GENERAL FARM PROGRAM 107 



Mr. Walker. That is correct, unless it is dried down. 



Mr. Andrp:sen. And that is going to be an expensive proposition? 



Mr. Walker. That is right. 



Mr. Andresen. Then it takes around, at least, from 2 to 3 years to 

 raise a beef animal and it certainly takes that long to raise a milk cow. 



Mr. W^iLKER. Yes. 



Mr. Andresen. And of course you have got the young stock, and 

 you must keep the young stock in order to increase the livestock 

 economy. 



Mr. "U ALKER. There is likely to be a stock pile of 700,000,000 

 bushels of corn from the 1948 production, which is good quality corn, 

 so livestock producers would be safe for next summer. 



Mr. Andresen. Yes, provided they have 700,000,000 bushels of 

 corn that can be kept. 



Mr. Walker. The 1948 crop is of good quality, and if we carry 

 over 700,000,000 bushels of that crop it will keep for years, and that 

 will be good quality corn. 



Mr. Andresen. How nuich of that corn is under loan; how much of 

 it is under the CCC loan? 



Mr. W^alker. I do not have the exact figures before me, but I 

 believe there was under loan some 179,000,000 bushels, according to 

 the last report that I saw, which was as of February 28. 



Mr. Andresen. All right; that is about all, is it not? 



Mr. W^alker. No. we expect a total of around 400,000,000 bushels 

 of corn to be covered by loans and purchase agreements. 



Mr. Andresen. They have got until when; the 1st of July to put 

 it under loan? 



Mr. Walker. Or purchase agreements. 



Mr. Andresen. But I know several farmers — but I do not know 

 how many — are sealing theu- dry corn, at around $1.32 to $1.36, and are 

 going out and buying the wet corn at around 85 cents for feeding 

 purposes. 



Air. Walker. Yes; they are feeding high-moisture corn. 



Mr. Andresen. And that is a good business proposition, is it? 



Mr. Walker. Yes. 



Mr. Granger. Referring to the figures in your table: How do you 

 arrive at the figure in the second column, "Feed to livestock for 

 export," of 60,000,000 bushels? 



Mr. Walker. On the basis of the exports of eggs, poultry, meat, 

 and so on, we arrived at the animal unit equivalent, and then we 

 determined the amount of feed that v/as necessary for raising that 

 number of animal units. 



In other words, the estimate represents the livestock that is pro- 

 duced and exported, as against the total production, and then deter- 

 mine the amount of feed necessary to produce the proportion that is 

 exported. 



Mr. Granger. I suppose somewhere there is a computation that 

 shows the relationship of the price of livestock to the price of corn, 

 is there not? 



Mr. W^alker. Not necessarily. If you mean in arriving at this 

 figure there is such data available. 



Mr. Granger. Yes. There is such information. 



Mr. Walker. W^e do not use it. 



