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" I heard it
through the
AgLine"
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April 8, 2011
·
US farm
groups brace for steep spending cuts
·
Japan to ease
restrictions on some produce
·
Montreal
boasts huge rooftop garden farm
·
World food
prices retreat just a little – UN
·
Global
warming creates ideal crop conditions
US farm groups brace for steep spending cuts
(Dairy
Herd Network) – Facing billions of dollars in potential cuts to government
agriculture programs, U.S.
farm groups say they’re willing to cut their “fair share,” but not more than
that, to help reduce the country’s spiraling budget deficit.
The House Budget Committee, in its fiscal 2012 spending plan
released April 5, called for a 23-percent reduction in agriculture spending
next year as part of a longer-term farm program downsizing the committee said
would save U.S. taxpayers $30 billion over the next decade.
Given the U.S.’
budget woes, cuts to agriculture programs appear inevitable, farm group
representatives said.
“Something has to be done about the budget deficit, and
agriculture is willing to do its fair share,” said Mary Kay Thatcher, director
of agricultural policy with the Washington, D.C.-based American Farm Bureau
Federation. “We just don’t want to be asked to do more than our fair share.”
Agriculture is among at least eight federal programs slated
for smaller budgets in 2012 as Congress and the White House try to rein in a
budget deficit that’s expected to reach nearly $1.4 trillion this year.
The Republican-controlled House Budget Committee said its
plan, which it deemed the “Path to Prosperity”, will reduce government spending
by $6.2 trillion over the next decade, partly by cutting Medicaid health care
benefits and eliminating redundant programs.
Other areas targeted for cuts include environmental
programs, health care, science and technology and transportation. Meanwhile,
the committee proposed spending increases in areas including Social Security
and the global war on terror.
Time to re-examine farm programs
With farmers reaping near-record income amid soaring crop
and livestock prices, the committee said it’s time for a “re-examination” of
U.S. Department of Agriculture programs to “ensure that taxpayers aren’t
funding support for a sector that is more than capable of thriving on its own.”
“Against the backdrop of an overall economy that is
recovering slowly, the American agricultural sector is racing ahead,” the
committee, led by Paul Ryan (R-Wisconsin), said in the report: “With crop
prices – and deficits – hitting new highs, it is time to adjust support to this
industry to reflect economic realities.”
Under the budget proposal, agriculture spending in fiscal
2012, which begins Oct. 1, would fall to $20 billion from $26 billion in 2011.
Through the rest of the decade, annual agriculture spending would fall roughly
another 14 percent, on average, from 2012 levels.
The committee suggested curbing fixed payments crop growers
receive irrespective of price levels and reducing the government’s support for
crop insurance so producers “assume the same kind of responsibility for
managing risk that other businesses do.”
Also, the committee recommended reforming the Supplemental
Nutrition Assistance Program, the food stamp benefits administered by the USDA.
Based on an initial reading of the proposed budget, “we
don’t believe that they have indeed asked for more than our fair share,” the
Farm Bureau’s Thatcher said.
Nutrition program cuts may affect livestock producers
It isn’t yet clear what specific agriculture programs may
actually be cut or what the impact will be on USDA operations, industry
representatives said. A USDA spokesman declined to comment.
The committee’s plan is “light on details,” but implies
lower direct payments to crop producers, said Rich Pottorff,
an analyst with Doane Advisory Services. Generally
speaking, the proposed agriculture cuts probably wouldn’t have a major impact
on livestock and dairy producers, he said.
“The bigger impact might come from the cuts in nutrition and
other social safety net programs,” Pottorff said in
an April 6 e-mail. “To the extent that we reduce people’s ability to buy food
or get it at reduced or no cost, we reduce demand for livestock products.”
“Cutting funding for other social programs would probably
also tend to reduce demand for livestock products,” he added.
U.S.
beef and pork producers don’t receive direct government report, industry groups
said. But the pork industry, and the public, does benefit from some
government-funded programs, including those dealing with conservation, animal
disease surveillance and food safety, said Dave Warner, spokesman for the
National Pork Producers Council.
