August 2, 2000

Farmers vent frustrations at Farmfest

By FRITZ BUSCH

Journal Staff Writer

GILFILLAN -- It was hot under the big forum tent as Farmfest 2000 kicked off Tuesday.

Some farmers attending the farm policy forum were even hotter.

"I'm so mad, I could kick over every chair under this tent," said Morris dairy farmer Randy Olson. "This is de'ja' vu. I've been hearing the same thing here for the past few years. What we need are fair, competitive markets."

Everybody agreed on one thing--much of the current federal farm policy is not working for small farmers.

Minnesota Representative Ted Winter, D-Fulda, a farmer himself, was also outspoken.

"The rest of the economy is doing well and we are in the tank because of stupid farm policy," said Winter. "It was written by the big grain and sausage companies for their profit."

Winter pleaded to Second District Congressman David Minge, D-Montevideo, to open LDP (Loan Deficiency Payments) for farmers for crops in the field instead for old crops.

"It would do two things," Winter said. "It would allow farmers to have some cash right now to buy back the old crop, which would keep it from being washed out of grain bins to the open market at low prices.

"It would also hold grain off the market, keeping big companies from buying grain at such a world salvage value price. It drives prices below production costs."

Winter said farmers would get control over the value of what they produce and their own destiny. They could at least get the federal crop insurance value.

He said big companies don't need to pay up for grain because they know it is scheduled to come under the federal farm program.

Minge argued that opening up LDP payments could have dire consequences if prices continued to fall. He urged farmers to contact him with their ideas on farm policy.

Winter said he still farms 250 acres of corn and soybeans under the federal farm program and can't make any money on it, so he and his wife have jobs off the farm.

"Any good businessman manages his inventory but farm policy isn't doing that," said Winter. "This is the dumbest thing in the world. We need international production control. A higher loan rate would make a better safety net and put big grain companies in check."

Winter said prices need to be adjusted to the economy of this country, not what it is in China or India.

Minge agreed the Farm Bill needs to go away.

"We need to bury the Farm Bill like a sick turkey," said Minge. "We have held many hearings on this issue. We want to hear from you. We need to fix problems instead of treating results. We have to stop using pain killers."

Chippewa County farmer Warren Christopherson said corn prices needed to be raised to $4 per bushel, like they were in 1996. He said he would like to see LDP payments eliminated.

National Farmers Union President Lee Swenson said he would like to see the U.S. lead the way in establishing an international school lunch program.

He said he expects farm prices to continue to sink.

"There is no bottom," said Swenson. "We need all WTO (World Trade Organization) countries to use set aside. We also need a soil restoration program."

He said currency inequities are most unfair trade element. Foreign countries move exchange rates to keep U.S. products less competitive.

Minnesota Farm Bureau President Al Christopherson said the best rural development is keeping existing businesses in small communities and forming farming alliances.

"Concentration is not in our best interest," said Christopherson. "We also need to get rid of trade barriers that put a 50 percent tariff on our export goods and only five percent on incoming goods."

He said sanction-based trade barriers are paid for by farmers.

Former National Farmers Organization President Eugene Paul said he doesn't believe that American farmers are in competition with other countries.

"Congress needs to look at farm policy closer instead of holding hearings about Microsoft and credit cards issues," Paul said.

Minnesota Agriculture Commissioner Gene Hugoson said the bottom line is that there is no easy answer to the complex issue of farm policy problems.

He said international retail food consolidation has created five companies that control grocery store shelves.

Hugoson said that oversees market need to continue to expand, but only after careful consideration of the consequences.

Wednesday, a forum on new state feedlot rules and pseudorabies regulations starts at 9:30 a.m. in the forum tent. A discussion on biotechnology in agriculture begins in the forum tent at 11 a.m.