Issue 25
January 2000

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Prairie Grains is the official publication of the Minnesota Association of Wheat Growers, North Dakota Grain Growers Association, South Dakota Wheat, Inc., and the Minnesota Barley Growers Association.

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Copyright
Prairie Grains Magazine
January 2000

Prairie Shortcuts

National Wheat Conference Feb. 8-12 in Las Vegas

The 2000 Wheat Industry Conference and Exposition will be held Feb. 8-12, 2000, at the Tropicana Hotel in Las Vegas.  Sponsored by the National Association of Wheat Growers, U.S. Wheat Associates, and the Wheat Foods Council, the conference will feature the latest on wheat policy, research, and agribusiness trends.  The Conference marks the 50th anniversary of the NAWG.  Contact your state wheat association  for further details and registration materials.

Managing the bottom line in today's farm economy

Michael Duffy, Iowa State University extension economist, says it can be difficult to ascertain the extent of the financial problems caused by the current farm slump.  He says one of his colleagues likens the situation to a "deer in the headlights;" that is, some people are kind of paralyzed, not seeking help or taking any action because they just aren't sure what to do.

Duffy says he sees producers responding in different ways, and that there are four categories of farm adjustments occurring. For the story, visit Prairie Grains Extra at the MN Wheat small grains website, www.smallgrains.org.

Unicameral legislature would hurt rural MN

Minnesota Gov. Jesse Ventura's pitch for a unicameral legislature would be a bad idea for rural Minnesota for one simple reason, says Bruce Kleven, who represents Minnesota wheat, barley, and sugarbeet growers on state legislative issues in St. Paul: the balance of power by numbers is in the seven-county metro area and with only one chamber, the number of representatives from greater Minnesota would be clearly in the minority.  "We would be unable to stop bad bills, except for a gubernatorial veto, which we know cannot be relied upon," says Kleven.  "A two-house legislature gives rural interests a chance to kill adverse bills in a number of ways. On the other hand, bills that benefit ag in the state are sometimes harder to pass, but that is certainly better than getting run over legislatively by metro-area lawmakers."  There is already concern about less rural representation in St. Paul, he says, after population-based legislative districts are redrawn in 2002.

"Rural Response" offers resources for farmers

The University of Minnesota Extension Service offers a "Rural Response" web site and toll-free number to help producers deal with all aspects of today's farm economy.  The toll-free number—an information and referral service, not a crisis line—is 1-800-555-6466 and is answered from 8 a.m. to 4:30 p.m., Monday through Friday.  The web site, www3.extension. umn.edu/ruralresponse/, offers hundreds of references and also includes links to stress management publications by Dr. Val Farmer, details on the 1999 Farm Emergency Assistance Legislation, and advice on handling and marketing GMO and non-GMO grain.

Other online resources:

• USDA's www.reeusda.gov/1700/whatnew/crises.htm and www.reeusda. gov/1700/whatnew/agmarkt.htm

• South Dakota State University Farm Crisis Response www.abs.sdstate.edu/ABS/CRISIS.htm

NAWG sets pesticide registration priorities

The NAWG recently outlined the following priorities to the Environmental Protection Agency for future pesticide registration. These include:

• Timely registration of Folicur.

• Registration of several new products in the works, including some to battle scab.

• Approval of aerial application for the herbicides Axium and Raptor.

• Make available Horizon/Discover in the U.S.

• Retention of Phostoxm, a restricted insect fumigant.

• Strengthen U.S./Canada joint review program and adhere to agreed upon timetables.

• Further development of the NAFTA label that would allow the  ability of farmers to purchase chemicals across boundaries of the U.S. and Canada.

Strategize best 1999 year-end tax options

Producers should give attention to year-end tax planning for 1999, as government payments received during 1999 may have tax consequences for some farmers, says Larry Madsen, South Dakota State University extension area farm management agent.  "Use a worksheet to estimate potential income tax before the first of the year so adjustments may be made," he recommends.

Sales to obtain cash for purchasing inputs may not be the answer because they increase both income and expenses.   "It may be necessary to borrow money during 1999 to buy inputs. Sales can then be made in year 2000 to repay the loans," he says. "Secretary of Agriculture Glickman expects another round of relief in year 2000, so consider that possibility when pushing income into that year."  You may wish to discuss your options with a farm tax planner.