Agriculture Secretary Tom Vilsack declared disaster zone designations for an additional 218 counties in 12 states Wednesday because of damage and losses caused by drought and excessive heat. The states are Arkansas, Georgia, Iowa, Illinois, Indiana, Kansas, Mississippi, Nebraska, Oklahoma, South Dakota, Tennessee and Wyoming. Nearly three-quarters of the nation’s cattle acreage is now inside a drought-stricken area, as is about two-thirds of the country’s hay acreage, the agency reported. USDA researchers added that an average of 37% of the nation’s soybeans were last week ranked from very poor to poor, the lowest quality recorded since a massive drought in 1988. Nearly half of America’s corn crop was also rated very poor to poor, while 57% of its pastures and range land were similarly graded. This year’s harsh conditions suggest that food prices next year could surge by as much as 4.5%, the agency reported. The price of milk, cheese and other dairy products is also expected to surge, while ranchers face steepening feed costs.
Still, economists say the extent of federal insurance coverage -- which includes about 85% of the nation’s crop acreage -- will help protect farmers against catastrophic income losses.
12 US states declared disaster zones because of drought
02 August 2012 08:12 (UTC +04:00)
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