“Over the past few years, pork producers have had to tighten
their belts,” Warner said in an e-mail. “And now it’s time for the federal
government to do the same.”
Digging out of a deep hole
Frank Lucas (R-Oklahoma), chairman of the House Agriculture
Committee, said the budget proposal merely offered suggestions on where to
reduce spending. Ultimately, the agriculture committee will make the spending
decisions that will be part of the 2012 Farm Bill.
“The House Budget Committee has outlined a plan that may
shock some, but this only illustrates the deep hole we are in,” Lucas said in
an April 5 statement. “While I might not agree with every proposed cut, we are
well past the point where trillion-dollar deficits can be ignored.”
While farm subsidies have drawn criticism for years,
agriculture represents just a fraction of overall government expenditures, or
outlays.
At a projected $20 billion for fiscal 2012, agriculture
spending would account for 0.6 percent of total federal outlays, which the
House Budget Committee pegged at $3.53 trillion.
Defense outlays, estimated at $594 billion
in 2012, account for 17 percent, while Social Security, at $766 billion,
accounts for 22 percent, according to the report.
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Japan to ease restrictions on some
produce
TOKYO (AFP)
– Japan on Friday signalled it would lift some
restrictions on produce from areas near the stricken Fukushima Daiichi nuclear
plant that were imposed due to concerns about radiation contamination.
Restrictions on milk produced in Fukushima prefecture would be lifted, along
with those placed on spinach and kakina, a leafy
green vegetable, top government spokesman Yukio Edano
said.
"The government has received requests for lifting
shipping bans on milk produced (in seven municipalities) in Fukushima prefecture and spinach and kakina vegetables from Gunma prefecture," Edano said.
"I understand that this produce satisfies conditions
for the bans to be lifted."
The 9.0-magnitude earthquake and deadly tsunami on March 11
severely damaged the Fukushima
nuclear plant, which is leaking harmful radioactivity that has prompted the
evacuation of tens of thousands of local residents.
The government had halted shipments of untreated milk and
many vegetables from Fukushima
and other neighbouring prefectures after detecting
radiation levels above the legal limit.
Edano said the process of lifting
bans was one about which the government had to be cautious and he warned rice
-- the staple of the Japanese diet -- was still restricted in the area.
"Authorities are now inspecting the levels of radiation
in soil so as to decide whether farmers can start planting rice in areas
concerned," he said.
"The government will restrict farmers from planting
rice in areas where produced rice will highly likely be contaminated beyond the
limit under the Food Sanitation Law."
News that the ban could be eased came as India -- the first nation to impose
a blanket ban on the import of Japanese food -- said it was lifting its own
restrictions.
New Delhi
said it would demand "radiation free" certificates with Japanese
shipments.
"It was decided that a blanket suspension of imported
food items from Japan
is not warranted as of now. We will monitor the situation every week," a
senior official at the trade ministry told AFP in the Indian capital.
"We will ask the Japanese authorities to provide a
certificate to prove that the imported food items are radiation free," he
said.
Several countries, including China,
Taiwan, Singapore and the United States, have banned
shipments of produce from areas near the stricken plant.
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Montreal
boasts huge rooftop garden farm
MONTREAL (AFP)
– A Montreal
company is eagerly awaiting a crop of tomatoes, cucumbers and herbs grown in a
vast greenhouse perched on top of an office building, and billed as the world's
first rooftop garden farm.
"Our vision is a city of rooftop farms," says the Lufa Farms website of the gardens nestled above the
Canadian metropolis, as it mourns the loss of good farm land due to commercial
development and urban sprawl.
With the world's population continuing to grow while
available arable land falls, the young duo behind Lufa
Farms believes greenhouses in the sky could be the way forward to providing
fresh food for hungry urban dwellers.
