7/27/2001

House Ag Panel Passes Farm Bill

The House Agriculture Committee approved a $73.5 billion overhaul of U.S. farm law on Friday. The final proposal contains slightly higher target prices and fixed payments than the original plan, but holds loan rates at current levels.

House Agriculture Committee leaders Thursday released the final draft of their proposed farm bill. Proposed target prices would now be $4.04 per bushel for wheat, $2.78 for corn, $5.86 for soybeans and 73.6 cents per pound for cotton.

The fixed, decoupled payments would rise to 53 cents per bushel for wheat, 30 cents for corn, 42 cents for soybeans and 6.67 cents per pound for cotton.

The final farm bill draft also contains higher funding for conservation programs and for the food stamp program than the original plan. The full ag committee met Thursday afternoon on the proposal and was scheduled to meet again Friday.

Editors note: Richard Brock, Soybean Digest's Marketing Editor, is president of Brock Associates, a farm market advisory firm, and publisher of The Brock Report.

To see more market perspectives, visit Brock's Web site at www.brockreport.com.