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A GRICULTURAL
NEWS LETTER
THE
Vol. I

FEDERAL

RESERVE

BANK OF

DALLAS

Dallas, Texas, July 15, 1946

SOIL CONSERVATION PROVES
PROFITABLE TO FARMERS
Greater production on fewer acres with
Jes labor and equipment i the typical story
of Texas farmers who have inaugurated and
carried through complete soil conservation
programs, according to a report recently rel ascd by the Soil Conservation Service of the
United States Department of Agriculture.
This report was based on a sample of 1,400
operators of farms drawn from the 27,736
such operators in various parts of the State
who have been assisted by technicians of the
oil Conservation Service in planning and establishing complete soil conservation programs. The farm operator covered by the
report have followed conservation plans which
varied from 70 to 100 per cent established
for periods of two to six years.
Many of these farm operators reported
that both per acre yields and total production
rose sharply after the application of the
pbnnc<l practices, according to Regional Conservator Louis P. Merrill of the Soil Conserration Service. On 12 per cent fewer acres
th c 1,400 farmers produced 49 per cent
more wheat. The group as a whole increased
production of grain sorghum 62 per cent,
corn 30 per cent, legume hay 86 per cent,
and peanuts 112 per cent. Moreover, 475 of
the group reported that the conservation program as applied on their farms had brought
about a total annual cash saving of $ 5 8,2 56
in labor and use of farm machinery.

The practices followed in this program
hich resulted in such increased yields covered a wide range and were adapted to the
:tried locations and conditions of the differn t £.nm. They included the establishment
of proper c1' p rot;U:ions to .1id in the control
of we d and grasses and at the same time to
increase the amount of organic matter and

Number 6

nitrogen in the soil through the use of
legumes as green manure crops; the application of fertilizers and lime where necessary;
the improvement of irrigation and drainage
systems; the control of erosion through use
of cover crops, strip cropping, contour cultivation, construction of terraces, and, in some
instances, retirement of cropland to permanent pastures or wood lots.
The following averages taken from the
records of the selected sample of conservation farms arc, according to the report, typical of acre yield increases achieved by all the
farmers participating in the program:
Yields Per Acre
Before
After
Per Cent
Conservation Conservation Incl'enRe

Cotton (Lbs. Lint)
182
Wheat (Bu.)
7.7
Grain Sorghum (Bu.)
17
Corn (Bu.)
19
Peanuts (Bu.)
14
Legume Hay (Lbs.)
3,880
Other Hay (Lbs.)
3,000

220
13
26
24
19
4,420
3,940

21
69
63
26
36
14
31

These impressive increases in crop yields
per acre have been accompanied by an increasing diversification of farm crops, according to Mr. Merrill. Erosion control measures
embraced in the over-all conservation program have resulted in the growing of both
erosion-resisting and soil-improving crops,
and in the addition of some new cash crops.
There has also been a significant shift in land
utilization. Some formerly idle acres have
been put into production, and some croplands
of submarginal productivity have been retired to pasture or woodland. This general
shift has resulted in some over-all reduction
in cropland and woodland but an increase in
pastures and ranges.
The decrease in total acreage of farm
woodland does not indicate a decrease in the
farmers' profits from such land. On the contrary, according to this report, selective cutting and fire protection, which are important
parts of the conservation program, have in-

2

AGRICULTURAL NEWS LE'ITER

creased the productiveness of farm woodland.
Production of pulpwood is estimated to have
increased about 40 per cent, while saw logs
have increased several hundred per cent. Posts
and rail ties also are reported to have increased substantially.
The report also discusses the benefits which
the conservation program has brought to the
farm livestock industry. Through seeding
recommended pasture mixtures, application
of fertilizers, eradication of noxious plants,
and the practice of other pasture improvement
methods, the livestock carrying capacity of
pastures is reported to have risen 41 per cent
an acre and of ranges nine per cent an acre.
By the use of idle acres and as a result of
the increased yields of feed and hay and the
improvement and extension of pastures, farmers and ranchers have been able to establish
or expand livestock enterprises. The number
of cattle on these farms where conservation
practices have been adopted increased about
3 5 per cent; dairy cows increased 3 2 per cent,
and milk production, 54 per cent. Also, there
have been gains in the number of other livestock. Brood sows increased 5 5 per cent, pigs
78 per cent, ewes 2 5 per cent, and chickens
and turkeys 50 per cent.
The results achieved by J. 0. Westmoreland of Nacogdoches arc typical of those reported by other farmers adopting conservation programs. Ninety-eight per cent of the
conservation practices planned for the Westmorcland farm are established, and most of
them have been in effect seven or eight years.
Erosion has been controlled, rainfall conserved, and soil fertility increased. Before the
establishment of the conservation practices
on this farm, 2 64 bushels of corn were grown
on 2 2 acres; now 3 2 5 bushels are grown on
13 acres. Formerly 5,750 pounds of lint cotton were harvested from 2 3 acres, compared
with 6,600 pounds now harvested from 20
acres. Among new crops introduced on this
farm were peanuts and sorghum. The carrying capacity of pastures was increased, and
the acreage extended. This Nacogdoches
farmer also reported that the establishment
of the conservation program has resulted in
an annual cash saving of $200 in labor and
use of equipment.
Similar results have been observed on the

