Sunday, December 16, 2012

Government involvement: subsidies

Agriculture is a highly volatile yet necessary industry. Due to unpredictability of temperature, precipitation, insect levels farmers rely on the support and backup of the government (Grace). On average between the years 1999-2005 farmers produced $1.19 billion in food commodities; they spend $1.24 billion to raise those commodities. This means that from 1999-2005 farmers were losing $51 million a year to grow food crops. These looses make farmers highly dependent on the over $184 million of subsidies given to farmers each year. Studies in other regions have found that government subsidies have been 50-100% of the profit made by farmers. By the end of 2002 many farmers in the Midwest relied solely on non-production income to pay for costs of farming each year (Food Facts). Currently the government is subsidizing mainly grain and “the variety and quantity of nutrient-dense ³specialty crops´ including fruits and vegetables has been kept limited ± whilehuman and environmental health, the economy, and small and medium-sized farmers havesuffered” (Moltzen). Hopefully in the near future we see the government shift towards helping sustainable agriculture with extra-incentives.

For more information about Kelly Moltzen's analysis concerning current agricultural policy check out her paper at: http://www.academia.edu/403705/Subsidies_and_Specialty_Crops_An_Analysis_of_the_Current_State_of_U.S._Agricultural_Policy

To learn more about government subsidies in biotech and agriculture watch a video for organiccomsumers.org: http://www.youtube.com/watch?v=AaLMKfV6zl4

Sources:
"Food Facts: Results from Marketing and Food Systems Research." Leopold Center for Sustainable Agriculture. N.p., n.d.
             Web. 17 Dec. 2012.
"Grace Communications Foundation." Food Economics. N.p., n.d. Web. 16 Dec. 2012.
Moltzen, Kelly. "Subsidies and "Specialty" Crops: An Analysis of the Current State of U.S. Agricultural Policy | Kelly
              Moltzen - Academia.edu." Subsidies and "Specialty" Crops: An Analysis of the Current State of U.S. Agricultural Policy |
             Kelly Moltzen -Academia.edu. N.p., n.d. Print.
Video Sources:
"OrganicConsumers.org." YouTube. YouTube, n.d. Web. 17 Dec. 2012.

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