WTO BUdget Impacts & Making Less

WTO Budget Impacts & Making Less plus Food Forethought. I’m Greg Martin with today’s Northwest Report.

What impact will the President’s proposal have on WTO talks? An economist at Truth about Trade and Technology says anything that would reduce payments to farmers in the United States would be looked on favorably by the rest of the world. Ross Korves says - it's what happens next when times get tough - that would spell out the longer-term impact of U.S. domestic farm policy on WTO talks. U.S. spending on farmers has been one of many points of contention in World Trade Organization talks and trading partners want to see more concessions. Total U.S. crop and dairy subsidies are estimated to total about 7.5-billion dollars this year due to relatively strong crop prices. In 2005, when prices were lower, subsidies were more than 16.4- billion.

With lower demand and lower prices, farmers will make less money this year.

COVEY: Overall we’re anticipating net farm income to be down from 2008 for the US farm sector. Net cash farm incomes will also be down both for crops and livestock farms.

Still USDA Economist Ted Covey does say that net farm income should top $71-billion dollars making it one of the top income years.

Now with today’s Food Forethought, here’s Lacy Gray.

My family and I have been enjoying watching classic movies lately; real classic, as in 1940 or earlier.  One we watched just the other night called “Sullivan’s Travels” portrayed a wealthy Hollywood director who decides he needs to hit the “road” to experience hardship in order to make better movies. What he encountered along the way was sometimes degrading and harsh, but also very poignant. I couldn’t help as I watched scenes of men, women and children standing in bread lines or loosing their homes to foreclosure, but think about the close tie to what is going on in America today. No, it isn’t as bad for most as it was back in the 1930’s, but thousands of us have been dealt some harsh realities lately. The stimulus package has been touted as expensive and excessive but it should be considered a bargain if it results in sparing us a repeat of the Great Depression. By creating jobs, helping people keep their homes and increasing commodity and material productions, the stimulus package could definitely be the hand up this country needs.

Thanks Lacy. That’s today’s Northwest Report. I’m Greg Martin on the Northwest Ag Information Network.