A. F. Cox farm, near Dumas, in the High
Plains .area. A conservation plan for thi
farm was first drawn in 1938, and at th
present time most of the plan has been pu
into effect. As a result, erosion has been controlled and rainfall conserved. Also, yield.
of wheat, oats, and grain sorghums have im
proved substantially, and the carrying capa
city of the pasture on this farm is report
to have increased about 48 per cent.
On the Albin Mika farm, east of San Angelo, where a complete conservation progran
has been in effect for about five years, it i
estimated that cotton yields have increased 6
per cent, grain sorghum 50 per cent, oats 2
per cent; while the livestock carrying capa·
city of the pasture has risen 10 per cent. In
the opinion of this San Angelo farmer, th
establishment of the soil conservation pro·
gram on his farm has resulted in a cash sa '·
ing each year of about $200 in the cost of
labor and equipment.
The results cf this survey clearly show tha t
the establishment of a well planned conser·
vation program can result in increased profit
to the individual farmer as well as benefits t 1
the community as a whole. Increased produc
tion and lowered costs point the way to th
development of a sound agriculture and th
improvement of rural communities.

COTTON RESEARCH CONGRESS
HOLDS ANNUAL MEETING
((Cotton-A World Force" was the them
of the Seventh Annual Meeting of the Cot
ton Research Congress held in Dallas, Jul.
8-9. Amos E. Taylor of the Department o
Commerce and Ben J. Williams of the Arner
ican Cotton Shippers Association stressed th
importance to the cotton industry of rerno\'·
ing restrictions on world trade and establish
ing monetary exchange and prices which wi.
move American goods in a free competiti 1
market. Both speakers pointed out that th
fate of American cotton is closely linked wit
the trade of the nation and of the world, an
that it is necessary to recognize foreign trad·
as a two-way affair if we are to continue
sell a large volume of goods abroad. Joel f.
Hembree of the University of Arkansas di ·
cussed the geographic, technological, and eco·
nomic bases of a sound national cotton pro·
duction policy, and Lamar Fleming, Jr., o

AGRICULTURAL NEWS LETTER

nderson Clayton Company discussed some
of the barriers to the establishment of such
a policy.
At the fourth session of the Congress, special attention was given to the production of
cotton in Texas and to the problem of lowering the cost of production. Mr. George G.
hance, farmer of Bryan, Texas, stated that
there were indications of dissatisfaction on
the part of farm laborers and tenants with
farming conditions in general and that unsatisfactory living conditions on farms have
resulted in an increasing migration of
farmers to towns and cities. He stated further that "cotton farming as now practiced
is relegated to act as a labor reservoir for industry and other manpower users." Both Mr.
Chance and Mr. F. 0. Masten of Martin,
Texas, pointed out the feasibility of bringing
down the cost of producing cotton in Texas
through the use of mechanical equipment.
Thi procedure would, in their opinion, offset the declining supply of farm labor and
make possible wage returns to farm workers
comparable with those of skilled labor in
industry.
The possibility of speeding up cotton har1e ting and thereby reducing losses, particubrl y in the High Plains area, was discussed
by Mr. Don L. Jones of the Texas Agricultural Experiment Station at Lubbock, who
. d vocatcd the use by cotton growers of power
d ri en strippers, storm proof varieties of cotton, and chemical defoliation.

FARM CREDIT
Farm Mortga e Debt Continues to Decline
in the United States
Total farm mortgage debt for the United
rate at the beginning of 1946 was estimated at '5 ,081,000,000 in a report recently
rel ased by the United States Department of
griculture. This repn.:sents a decline of
about 4 per cent during 194 5 and of a ppr imatcly 23 per cent incc 1940. It is less
than one-half of the pc k indebtedness of
I 0,786,000,000 in 1923, and is the lowest
figure which farm mortgage debt has reached
in cc 191 5. The decline in total mortgage indebtedness since 1940 is in sharp contrast
with de rdopmcnts during and after World
. r I, when the debt in rcased 43 per cent
between 1915 and 1919.

3

Farm mortgage debt held by Federally
owned or sponsored agencies declined 14 per
cent during 1945, with the result that these
agencies now hold about 30 per cent of the
total of such debt, compared with 3 3 per
cent at the beginning of 1945. Mortgages
held by insurance companies declined 5 pe
cent and now constitute only about 17 per
cent of the total. Mortgage holdings of banks
and other institutional and individual creditors increased about 4 per cent and now account for about 5 3 per cent of the total debt.
Considerable variation in the trend of farm
mortgage debt was evidenced among the five
southwestern states all or parts of which lie
in the Eleventh Federal Reserve District. In
Texas the total of such debt declined 12 per
cent during 1945, and in Oklahoma 5 per
cent. By contrast, in Arizona the debt increased 3 per cent, in New Mexico 6 per
cent, and in Louisiana 7 per cent. The amount
of farm mortgage debt held by federally
owned or sponsored agencies declined during
194 5 in each of these five states, and the portion of the total debt now held by these
agencies varies from about 25 per cent in
New Mexico to about 56 per cent in Texas.