Designed by Mohamed Hage and his
partner Kurt Lynn, the greenhouse spreads across 3,000 square metres (32,300 square feet) above Montreal's north end, wafting the scent of
fresh thyme and coriander onto streets below.
Lettuce, peppers, zucchini, eggplant, bok
choy, celery, or fine herbs such as rosemary, basil
and parsley -- the choice of produce is varied and plentiful enough to fill
2,000 grocery carts each week.
The urban farm's first harvest looks promising and is almost
entirely pre-sold. Buyers signed up online over the winter to receive baskets
of fruits and vegetables at distribution points throughout the city, starting
later this month.
Marie-Eve Allaire was the first to
be tempted by this new kind of market.
"I chose a small basket of produce, which is for one
person or a couple. It costs 22 dollars per week, so it's no more expensive
than what I'd pay at a grocery store for vegetables," she said.
But the produce is fresher as it is sold on location where
it is grown, she noted. It is also better for the environment, say the two men
behind the business.
"Everything is automated," said Hage. "We can set the temperature, lighting and
humidity according to the needs of each group of vegetables." It is all
done by computer.
A system has also been set up to collect rainwater to water
the plants and help them grow.
It took a significant investment to get off the ground,
almost two million dollars to build and stock the greenhouse.
But the urban greenhouse is closer to the people than rural
farms and so saves money on packaging, transportation and refrigeration.
Hage is counting for success on
their proximity to food buyers -- distribution is exclusively local -- and the
quality of the produce that relies on honeybees for pollinating and ladybugs to
attack pests in lieu of using chemical pesticides.
But a return on the investment is only in the long term.
In fact, said Hage, to make a
profit the business will have to expand from a single location to include a
cluster of greenhouses. "We need more greenhouses, more space," he
said.
The company plans to build more greenhouses and is searching
for suitable urban space. About 10 percent of commercial rooftops in Canada
could support a greenhouse, Lufa Farms maintains.
And they are actively recruiting space, calling for building
owners to consider lending over their rooftops to greenhouses.
Stanley Kubrow, a professor of
nutrition at McGill University in Montreal,
whose team is closely involved in the urban farm, is also a proponent of
bringing producers closer to consumers in this way.
"A large selection of fruits and vegetables is best in
terms of nutrition for consumers. And if it tastes better than trucked-in
produce, people will buy and eat more of it," he said.
Meanwhile, Lufa Farms is already
set to open another greenhouse on a city rooftop, five times larger than the
original.
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World food prices retreat just a little –
UN
ROME
(AFP)
– World food prices fell for the first time in eight months in March after
hitting record highs at the start of the year, the UN's
Food and Agriculture Organisation (FAO) said on
Thursday.
The FAO's Food Price Index dropped
after eight months of continuous price spikes to an average 230 points in
March, down 2.9 percent from its peak in February, but still 37 percent above
March 2010, the Rome-based agency said.
"The decrease in the overall index this month brings
some welcome respite from the steady increases seen over the last eight
months," said David Hallam, director of FAO's trade and market division.
"But it would be premature to conclude that this is a
reversal of the upward trend," he added.
March was extremely volatile for grains, largely due to
growing economic uncertainties and the turmoil in North Africa and parts of the
Near East as well as the Japanese earthquake
and tsunami, the FAO said.
However, the Food Price Index, which monitors average
monthly price changes for a variety of key staples, showed that international
prices of oils, sugar and cereals had dropped.
Rice prices also fell as a result of abundant supply in
exporting countries and sluggish import demand.
By contrast, dairy and meat prices were up, although only
marginally in the case of meat.
"We need to see the information on new plantings over
the next few weeks to get an idea of future production levels," Hallam said.
"But low stock levels, the implications for oil prices
of events in the Middle East and North Africa
and... Japan
all make for continuing uncertainty and price volatility over the coming
months," he said.
The oil and fats price index fell 19 points in March,
breaking nine months of consecutive increases, while the sugar price index
averaged 372 points -- down as much as 10 percent from the highs of January and
February.
