USDA Update

by Rod Johnson

March 7, 2003

The W.I.F.E. members have started a new "Domino Effect" campaign. W.I.F.E is using the domino to signify the effect of drought and low commodity prices, resulting in lack of profit for farmers and ranchers and the demise of rural communities and the businesses relying on agriculture. The ladies have made domino pins to wear as this campaign moves forward. W.I.F.E will be in Washington D. C. from April 26^th thru 30^th for a Legislative/Issues meeting. This group never ceases to amaze me with their innovative ideas and persistence at addressing agricultural issues.

March 15 is the deadline for producers to request coverage for all spring crops not covered by Federal Crop Insurance. The original deadline for purchasing 2003 coverage on native grass and mixed forage was September 1, 2002 but due to some changes, the date was moved to March 15 for 2003 only. For 2004 and subsequent crop years coverage, payment of the $100 administrative fee for native grass and mixed forage will be required no later than December 1 of the year preceding the year of coverage.

Only three weeks remain until the April 1 deadline to update crop bases and yields for the new Direct and Counter-Cyclical Payment Program. We do not require appointments for sign-up, but will honor producers who have made an appointment before those who just walk in. You may want to call a day ahead to make sure we won't have a full house. Just remember that OWNERS need to sign the base and yield election unless the operator has power of attorney so you need to allow time for mail service before April 1. There are two main things you need to do before visiting the FSA Office. First is to make sure your crop acreages for 1998 through 2001 are correct as shown on the Base Options Report we mailed out in October 2002. The second thing is to gather your production records for 1998 through 2001 for any farm where you may want to update the bases. We will need the production for each year to help you analyze the best option on each farm.

March 15 is also the deadline for producers to purchase Federal Crop Insurance through private agents for corn, grain sorghum, sunflowers and proso millet (new for 2003).

USDA has announced county loan rates for crops. Kiowa County crop loan rates for 2003 are: wheat $2.75 per bu., sorghum $3.46 per cwt., corn $2.07 per bu., sunflower $9.83 per cwt., barley $1.93 per bu., oats $1.41 per bu., canola $8.07 per cwt., and soybeans $4.70 per bu. Information on loan rates in other counties is available at www.fsa.usda.gov/dafp/psd/loanrate.htm.

March 31 is the deadline for obtaining loans on 2002 shearings of wool and for Loan Deficiency Payments (LDP's) for both wool and unshorn pelts.

The interest rate for 2002 crop loans disbursed in March is 2.375 percent. The interest rate for farm storage facility loans approved in March is 3.5 percent