The Feed Grain Program in Minnesota

Abstract

THE emergency feed grain program was initiated nationally in 1961 to help reduce production of feed grains, decrease quantities of Government stored grains, increase farm income, and promote long range conservation of resqurces. The program specifically provided for payments to farmers who voluntarily reduced acreage of corn and/or grain sorghums. Minimum diversion was 20 percent and maximum diversion 40 percent of the average acreage of the crops grown in the base years of 1959 and 1960. In 1962 barley was added· to the list of feed grains eligible for the program and participants were again eligible for price supports for qualified feed grains. Nonparticipants could produce feed grains on as many acres as they desired; however, any corn marketed by them was subject to the open market forces of supply and demand and resultant price levels. WHAT characteristics distinguished those farmers participating in the 1961 Feed Grain Program from nonparticipants? Why did some farmers participate and others not? How would selective changes in the program affect participation rates? What attitudes do farmers have toward the feed grain program and alternative farm price policies? To find the answers to these and related questions a survey was made of farmers in two areas of southern Minnesota. Data were provided by 304 farm operators in 16 Minnesota counties and the Agricultural Stabilization ( ASCS) office in each of these counties. A summary of the findings appears on the next two pages.