CHINA TO FARM US CASH COW?

Unraveling the Mystery of Government

Where Does all That Cash Go To?

Only a few billion dollars...

MAY 8, 2008

"Chinese companies will be encouraged to buy farmland abroad, particularly in Africa and South America, to help guarantee food security...

A proposal drafted by the Ministry of Agriculture would make supporting offshore land acquisition by domestic agricultural companies a central government policy. Beijing already has similar policies to boost offshore investment by state-owned banks, manufacturers and oil companies, but offshore agricultural investment has so far been limited to a few small projects.

The move comes as oil-rich but food-poor countries in the Middle East and north Africa explore similar options. Libya is talking with Ukraine about growing wheat in the former Soviet republic, while Saudi Arabia has said it would invest in agricultural and livestock projects abroad to ensure food security..." - By Jamil Anderlini, FT.com
Published: May 8 2008 19:26 Last updated: May 8 2008 19:26

APRIL 14, 2008

April 14 (Bloomberg) -- "The U.S. government paid farmers $13.4 billion in subsidies in 2006, even as commodity prices began their current boom, according to a group that wants Congress to reduce crop-support payments." - Bloomberg News, By Alan Bjerga

FLASHBACK - MAY 24, 2004

"Because farmers are relatively wealthy, alleviating farm poverty would not be very expensive. Just $4 billion per year would guarantee every full-time farmer in America a minimum income of 185 percent of the federal poverty level ($34,873 for a family of four in 2004). However, farm subsidies are more corporate welfare than poverty relief, so Washington instead spends $12 billion to $30 billion annually subsidizing large farms and agribusinesses that are much wealthier than the taxpayers footing the bill."

"Eligibility for farm subsidies is determined by crop, not by income or poverty standards. Growers of corn, wheat, cotton, soybeans, and rice receive more than 90 percent of all farm subsidies: Growers of nearly all of the 400 other domestic crops are completely shut out of farm subsidy programs. Further skewing these awards, the amounts of subsidies increase as a farmer plants more crops. Thus, large farms and agribusinesses--which not only have the most land, but also are the nation's most profitable farms... receive the largest subsidies. Meanwhile, family farmers with few acres receive little or nothing in subsidies..."

Another Year at the Federal Trough: Farm Subsidies for the Rich, Famous, and Elected Jumped Again in 2002 - by Brian M. Riedl, The Heritage foundation, Backgrounder #1763

Question: If Chinese citizens purchase American farmland, will they receive the same cash subsidies the American taxpayers give to the present owners?

Another question: I remember reading somewhere that Queen Elizabeth still owned large tracts of former plantation land in Dixie. Does anyone have any information on this? Does she receive a Farm Subsidy? - 2q(Jim)