Milford chronicle., 1955-12-30
Economist Sizes Up 1856
Prices For State
Farmers
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Some farm costs will be higher
this coming year-machinery, in
dustrial items, and the wages
farmers have to pay for helD-Mc-
Aiiister said. But the things farm
ers buy directly or indirectly from
each other, like feed, seed and live
stock, will be lower in price. Fer
tilizer will cost about the same
as It has this past yer.
Turning to the commodities
which particularly interest most
Delaware farmers. McAllister pre-
dicted that brcsier production in
the state would rease-althOugh
the prices farmers get for brOilers
will probably be somewhat lower
than in 1855. He thinks brOiler
prices will strengthen the second
half Of the year but said that profit
margins would be slim despite
lower feed and chick costs.
The picture for egg producers IS
somewhat the reverse Of that for
broiler growers, McAllster says.
Prices during this winter and
spring ought to be favorable, es-
pecially with feed prices down.
Spring prices should be a little
better than those received last
spring, he thinks. However, he be-
lieves prices win soften later III
the year as farmers add to their
fOcks.
The turkey picture looks as II
1856 prices won't quite measure up
70 1855, he says. Reason Is that
more turkeys will be grown, it's
expected. However, the picture is
still cloudy on this because the re-
suits Of a turkey industry cam
paign to cut down size Of breeder
hocks aren't known yet.
Milk production viii be up and
50 McAllister doesn't look for any
strengthening in dairy prices this
coming year. He thinks that prices
farmers get for that part Of their
production sold as Glass I or
drinking" milk will hold up but
that the rest Of their milk may
bring somewhat lower prices. AS
in the case Of brOilers, their total
returns probably will be down
somewhat In early spring and sum-
mer. Best bet for dairymen Is to
step up efficiency and to level out
production as much as possible.
Opportunities for hog profits in
Delaware this coming year look
pretty slim, McAlhster saws. How
ever. If they can be raised on SAL
vaged feed that would otherwise
be lost, they will have q place on
at least 9 few Delaware farms.
Beef cattle offer some possibility
for profit for those who know their
P's and Q's on market cattle, Nc
Allister says. Mainly this is due to
a downturn in feed prices and
costs and the fact that beef cattle
numbers seem to be leveling off
after a steady climb for several
years.
Little change in demand for
lamb and mutton is expected. But
farmers who grow high quality
wool and market it to best advan-
tage can realize more than 81 cents
a pound for 1t now that the Nation
al Wool Act places premium on
quality and marketing.
Both apples and peaches are too
much a long-term proposition to
attempt to forecast the years pri-
ces in advance, McAllister said.
Nevertheless, peach growers in
particular are in a somewhat more
favorable position here in Delaware
than they were a few years ago.
With tree numbers down and with
consumers more and more request
ing tree-ripened fruit, our location
close to large markets will become
ever more important, he noted.
For the u. S. as a whole, vege-
table growers will probably pro-
duce about the same amount for
the fresh market and for the can
ming and freezing market as they
did in 1855, McAllister said. How
ever, in Delaware, production Of
fresh market vegetables is on the
increase, he reported. He also
thinks that packers will seek in
creased acreage of sweet corn. cab
bage, and possibly lima beans.
Growers Of corn and sOybeans,
the major Delaware field crops,
probably will increase their acre
axe again this coming season, Nc
Aliisteg predicts. OF the two. soy
beans will show the greatest in
crease. Unless government rules
change, both the corn and sOybean
crop Offer Delaware farmers an
opportunity of producing a cash
crop on land they might not other
wise find a use for this year.
General Business Picture
Most Of the economic indicators
show that 1856 was a record year.
Agriculture was the only major
section Of the economy which did
not share in this prosperity In
1855 business and industry is ex-
pected to continue its record
setting pace with a small outside
possibility of some softening in the
demand for durable goods such as
autos and appliances and a reduc-
tiOn in the rate Of home building
particularly If consumer credit
should tighten.
Wholesale and consumer prices
have been very stable-changing
less than 2 percent over the last
8 years. Industrial prices have
drifted upward over this period by
about 3.4 percent but have been
OFFSET by a t6 percent decline in
farm product prices and a s per-
cent drop in processed food prices
A small increase in consumer and
wholesale prices is likely in 1856
even though prices Of farm pro
ducts will average below those Of
the past year.