
terest rate subsidies, etc., all have some
strong points and many flaws.
Perhaps a solution for the future lies
somewhere in the past. There was a time
when outside money was not required,
when the farm was passed on from one
generation to the next. It may seem im-
possible right now, but as the farm crisis
deepens and the inadequacy of other solu-
tions becomes clear, we may begin to see
this old practice in a new light.
Respectfully Submitted,
Bruce County Federation
of Agriculture
It's time again for farmers and
students to apply for Agricrew
It is the time of year again when farmers
and students should be applying for the
Agricrew and Junior Agriculturalist Pro-
grams. These programs are funded by the
Ontario Ministry of Skills Development
and administered by the Rural Organiza-
tions and Services Branch of the Ontario
Ministry of Agriculture 'and Food.
For $110 per day, a farmer may hire a
crew of four young people to perform such
farm jobs as stone picking, haying, pain-
ting, weeding, fencing and other jobs. The
Agricrew works for an eight hour day, sup-
plies their own lunches, and is prohibited
from using creosote, driving farm vehicles
on public roads, using chemical's or chain -
saws, and doing second storey -construc-
tion. A farmer may have the Agricrew for
a maximum of five days in the summer.
Agricrew is available from June 20 until
August 19, 1988, and farmers are encourag-
ed to start booking in now. Students in-
terested in applying should do so shortly,
as interviews will soon begin. Students
must be between 15 and 24 years of age and
agricultural experience would be an asset,
but is not a requirement.
The objectives of the Junior
Agriculturalist Program is to offer sum-
mer assistance to farmers, offer urban
students an opportunity to gain farm ex-
perience, and bridge the rural -urban gap.
They should have an interest in
agriculture, be willing to learn, be en-
thusiastic, and have maturity. Host farm
families are selected on their need for
summer assistance, willingness and abili-
ty to teach, patience, and concern for the
Junior Agriculturalist. The Junior
Agriculturalist works for a maximum of 50
days with every second weekend off and is
paid $30 per day. The host farm family pro-
vides room and board and $15 per day of
the training allowance. Both students and
farmers are encouraged to apply soon, as
initial matches will be made in late May.
For applications or information on
either program, call 881-3671 or write to
the Agricultural Employment Services, 21
Jackson St. S., Box 908, Walkerton. NOG
2V0.
GOT THAT
TOO MUCH STUFF"
BLUES?
Bring it all to ...
LUCKNOW AND DISTRICT LIONS CLUB
GIGANTIC RUMMAGE SALE
LUCKNOW ARENA
Saturday, May 21, 1988
We'll take anythin
g ...
Old cars; books; golf clubs; horses.
Our Auctioneers say they can sell anything
DROP OFF ALL ARTICLES AT THE
LUCKNOW ARENA THIS WEEK
or
FOR PICK-UP
North of Main Street — Grant Farrish 528-2904.
South of Main Street — Donald MacKinnon 528-3043
Ashfield — Joe Van Osch 395-2865
West Wawanosh -- Steve Owen 528-2170
East Kinloss — Earl Stever 528-5643
West Kinloss part of Huron Township Allan MacDougall 395-2786
ALL PROCEEDS
TO
LUCKNOW
SPORTS
COMPLEX