Price Support on Corn Established at $1.57

Price support on Virginia's big 1949 corn crop has been established in a state rate of $1.57 a bushel, according to an announcement released by E. B. Bridgforth, state chairman of the Production Marketing Administration. This rate will give farmers 90 per cent of the parity price of corn on October 1, as compared with a basic rate of $1.61 a bushel in effect for the state last year.

Virginia's support level on corn is substantially above the national average 1949 rate of $1.40 per bushel.

The state PMA committee has adopted purchase agreement plus similar to that used last year. Loans are also being offered on farm stored corn.

According to Bridgforth, there is practically no approved commercial acreage available in Virginia to house this year's corn crop. He repeated a warning, given by the state PMA committee for the past several months, that farmers must arrange suitable on-farm storage if they want the benefits of the government price support program. Under a farm storage loan program, one-upf structures are "staged" in approval by county PMA committees and periodic re-inspection when holding corn under loan. No such approval or inspection is required under a purchase agreement plan, but the corn must meet conditions of eligibility when delivered to be acceptable.

Th following terms of eligibility for price support apply to 1949 corn delivered under purchase agreements:

(a) Corn must be offered only by the producer, and not by a dealer or broker.

(b) The grade must be U. S. No. 3, or better, or No. 4, solely on the factor of test weight, but otherwise No. 3 or better.

(c) Corn must be shelled.