Peanut quota holders sign contracts - WALB.com, Albany News, Weather, Sports

Peanut quota holders sign contracts

September 3, 2002

The new farm bill has made farmers across the nation change their ways. Tuesday was the first day peanut producers could sign a Peanut Quota Buyout contract.

Many farmers and land owners are putting their signatures on paper and waiting on a check in the mail.

Jewel Bowen rents her Mitchell County property to farmers. She signed a Peanut Quota Buyout Contract, replacing the old peanut quota system. Bowen says, "The only thing I know is I'm gonna get some money back. Is that truthful?"

Most peanut land and quota owners are opting for a lump sum at 55 cents per pound instead of installments spread out over five years at 11 cents per pound. Bowen responds, "Truthfully? I may not live five more years."

Farmer Lanair Worsham says, "Really not point in waiting. If it's gonna be capital gains it will be the same tax rate. Just go ahead and get it and be done with it."

Eligible peanut producers have until November 22nd to sign a contract. Worsham says, "I don't know why anybody wouldn't. This is the law of the land. You gotta sign up."

Norma Hornsby with the Mitchell County Farm Service Agency says, "I was surprised when I came in and we had about eight people here. I thought it would be down the street, but I guess they are waiting to see how they'll be taxed."

USDA Farm Service Agency hope peanut producers get their money by the end of the month. Officials say it will take a full season to know if the buyout program works.

Mitchell County has approximately 900 peanut quota holders, yielding 40 million pounds of peanut quota.

posted at 5:40PM by kathryn.simmons@walb.com