TUESDAY, AUGUST 14, 2007
Tuesday Edition: Increase in Corn Crop Yield
America's corn crop yield is expected to reach record-setting highs this year. On Friday, the United States Department of Agriculture (USDA) said
the average yield will be an amazing 158 bushels per acre. That is the second highest yield ever. The
record was set in 2004 at 160 bushels per acre.
Farmers who irrigate
their fields can
now sometimes pick 200 bushels of corn per acre. Let me put that in
perspective. In 1951 the average field
produced about 37 bushels per acre.
When I was a high
schooler, the local seed companies gave awards to people who could grow 100 bushel
an acre. We held people up as being "outstanding in their field" a little farm
humor there for growing 100 bushels.
By
1982, the average yield was 113 bushels per acre.
In 35 years, farmers have
found ways to increase average yields by more than 50 percent an acre. In other words,
they grow a lot more crops per acre.
Now, with so much corn in
the field, there is an impending shortage of grain bins in which to store the
corn.
The
Wall Street Journal reports:
Farmers
are up to their ears in corn and scrambling for places to store it.
With
demand for ethanol soaring, farmers around the country have planted more acres
of corn this year than at any time since World War II. The U.S. Department of Agriculture predicts the fall harvest will yield 12 to
13 billion bushels of the grain, enough to fill 183,000 Olympic-sized swimming
pools a far greater quantity than currently available storage capacity.
Purchasing Crop Insurance
These August
days of nutty weather are the days that keep farmers awake at night. They have
a nice crop in the field and then comes a windstorm, hail or flash floods that wipe it away. Journalists should learn about crop insurance programs that
farmers may purchase. The USDA site provides an overview of crop policies that's worth checking out.
The site says:
The farmer selects the amount of average yield he or she wishes to insure; from 50-75 percent (in some
areas to 85 percent). The farmer also selects the percent of the predicted price he or she wants to insure;
between 55 and 100 percent of the crop price established annually by [the Risk Management Agency of the Agriculture Department.]
You may not know that there is also livestock insurance.
Here are state and regional offices to help you get local. Locate a local crop insurance
agent near you.
The Crop Insurance Research Board has a useful 101 on crop insurance.
And, of course, when money and insurance are involved, there is often fraud. My friend John Burnett at NPR produced an outstanding project on crop insurance fraud a couple years ago. Give it a listen.
The Truth Behind Undue Farm
Subsidies
The
Boston Herald reports:
Washington spends more on corporate
welfare than on homeland security and farm subsidies are America's
largest corporate welfare program. This year, as lawmakers rewrite the farm
programs and push up their spending, they will invoke Norman Rockwell imagery
to portray farm subsidies as a vital lifeboat for small, struggling family
farmers. Dont believe a word of it.
Farms have come a long way since
subsidies were introduced as a temporary solution to alleviate the effects of
the Great Depression. Today, the average farm household earns $81,420 and has a
net worth of $838,875 both well above the national average. Farm incomes are
setting records, and farms have one of the lowest failure rates of any
industry.
To be sure, some family farmers continue to struggle. But if farm
subsidies were really about alleviating farmer poverty, then lawmakers could
guarantee every full-time farmer an income of 185 percent of the federal level
($38,203 for a family of four) for under $5 billion annually one-fifth the
current cost of farm subsidies.
Instead, small farmers are largely excluded from farm subsidies.
Farm subsidy payments are based on acreage, so by definition, the largest
agribusinesses get the largest subsidies. Most farm subsidy dollars go to
millionaires.
The Environmental Working Group's farm subsidy database reveals that from 1995
to 2005, farm subsidies have been distributed to Fortune 500 companies such as
John Hancock Life Insurance ($2,849,799) and Westvaco ($534,210), as well as
celebrity "hobby farmers" such as David Rockefeller ($553,782) and Ted Turner
($206,948). Even members of Congress who vote on farm legislation have received
subsidies, such as Sen. Charles Grassley (R-Iowa, $225,041) and Rep. John
Salazar (D-Colo., $161,084).
Click here to look
up who, in any zip code, county or state gets farm subsidies.
Black Farmers Gets Less Subsidy CashThe Environmental Working Group (EWG) has also
issued a study saying black farmers routinely get smaller subsidies than
white farmers. Could it be that black farmers operate smaller farms or don't grow
the crops generally covered by subsidy programs? The EWG says no, that the
disparity seems to be deeply rooted in discrimination.
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We are always looking for your great ideas. Send Al a few sentences and hot links.
Editor's
Note: Al's Morning Meeting is a compendium of ideas, edited story
excerpts and other materials from a variety of Web sites, as well as
original concepts and analysis. When the information comes directly
from another source, it will be attributed and a link will be provided
whenever possible. The column is fact-checked, but depends on the
accuracy and integrity of the original sources cited. Errors and
inaccuracies found will be corrected.
Posted at 9:37:04 AM
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