09/09/08 RMA announces harvest prices for small grains

Farm and Ranch September 9, 2008 USDA's Risk Management Agency has announced harvest prices for 2008 crop year Crop Revenue Coverage, or CRC wheat; for Income Protection wheat and barley for Idaho, Oregon and Washington, and Revenue Assurance for spring and winter wheat and feed barley for Idaho. Dave Paul of the regional office of the RMA says the harvest price for Crop Revenue and Income Protection wheat is $8.23 a bushel. The original base price last fall was $6.27 cents. So Paul says a grower with a 50 bushel an acre guarantee on their insurance last fall, at the base price of $6.27 had a minimum guarantee of $314 dollars an acre. Recalculated at the new higher harvest price the minimum guarantee is now $412. Paul: "So assume a producer has a small loss and produced only 40 bushels. He had a 50 bushel guarantee. They would take the 40 bushels times the $8.23 price, which is $329. The maximum revenue coverage was $412 on that particular example so 412 subtract 329. It would be an $83 per acre loss payment." The harvest price for Income protection barley is $4.82 a bushel. The Revenue Assurance harvest price for Idaho Spring wheat is $8.99 a bushel with Winter Wheat at $8.31 and feed barley at $4.62. I'm Bob Hoff and that's the Northwest Farm and Ranch Report on the Northwest Ag Information Network.