The dairy price index averaged 234 points, up 1.9 percent
from the previous month and 37 percent above its level in March 2010, while the
meat price index changed little from its February levels at an average of 169
points.
World food prices hit record highs at the beginning of the
year and the agency had warned in March that oil price spikes could push them
even higher as increasing violence in Libya sent jitters through
commodity markets.
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Global warming creates ideal crop
conditions
(Forbes)
– The news media are flush with stories this week claiming global warming is
crushing global crop production. According to the media, global warming is
putting the hurt on two of our favorite indulgences – coffee and beer. For the
more globally conscious (or less caffeinated/less inebriated) among us, the
media are also focusing attention on an alleged African corn crisis. A look at
facts rather than alarmist speculation, however, shows global warming is
strongly benefiting nearly all global crops, including coffee, beer barley, and
African corn.
Without a doubt, global warming is affecting global crop
production. The tremendous improvement in global crop production and worldwide
growing conditions during recent decades is one of the most important yet least
reported news events of our time. As the earth continues to recover from the
abnormally cold conditions of the centuries-long Little Ice Age, warmer
temperatures, improving soil moisture, and more abundant atmospheric carbon
dioxide have helped bring about a golden age for global agricultural
production.
During the past decade, which alarmists claim is the warmest
in recent history, record per-acre yields have been recorded for nearly every
important U.S.
crop. During the past five years alone, according to the U.S. Department of
Agriculture, record per-acre yields have been registered for barley, beans,
canola, corn, cotton, flaxseed, oats, peanuts, potatoes, rice, sorghum,
soybeans, sugarbeets, sunflowers, and wheat.
Global crop yields have also registered spectacular growth
as global temperatures have warmed. Global grain harvests have nearly tripled
since 1961. As is the case in the U.S., nearly every important global
crop has attained record productivity during the past five years, including the
Big Three corn, rice, and wheat crops.
Indeed, while the media claim global warming is threatening
our morning coffee, farmers are preparing to harvest a record global coffee
crop. While the media claim global warming is jeopardizing our beer bellies by
harming barley production, U.S.
farmers in 2009 netted their highest ever barley yield per acre. Claims that
global warming is harming African corn production are the most ridiculous of
all.
During the past decade, African nations have registered
record harvests in a variety of crops, including corn and rice. Moreover, the
modestly warming climate is stimulating more frequent and abundant rainfall
which, together with more atmospheric carbon dioxide, is greening the African
continent.
A March 2009 study in the peer-reviewed Biogeosciences
reported the Sahel region of the southern Sahara
Desert was growing greener, sending
the Sahara desert into retreat. According to
the study, “satellite sensors have recently shown that much of the region has
experienced significant increases in photosynthetic activity since the early
1980s.” According to the study, more abundant rainfall was the most likely
cause, more than compensating for higher evaporation rates due to modestly
rising temperatures.
A July 2009 National Geographic News article confirmed the Biogeosciences study. “Emerging evidence is painting a very
different scenario, one in which rising temperatures could benefit millions of
Africans in the driest parts of the continent,” National Geographic News
reported.
“Scientists are now seeing signals that the Sahara desert and surrounding regions are greening due to
increasing rainfall. If sustained, these rains could revitalize drought-ravaged
regions, reclaiming them for farming communities,” National Geographic News
explained. “This desert-shrinking trend is supported by climate models, which
predict a return to conditions that turned the Sahara
into a lush savanna some 12,000 years ago,” the article noted.
A January 2007 study in the peer-reviewed science journal
Geology explained the greening of Africa in a
longer-term context. According to the study, much of Africa
is currently “experiencing an unusually prolonged period of stable, wet
conditions in comparison to previous centuries of the past millennium. … The
patterns and variability of 20th century rainfall in central Africa
have been unusually conducive to human welfare in the context of the past 1400
years.”
While alarmists cry about global warming and crop
devastation, consumers in the real world have never had such an abundance of
plenty.
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End Transmission