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Economic worries dominate Ohio Farmers Union meeting

By CELESTE BAUMGARTNER
Ohio Correspondent

DUBLIN, Ohio — Farmers from all over Ohio brought their concerns to the annual Ohio Farmers Union (OFU) convention in Dublin, where the economy was a common theme.

National Farmers Union President Tom Buis encouraged the attendees to make sure they’re working with their bankers.

“We’re picking up a tightening in the credit market, even in rural America,” Buis said. “That’s saying something because the rural banks – the banks that lend to farmers and the farm credit system – have been the healthiest banks in our system, but as this credit freeze continues and as the cash flow situation for farmers turns more negative, it’s really important that they communicate with their bankers and also communicate with the policymakers. Explain what’s going on.”

Tony Giesige of Henry County said grain prices and the price of inputs for this year’s crops are going to be a big concern for planting season. “The price of the basis on wheat is a big concern; why is it not where it should be,” he said.

“It’s in the $1.40 range and it should be around 20 cents, so that’s over $1.20 a bushel more that we should be getting, according to what the (Chicago) Board of Trade price is. Evidently it is not worth that much, or they’d be paying us more. I don’t understand it.”

Marv Thompson of Paulding County said the economy in general is a concern. “It’s affecting farmers; it’s affecting everybody,” he said.
Gale Landor of Williams County said his farm is not doing any better than anyone else’s, because of the high inputs and lower commodity prices. “It doesn’t look good, but we’ll live with it,” he said.

His wife, Gerry, was concerned about how much help can be expected from the new farm bill.

Refreshingly, Amanda McKibben of Clinton County, a junior in high school, had no special concerns and was having fun at the conference. She raises sheep and enjoys spending a lot of time in the barn. She said she does not see farming as a career, but would like to stay involved.

McKibben came with her grandmother, Margery Kilpatrick, who is no longer involved in farming. Kilpatrick commented that everyone perceives farmers as getting rich, but nobody checks to see how much money they have invested in land and equipment.

Robert Caplinger of Clinton County said the winter weather, including freezing rain, had been rough on his cattle. For the upcoming year, the economy was his main concern, as well.

“The grain crops have been good this year, but the inputs have been even greater, so I don’t think the profit margin is going to be any better,” he said. “That is one of the things this organization addresses, to try and balance the inputs and income. Of course our taxes are going up when the value of the land is going down.”

2/18/2009