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Texas
Agriculture Archive
Are you cool with COOL?
Administrative costs of Country-of-Origin Labeling are beginning to sink
in among farmers who pushed for the legislation.
Calves born this spring must be traceable at slaughter
after September 2004, when packers will demand proof of origin. So will
pigs and lambs born starting in December 2003.
Source: ProFarmer Connection, Vol. 2, No. 6,
March 20, 2003
Farmers could grow a record corn crop and increase their wheat and soybean production this year if the weather is better than in 2002, the Agriculture Department's chief economist said, according to The Associated Press.
Keith Collins said that corn production is expected to be 10.3 billion bushels this year, compared with the 9 billion bushels grown last year. A record bumper crop of 10.1 billion bushels was grown in 1994.
Collins also predicted wheat production will be 2.07 billion bushels, an increase from the 1.95 billion grown last year. Soybeans are projected at 2.82 billion bushels, compared to last year's 2.75 billion bushels.
Crop yields tumbled last year because of drought and flooding, but prices went up because of the smaller supply.
However, farmers probably will see crop prices drop this year because "rebound in yields and strong competition from traditional and newer competitors will likely cause a pull back in prices," Collins said at a conference on the future of agriculture.
Collins, though, cautioned that it's difficult to know whether his projections will come true because of the ongoing drought in the West.
Consumer prices probably won't be affected by the increase in corn, soybean, and wheat production, Collins said. However, it could affect meat prices, he noted, because much of the corn grown in the United States is fed to livestock.
Beef production may begin to rebound this year and beef exports
may expand, but if the drought continues, ranchers will struggle. Collins
warned that higher beef prices at the store could hurt consumer demand,
adding to the cattlemen's woes.
Source: DTN: Washington
Ag—USDA's 2003 Crop Outlook
In 1989, the United States and Canada began eliminating import tariffs and other trade restrictions under the U.S.-Canada FTA (Free Trade Agreement). In 1994, with implementation of NAFTA (the North American Free Trade Agreement), the accord was expanded to include Mexico.
Since then, U.S. trade in horticultural products with Canada and Mexico has expanded significantly. North America's fruit and vegetable industries, as well as consumers, have benefited from new market opportunities opened up by lower tariffs, import license elimination, greater consumer choice and a more transparent business environment.
Today, Canada is the top export market for U.S. horticultural
products, while Mexico ranks as the fourth largest. The United States
has a positive horticultural trade balance with Canada, but an increasing
trade deficit with Mexico.
Source: USDA/FAS; AgExporter, February 2003
Audit sought
for four beef packers
According to Agriculture Secretary Ann Veneman, USDA
is seeking $1 million from Congress in order to review the financial information
of the nation's four largest beef packers.
The audit will look at the financial information of Tyson Foods Inc., Cargill Inc., Swift and Co., and Farmland Industries. USDA's Grain Inspection Packers and Stockyards Administration (GIPSA) will perform the audit with the funds requested. GIPSA Deputy Administrator JoAnn Waterfield said the audit request stems from a study last year of packer-owned animals. The study revealed some inconsistencies in the financial reporting done by the four companies. Waterfield feels that taking a closer look at four major packers will lead to more financial protection in the industry.
"Meatpacking is a dynamic industry. We need to find out what's going on with packers, how they keep their records," Waterfield said.
Audit results will not be available until 2006. GIPSA
also plans to look at the largest pork producer plants as well as smaller
packer operations and sheep slaughterhouses following the beef packer
audit.
Source: AFBF: Executive Newswatch, Feb. 28, 2003
Gift tax exclusion
remains at $11,000
The gift tax exclusion remains at $11,000 for 2003. The 2001
Tax Law boosted the exclusion from $10,000 to $11,000 effective in 2002.
A donor can make any number of gifts up to $11,000 per recipient.
Husband and wife can each give $11,000 for a combined total of $22,000
per recipient, per year, without needing to file a gift tax return.
Source: Doane's Management Planner, March 14,
2003
