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AGRICULTURAL NEWS OF THE WEEK
FEDERAL RESERVE BANK OF DALLAS

umber 50 7

Wednesda y, Jeptember 15, 1959

L A N D BANKS
L 0 AN
RECORD
L\ HOUNT
The Nation's farmers borrowed a record $574 million from the Feder &l Lund
B nks during the fiscal year ended June 30, 1959,~ording to the fJrm Cr e dit Admi n istration. Officials of the System compared the loan volume with that of the
mid-1930's but pointed out that the money was used for different purposes. During
the depression, the Land Bank System's job was to prevent farm foreclosures. In
the fiscal year 1959, farmers used much of the borrowed mot1ey to (1) purchase addition al land, (2) modernize their farms, and (3) make their farms more efficient uni t s.

C 0 N S E R VAT I 0 N RE S E R VE A P P L I C AT I 0 N D~ ~ DL I NE
The U. S. Department of Agriculture recently announced that the de a dline
for fa rmers to ~ for the establishment of basic annual rates ~ ~ for 1960
Conse rvation Reserve contracts has been extended from Jeptember 10 to 3eptember 30 )
1959 . According to the USDA, this extension will allow time for the farmers to
make applications after the clarification of provisions governing establishment o f
land values for determining rates.

R E G U L A T E D A RE A
KHA P R A B E E T L E
Ten premises in El Paso and Hudspeth Counties of Texas have been added to
the Federal Khapra beetle regulated area under a USDA order effective September 9.
~ine teen properties where khapra beetle infestation had been found since early
•ebruary have been fumigated under Texas State regulations. Some of these propertie s have been released from quarantine restrictions, while others will be kept
unde r observation for a year following treatment. Another property in Arizona also
has been designated as a regulated area. Two properties - one in Arizona and the
othe r in New Mexico - have had their regulated status revoked.

S URP L US

F 0 0 D

D0 NAT I 0 NS

R E A C Il

P E AK

During the fiscal year ended June 30, 1959, the ~ donated a record
to t a l of nearly l billion lbs. of surplus food for~ in school lunch programs ,
by charitable institutions in this country, and by needy persons both here and
&br oad. Domestic outlets received all of the 5% gain from the preceding fiscal ye ar ,
''i th donations to schools, institutions, and needy persons amounting to slightly
mo r e than 1 billion lbs. Donations for foreign distribution decreased by about 100
mil lion lbs. from the fiscal year 1958.
ME A T
P R 0 DU C T I 0 N U P
of red~ during January-July 1959 amounted to 14 . 7 billion
lbs., representing a 6% gain over the comparable months of 1958, reports t he Agricultura l Marketing Service. Production of beef was up 1%; pork, 16%; and~ and
mutton, 7"/o. On the other hand, the outturn of veal uas down 19/o from the prec e ding
year .

Q.

~ . output

L I V E S T 0 CK
Fort Worth receipts of all classes of livestock during the week ended
Thurs day, September .!.Q, 1959, were below those of the preceding week as a result
of the Labor Day holiday, according to the Lli~S. The 3-day cattle supply of 5,000

compared with 8,300 from the previous week and 7,400 a year ago. Trading in l ater
sessions was more active than in the preceding week, and slaughter steers sold at
prices which were steady to 50¢ per cwt. higher. Demand was fairly broad for
practically all stockers aud feeders, and most sales were fully steady. Good and
Choice 900- to 1,100-lb. slaughter steers sold at $26 to $27.50; Utility and Commercial cows, $15.50 to $18; and Medium and Good yearling stocker steers and hei fer
$23.50 to $29.50.
The calf ~was an estimated 1,800, reflecting declines of 28% from th
previous week and 57% from the corresponding period in 1958. Prices of slaughter
calves were steady to weak, with the majority of the Good and Choice offerings
quoted at $25.50 to $27. The bulk of the Medium and Good stocker and feeder ste er
calves cleared at $25 to $32.
Hog marketings totaled approximately 1,900, or 800 fewer than a week ago
but 400 more than the previous year. Closing prices were 25¢ to 50¢ higher than i
the latter part of the preceding week. U. S. mixed No. 2 and No. 3 Grades of 190 to 240-lb. butchers brought $14.50 to $15.25.
Sheep and lamb offerings were about 3,200 - down 40% from the previous
week but up 23% over the year-earlier figure. Trading was active on all classes of
sheep and lambs. Prices of spring lambs were fully 50¢ higher than at the prece din
week's close, with Good and Choice wooled and shorn 75- to 95-lb. spring slaughter
lambs with mostly Nor 1 pelts quoted at $19 to $19.50.

P 0 UL T R Y
The two major Texas commercial broiler markets showed divergent trends
during the week ended Friday, September .!.!., points out the State Department of
Agriculture. The east Texas market opened weak and unsettled but became steady
by the close, while the south Texas market opened steady and then grew weaker.
Closing prices were 16¢ per lb. in south Texas and 14~¢ in east Texas, although 60~
of the sales in the latter area were at undetermined prices. During the correspo nding period in 1958, closing quotations were mostly 18¢ in both areas, with a few
sales in south Texas at 18~¢ to 19¢.
The Southwest Poultry ~xchang~ offered 151,600 broilers on Friday afternoon, of which 99,500 sold as follows: 20% off-quality, at 13.7¢ to 14¢; 21%, at
14.5¢; 20%, at 14.6¢; 33%, at 14.7¢; and 6%, at 14.8¢.
On Monday, September 14, commercial broiler markets were steady in south
Texas and unchanged in east Texas. Prices were the same as the previous Friday's
close; however, 58% of the sales in east Texas were at undetermined levels.

Area
BROILER CHICK
PLL\CEMENTS

Week ended
Se Et ember 5, 1959

Percentage decrease from
Compara bl
Previous
week 2 195
week

Tex.ss .•.•••
Louisiana ..

1,870,000
366,000

-5
-6

-8

22 states ••

26,939 000

-5

-4

J. Z. Rowe
~gricultural

Economist

-1