Washington Ag September 12, 2006 Representatives of the Washington Association of Wheat Growers and several other state wheat organizations are in Washington D.C. this week urging members of Congress to pass comprehensive disaster assistance now.
Agriculture Secretary Mike Johanns recently announced some disaster aid but the National Association of Wheat Growers says that action won't help wheat producers because the majority of the money will come through advanced counter cyclical payments which wheat growers haven't benefited from since the enactment of the 2002 Farm Bill. And Secretary Johanns doesn't like the proposals in Congress on assistance.
Johanns: "But these proposals include provisions to increase by 30% the direct payment made to every program crop producer in the nation. You do not have to suffer any kind of loss to be the beneficiary of the bills that are being debated."
The Senate Ag Appropriations bill includes an additional direct payment like the Secretary mentioned. It's not for crop losses but rather to help cover the increased cost of fuel and fertilizer. A Food and Agricultural Policy Research Institute report out earlier this year indicated that since 2002, fuel prices have gone up an estimated 113 percent and fertilizer prices have increased an estimated 70 percent.
I'm Bob Hoff.