Growing Hope for Missouri Farmers

Growing Hope for Missouri Farmers
January 17, 2004

Missouri agricultural producers are some of the most advanced, dedicated, and successful in the world. I often talk about the broad range of products grown or raised in Southern Missouri - but it is true. Our agricultural excellence is the foundation of our heritage and the hope for our future.

This time of year is typically a time for our farmers and ranchers to regroup and prepare for the coming growing season. Fixing equipment, planning seed purchases, and working on taxes seem to occupy more of the winter months than other times of the year. Winter is also a time to reflect on the positive progress, planning success, and even the setbacks from the past year. Don't let anyone tell you that commercial farming is not a year-round job.

Likewise, Congress is formulating its plan for the coming year - beginning with the federal budget for Fiscal Year 2005. It sounds far-off, but the expectations for agricultural programs, assistance, and policy initiatives in the budget will have a nearly immediate effect on farming operations across America. Using last year, the first full year under a new Farm Bill, as a model for the years ahead of us, we can see many things going well, and some that need change.
As far as agricultural markets were concerned, 2003 was a good year. Strong prices for soybeans, corn, and beef brought much-needed income to Missouri agricultural producers. Demand for Missouri's agricultural products grew in both foreign and domestic markets.

In 2003, net farm income, a good measure of agriculture's profitability, is forecast to have increased by 58 percent nationwide. That figure is 18 percent above the ten-year average. Even more impressive, the farming community is expected to have contributed $100 billion to the U.S. economy from this past year of work. It is Congress' mandate to stand by producers and help them continue to inject new jobs, quality goods, and a strong work ethic into the national economy.

To continue this momentum, Congress must make agriculture a leading issue. It is not enough for representatives like me, from rural and heavily agricultural districts, to prioritize farm issues. Every member of Congress who truly believes in economic recovery must learn from the success of the agriculture markets last year, observe the cumulative effect of good farming practices on the national economy, and understand the importance of further solidifying our agricultural production.

As the American economy gathers strength, agricultural producers and members of Congress alike are faced with a variety of questions and concerns about the coming year.

A revolution in American ranching is on the horizon: it started with one BSE-infected cow in Washington state last December. The U.S. beef industry exports 10 percent of its product, and shock waves from the single cow sent a ripple of concern around the globe. Our largest trading partners for beef closed their markets, threatening long-term growth of the beef industry. At home, anxiety was immediate as Americans realized how little they knew about the beef they buy and eat. In the face of the news, public education was necessary to allay fears. In the long term, systems for tracking and recalling U.S. beef in an emergency are critical to food safety and to our farmers' bottom line.

As a direct result, the U.S. Department of Agriculture has already begun implementing a national identification system for cattle. New standards for cattle feed will be created and implemented. Our challenge as legislators will be to make the transition as smooth and as cost-effective for beef producers as possible. Meanwhile, food security is a growing issue in Congress. New security technologies and better inspection practices can be of great benefit to the American food product market.

In the farming community, the Conservation Security Program (CSP) will begin this summer. CSP was designed in the 2001 Farm Bill to reward farmers for good conservation practices on land that is actually being farmed, rather than forcing that land to be set aside through other programs (such as the Conservation Reserve Program) in order to become eligible for incentives. Congress must realize its commitment to the new program by providing level funding once the program is fully established and proves its worth.

For both farmers and ranchers, international trade will continue to be a key to prosperity. Currently, the U.S. places a 12 percent tariff on agricultural imports, while our trading partners average a huge 62 percent tax on the agricultural products they import. This inequity must be addressed as America works cooperatively through the Central American Free Trade Agreement (CAFTA) and resolves international disputes over the trade of agricultural products through the World Trade Organization (WTO). CAFTA will create duty-free markets for some exports in Central America and benefit American agriculture as a whole. Congress must be careful, however, that the agreement does not undermine the success of any particular commodity.
These major agricultural issues join others necessary for the continued agricultural health of our nation and our communities. The input of the farm community is always a critical resource for state and federal legislators. I look forward to working with every Missourian with a stake in our agricultural future to create the right climate for another successful yield for Southern Missouri's producers.