PITTSFIELD ROTARY CLUB   District 6460    2-27-07

Rotary Farmer’s Day featured Dr. Bob Thompson, University  of Illinois professor and Co-Chairman of the group setting USA trade policies for agricultural commodities in the world..

Dr. Thompson stated that there are only three really fertile areas of soil in the world.  The central United States in this area, Argentina’s pampas and an area North of the Black Sea in the Ukraine.

The investment by government and the public in the business and future of farming has really paid off well… 2 percent of the population is engaged in farming……1.2 million residents of this country are in farming…. Over 20 percent of the population is engaged in  the food production and distribution  area.

35,000 farms produce ½  of all the commercial agriculture.

Agriculture is a unique risk…..no other business has the variable of weather in its all over risk factoring.

A farmer has to specialize in both financial and risk management.

5 commodities get 93 percent of government payments.

Rice, Cotton, Sugar cane and Dairy get a higher percentage of funds than Corn, Soybeans and Wheat.

There is a large problem in the up-coming remaking of the farm program….:

        What percentage should go to the individual commodities, and what percentage should go to the all-over good.

The World Trade Organization is working on getting fair to all in value pricing.

Budget constraints/higher prices on corn, and adverse articles in newspapers will result in a greater change in th all-over Agricultural Budget.

Global warming can result in a shift to more conservation.  Europe has already changed to supporting very specific cons

ervation practices vs commodities.

Food stamps, WIC, School lunches/breakfasts actually take about 50 percent of the U. S. Agriculture budget.  As a result, Urban support passes the farm bill…..

Renewable  fuels are one very large factor in getting continued governmental support of agriculture.

In the coming years, margins in animal agriculture are going to result in much higher prices for meat in the supermarkets.

Expect a shortening of supplies of corn fed beef, swine, poultry and lamb as a result of the large uses of corn for ethanol….

Farm bill math will provide more dollars for cellulose based fuel production.  (However, storage of the harvested  forage crop prior to processing is a really big problem. .The same problem exists for  sugar beets).

Low income countries of the world are driving world markets.

There is a need to accelerate production ability so that more food can go to growing populations……

Agriculture has a BRIGHT FUTURE!!

About 45 people attended to hear one of the outstanding speakers we have had for a Farmer’s Day…..

‘nuff said…..

Johnson Stilwell has returned in good shape, with a cane….Chuck’s doing better too… Life is good!!!

Eldon’s making up regularly while in California… how about some others making up??????

See you this Wednesday at ROTARY!!!