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AGRICULTURAL NEWS OF THE WEEK
FEDERAL RESERVE BANK OF

Number

DALLAS

Wednesday, June 13, 1958

~-42

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Farmers in 38 commercial wheat-producing states will vote in a national ref- .,~

*·k
*

erendum on June 20 to determine whether or not marketing quotas will be in
for the 1959 wheat crop.

* effect
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1 9 5 9

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P A Y M E N T S RAISED
C 0 N S E R V A T I 0 N RESERVE
A national average rat~ of $13.50 per~ has been established for acre-

age placed in the 1959 Conservation Reserve Program, states the U. S. Department of
Agriculture. An average payment rate of $10 per ~ is in effect for land placed
in the 1957 and 1958 programs. The increase in per-acre payments is designed to encourage farmers to place land of higher average productivity in the program. A tentative national goal of 12.5 million acres has been set for the 1959 program.

P E ANUT

L 0 A N MA T U R I T Y D A T E E X T E N D E D
The USDA has extended Commodity Credit Corporation loans on 1957-crop peanuts until June 30, 1958. Previously, the loans were to mature on May 31. This extension has been made to give growers and grower associations additional time to redeem their loans and to market their peanuts through normal channels. In recent weeks,
the trade has shown interest in purchasing peanuts presently under loan, and redemptions and sales made by growers will reduce the quantity of peanuts which CCC will
acquire after the new maturity date of the loans.
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D I S T R E S S 11
P R I C E - S U P P 0 R T
L 0 AN S
F 0 R WH E A T
Special "distress" price-support loans will be available for 1958-crop
wheat in areas where storage is not immediately available and where wheat can be
~~ssfully stored on the-ground or in temporary structures, according to a recent release of the USDA. The loans will be on a recourse basis at 80% of the regular county loan rate and will run !or ~ 90-day period but not later than March 31,
1959.
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P R 0 DUCT I 0 N
RE D
ME AT
For the first !±. months of 1958, total production of red ~ amounted to
l.i.2J.l million lbs., or 7% below the output during the corresponding January-April
period last year, points out the Agricultural Marketing Service. As compared with
the year-earlier period, production of beef was 9% smaller; veal, 18% less; pork,
4% lower; and lamb and mutton, down 5%.
ACREAGE
I N T HE
S 0 I L
BANK
Approximately 21.2 million acres of cropland have been placed under the
Acreage Reserve and Conservation Reserve Programs of the Soil Bank during 1958, according to the USDA. Of this total, about 17.1 million acres have been placed in
the Acreage Reserve, and a little over 4 million acres have been put in the Conservation Reserve. The 1958 Soil Bank participation, plus the 6.4 million acres still
under the Conservation Reserve Program from the 1956 and 1957 s1gnups, bring the

total cropland idled during 1958 to 27.S million acres, If the Nation's farmers
remain in compliance under the Acreage Reserve Program, they will be eligible for
maximumpayments tota~i696.3 million, In addition, payments under the Conserva·
tion Reserve Program during 1958 may total $1Sl~ million.

P 0 UL T R Y
Commercial broiler markets in Texas were steady throughout the week ended
Friday, June .!], with prices unchanged from the previous week, points out the State
Department of Agriculture, High temperatures hindered optimum development of birds ,
and marketing weights were generally lighter than desired by the trade, Closing
prices in all areas were generally 21¢ per lb. During the corresponding week a year
earlier, closing prices were 21¢ to 22¢, mostly 22¢, in south Texas and 21¢ in east
Texas and Waco.
On Monday, June 16, broiler markets were steady in east Texas and Waco and
steady to firm in south Texas. Closing prices were 21¢ to 22¢ in south Texas and 21
ia east Texas and Waco.

BROILER CHICK
PLACEMENTS

Percentage change from
Previous
Comparable
week
week, 1957

Area

Week ended
June 7, 1958

Texas .••.••
Louisiana,.

2,924,000
509,000

-2
-5

31
14

22 states,.

35,966,000

-1

23

L I VE S T 0 CK
Cattle supplies at Fort Worth~ Monday, June 16, totaled 4,300, compared
with 3,700 a week ago and 6,000 on the corresponding date in 1957, according to the
AMS. Prices for steers and heifers were mostly steady with those in the latter par t
of the past week, Good 600- to 1,000-lb, slaughter steers brought mostly $26 to $2"
per cwt.; Utility cows, $18 to $19, with a few selling as low as $17.50 ; and Good
550- to 750-lb. stocker and feeder steers, $24 to $26.
Calf receipts were 700, or 100 more than on the same date last week but
400 less than on the comparable day in 1957. Trading on slaughter calves was active
and prices were strong. Stocker and feeder calves were sold at prices steady with
those in the latter part of last week. The majority of the Good slaughter calves
were quoted at $25.50 to $27.50. Good stocker and feeder steer calves brought $26
to $30,
Hog marketings, at an estimated 1,000, were almost double the level a wee
earlier and were about the same as a year ago. Prices of barrows and gilts were 25
to 50¢ higher than in the latter part of the previous week, while those for sows wer
fully steady to 50¢ per cwt. higher. The bulk of sales were of mixed weights. Most
U. S. No. 2 and No. 3 Grades of 200- to 250-lb. barrows and gilts cleared at $23 to

$23.50.
Sheep and lamb offerings were 6,000, or 13% fewer than a week earlier and
23% below those on the comparable date last year. Spring lambs comprised about 707.
of the sales, with about half of these in slaughter condition. Good and Choice 75to 80-lb. spring lambs sold at $22 to $22.50, and the bulk of Utility and Goud 70to 85-lb. lambs were quoted at $20.50 to $21.50.
J. Z. Rowe
Agricultur a l Economi s t