Posts Tagged ‘farmers’
In this month’s regular column from CEJA (European Council of Young Farmers), President, Matteo Bartolini explains what the EU is doing to support farmers following the import ban by Russia on EU food products.
MB: On 6 August 2014, the Kremlin published a decree announcing a Russian embargo on a number of agricultural imports in response to EU punitive sanctions over Russia’s actions in Ukraine. American, Norwegian, Canadian and Australian imports are faced with the same fate. Russia is the largest importer of EU agricultural produce with just under 10% of EU agri imports destined for the country. These imports were worth around €11 billion last year, half of which has now been banned by the Russians. The ban, which has been set for a year, will hit individual European farmers in particular, especially those who rely on export markets and who grow a small variety of produce. The ban will also hit Russian consumers with price hikes for certain products. The European Commission has been quick to try to support EU farmers with emergency measures. However, it is clear that funds available are simply not enough.
MF: What do these emergency measures include?
MB: The first measures outlined were to assist peach and nectarine producers and consisted of decreasing the volumes of fruit available on the market in an attempt to avoid plummeting prices.Extra funds are also being provided for promotion. Peach growers have been hit particularly hard. Indeed, such measures were already under discussion before the announcement of the Russian ban. The weather this year has contributed to an increase in supply but also a rapid advancement in maturity. This led to a much greater intensity of supply at the start of the season rather than a more even spread over the following weeks. Cooler and more humid conditions in June and July also slowed down consumption during this time. The budget for these measures is €29.7 million for withdrawals and €3 million for promotion, allocated to Italy, Spain, Greece and France on the basis of annual production.
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The European Commission launched its new Milk Market Observatory in April. In this month’s regular column from CEJA (European Council of Young Farmers), we asked President, Matteo Bartolini to outline what can be expected from this new body.
MF: What is the purpose of the Milk Market Observatory (MMO) and what is the background?
MB: It is designed to publicly provide data transparency, complemented by market analysis, short-term outlook reports and regular meetings of an economic board. This will strengthen the Commission’s capacity to monitor the dairy market and help the sector adapt to the new environment once the dairy quota system which has been in place for 30 years is abolished on 31 March 2015.
The Commissioner first initiated the idea for such an observatory at the Milk Conference in September 2013 which featured a number of CEJA young farmers. The conference brought together all stakeholders in the dairy supply chain – from dairy farmers to milk processors and retailers – to discuss the post-quota future of the sector.
MF: How important is the dairy sector in the EU?
MB: Milk is produced in every single EU Member State and, as a single product sector, it is valued at approximately 15% of all EU agricultural output. The EU is a major player in the world dairy market as the leading exporter of many dairy products, in particular, cheeses. For some Member States, it forms a crucial part of the agricultural economy. Total EU milk production was estimated at around 152 million tonnes in 2011 but this is expected to grow as global demand escalates and EU quotas are phased out. It is no secret that dairy quotas can be a contentious issue in Europe and so the only widely supported concrete suggestion of the Dairy Conference was that of the establishment of the Milk Market Observatory.
Most days, from 5 a.m. to 1:30 p.m., you can find Galen Hammann working what might be called his first shift. He’s an assistant engineer at the Truman Hotel in his hometown of Jefferson City, Mo.
By mid-afternoon, he’s working closer to home on his 185-acre farm, where he raises about 80 head of cattle a year, as well as oats, wheat and hay—a mixture of fescue, orchardgrass, brome and clover—to use as feed for his cow/calf operation. No matter what he’s up to, the work usually doesn’t stop until dark, if not later.
That’s much the same story for Ken Thalman. Living and working about a three-hour drive east from Hammann, Thalman is a full-time postal employee in Centralia, Ill., who, in addition to his day job, grows grass hay on 18 acres of his 40-acre spread.
Thalman and Hammann are among the growing ranks of the do-it-yourself hay producers. One of the main drivers of the trend is that less hay is being produced, leading to higher prices.
Also, significant advances in equipment have made it more cost-effective for many farmers to grow their own as opposed to buying feed or hiring custom harvesters. Even growing hay on plots of land once considered too small to be worth the effort has become an increasingly popular solution for producers looking to squeeze the value out of every dollar, hour and acre.
To be sure, the rising cost of hay and the demand on custom harvesters have made the DIY option more cost-effective for greater numbers of small-acreage farmers. In addition, not only can they now grow hay themselves, small-acreage producers can also grow the quality their operations demand.
Both Hammann and Thalman battle hills and sharp corners that make operating with large mowers and balers difficult. That’s a big reason why they use small, nimble equipment that’s more suited for rolling land often carved into small parcels.
“The smaller length of the cutterbar on Ken’s Massey Ferguson® 1326 disc mower allows it to cover rough terrain,” says dealer Jeff Suchomski, of Suchomski Equipment. “And Ken’s Hesston® 1734 [round] baler, with the smaller overall size, can handle the terrain better too.”
Thalman can also pull his new equipment with relatively low-horsepower tractors. Considering many small-acreage farmers aren’t likely to own anything much larger, that’s a valuable feature.
“I don’t need a big tractor [for] farming,” says Thalman. “I’ve got my own tractor, and Jeff can match me up with equipment that will work with what I’ve got. It’s a win-win situation.”
Both Thalman and Hammann also have to travel over the road with their equipment to reach smaller patches of land they clear for neighbors. When he needs to be mobile, Hammann runs a Hesston 4550 square baler he purchased from Tom Lauf, of Lauf Equipment. “The square baler is built very compact compared to how it used to be built. It’s narrower and still makes a better bale than the old balers did,” Lauf says.
Thalman also likes the way his equipment handles in tight spots. “When I show you some of the places that I take hay off of, you’d think there’s no way you could get your equipment in,” he says. “I’ve got places up and down the road here with 4, 5 and 6 acres that I mow. And my equipment is small enough, I can just run right down the road.”