FARM MANAGEMENT
Production of Insecticide Supplies Affected
by Strikes
Supplies of calcium arsenate are critically
low, due principally to strikes in the mining
and smelting industries, according to a recent
statement by L. S. Hitchner, Executive Sectary of the Agricultural Insecticide and
Fungicide Association. There were large
tocks of calcium arsenate in the hands of
manufacturers and dealers last September,
and it was thought that these, plus normal
domestic production and anticipated imports,
would provjde adequate stocks with ample
reserves. Strikes, however, have kept production below normal, and the imports previously .·pccted ha e not materialized.
Alertness on the part of farmers in inspecting fields and the prudent and economical
u c uf in ccticjdes will aid in conserving the
current short supplies of calcium arsenate
; nd other chemicals needed in the control of
in ects.
Fert:lizer Requirements Estimated
'l he United States Department of Agricul-

AGRICULTURAL NEWS LE'ITER

4

ture has recently estimated that 800,000 tons
of nitrogen, 1,8 50,000 tons of available phosphoric acid, and 800,000 tons of potash will
be required to meet demands for fertilizers
in the crop planting year beginning July 1,
1946. The National Fertilizer Association has
stated that there is ample manufacturing capacity to meet most of these requirements.
The Department of Agriculture anticipates
that the requirements for nitrogen and phosphoric acid can be met if further labor and
transportation difficulties can be avoided. It
doubts, however, that total supplies of potash
will be sufficient to meet requirements even
if plants continue to operate at peak capacity.
Though the re-opening of European potash
mines may make possible limited imports of
potash this year, it appears unlikely that a
sufficient quantity can be imported to make
up the deficiency in domestic production.

COMMODITY NOTES
flax Crop Insurance
The Federal Crop Insurance Corporation
will provide insurance on the flax crop
planted for harvest in 1947 in those states
or counties where sufficient data are available
to enable the Corporation to establish flax
yields and premium rates. Crops may be insured up to 75 per cent of the average yield
of flax for the individual farm. Application
may be made by any person to cover his
in tcrest in a flax crop as landlord, owneroperator, or tenant. Such applications will be
handled in the office of the local County
Agricultural Conservation Association.

Cows receiving a standard type ration, consisting of untreated silage, cottonseed meal,
and Johnson grass hay, gained an average of
nine pounds; those that were fed the second
ration, consisting of untreated silage and
Johnson grass hay, suffered an average loss
of 99 pounds, while those receiving the third
ration, consisting of urea-treated silage and
Johnson grass hay, gained an average of 13
pounds.
For wintering yearling heifers the ration
of hay and urea-treated silage was not as
satisfactory as the standard ration containing
the protein supplement, but was superior to
the ration of untreated silage and hay. However, the urea-treated silage proved to be
more palatable than untreated silage, and
the heifers receiving that ration consumed
approximately five pounds more per head per
day than the ones that were fed the untreated
silage.
NEW PUBLICATIONS

MENTS

Farm Equip111,ent Financing by Banks i
the title of a manual recently published by
the American Bankers Association as an aid
to country banks which plan to expand their
lending services to farmers. Methods successfully employed by many banks in every section of the country that have had satisfactory
experience with farm equipment :financing
are outlined in this study. The discussion covers both the making of direct loans to farmers
for buying equipment and the purchasing of
farmers' obligations from dealers who have
made sales. Copies of the manual are available
from the Small Business Credit Commission,
American Bankers Association, 12 East 3 6th
Street, New York 16, New York.

Treatment of Silage with Urea Improves
Quality
The use of urea in the preparation of silage
from sweet sorghums promises cattlemen a
more economical ration for winter feeding of
cattle. Results of experiments conducted at
the Mississippi State Experiment Station since
1942 indicate that urea, when mixed with
sorghum silage at the rate of ten pounds to
the ton, materially increased the efficiency of
the silage as a winter food for cows and
heifers. In the experiments, mature cows and
heifers were fed three types of rations during the winter season of three to four months.

Winter Wheat Varieties for Oklahoma by
A. M. Schlehuber and others is a recent bulletin of the Oklahoma Agricultural Experiment Station, Oklahoma A. & M. College,
Stillwater, Oklahoma. This bulletin summarizes the wheat varietal testing work conducted
at Stillwater, Lawton, and Woodward, during
the period 19 31-194 5. It presents information
on yields, milling, and baking tests, on the
quality of specific varieties of wheat, and on
the value of winter wheat for fall, winter,
and spring pasturage. Copies of this publication may be obtained by request to the publisher.

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