Max Baucus: “Improvement is necessary in order to provide some kind of certainty so farmers know in the future--when prices are not…”

“Improvement is necessary in order to provide some kind of certainty so farmers know in the future--when prices are not as high as they are now--that there is some stability, some certainty. Improvement is necessary so farmers can continue to farm, continue to pay the bills and make payments on the equipment and fertilizer. In short, so they can stay in business. We know that today prices of wheat are higher than they have been in many years. It is the same for most other commodities. So this amendment offered by the Senator from South Dakota accomplishes several objectives, all of which I strongly support. One of them, the main one, the main philosophy and rationale, is more stability, particularly in those years--we know it is going to come--when prices are going to be low. One provision which is also important is improving the marketing loan mechanism, to increase the loan rate from 85 percent of the 5-year average to a level of 90 percent. That is very important, particularly in years of low prices.”