Return to TFB Main Page
Return to Current Edition
Texas Agriculture Archive

March 3, 2006


Farm program payments facing closer scrutiny
USDA has developed an extensive database that can track farm program payments to individual recipients.

The creation of the database was mandated under the 2002 farm bill. Up to this point, payments could be traced to a recipient. However, if the payments were made to a cooperative or some other third party, they couldn't be traced to individual producers.

Several groups are calling on USDA to make the database available to the public.
Source: Doane's Agricultural Report; Feb. 3, 2006; Vol. 69, No. 5-1

Study shows 62 percent in Japan won't eat U.S. beef
Many adults in Japan express concerns about the safety of American beef, according to a poll by Asahi.

A full 62 percent of respondents say they would not consume American beef when it returns to Japanese stores.
Source: AFBF; Policy-Links; Feb. 2, 2006

Economic advisor council questions farm subsidies
The Council of Economic advisers and the White House recently issued the "2006 Economic Report of the President to Congress," a 400-page report that includes a section condemning U.S. farm subsidies.

The report suggests that U.S. and other countries' subsidies are detrimental to poor farmers of the world and cost the subsidizing governments excessively.

"A more economically efficient farm policy would reflect contemporary economic conditions, environmental needs and public values," the report says about U.S. farm programs.

Suggestions are for the government to develop new ways to invest for such things as land stewardship, providing revenue insurance to farmers, rural economic development or market promotion.

The report says programs that encourage U.S. overproduction result in poorer countries of the world losing export markets.

"U.S. agriculture will continue to be competitive if global agriculture policy distortions are eliminated," the report says.
Source: AFBF; Executive Newswatch; Feb. 14, 2006

U.S. agriculture ends 2005 with trade surplus
U.S. agricultural exports fell by about 9 percent from November to December, while imports rose by about 3 percent.

Calendar year 2005 exports, at $63 billion, are $1.6 billion higher than 2004. Imports are $5.3 billion higher at $59.3 billion.

While still maintaining a trade surplus, that surplus has shrunk from $7.4 billion to $3.7 billion for 2005.

Gains in 2005 export values of fruits, nuts, red meat and poultry meat more than offset declines in wheat, corn, cotton and soybeans. Lower prices for soybeans and cotton dropped values as the volume of soybeans rose about 2 percent and cotton shipments rose nearly 18 percent.

China continued to be the largest market for cotton and soybeans in December. On the import side, most of the 2005 increase comes from beverages (coffee, juices and wine), fruits, nuts and dairy products.
Source: USDA; U.S. Agricultural Trade Update; Feb. 13, 2006

Cargill offers new medical insurance for farmers
Cargill Inc. has introduced a new option for farmers looking to control rising health care costs.

The company will put money into farmers' health savings accounts through its Harvest Health program in exchange for grain contracts. Farmers must contract a minimum of 3,000 bushels to participate and the company will donate up to the maximum allowed by law—$5,450 for a family and $2,700 for individuals.

The program was rolled out recently in 18 states: Arkansas, Colorado, Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, New Mexico, North Dakota, Ohio, Oklahoma, Tennessee, Texas and South Dakota.
Source: AFBF; Executive Newswatch; Feb. 7, 2006

President Bush releases proposed budget for 2007
Agriculture is taking more than its fair share of the cuts in President Bush's proposed budget.

Eight percent of the cuts in the President's proposal come from agriculture, even though the ag budget is only one-half of one percent of the total budget.

These will be some fairly major reductions in payment limitations. President Bush is suggesting hits of 5 percent in marketing loans, 5 percent cut in direct fixed payments, and 5 percent cut in counter-cyclical.
Source: AFBF; Executive Newswatch; Feb. 6, 2006


Organic certification isn't as simple as it seems
Becoming a certified organic grower is not quick, easy or guaranteed profitable, according to Purdue University professors, organic food processors and farmers. It was noted that it takes years and a significant financial investment to convert to certified organic crops.
Source: AFBF; Executive Newswatch; Feb. 10, 2006