Beet growers and Great Western Agreement on terms of 1968 contract

W 1;1ease of 'Phe Hetmtain 8 babes Deeb Grower"s Marlr i ng hi;ggilii.tiea of 80101 ado and I€amnrs,

Richard W

BJake, 1o&eiete.1y, ~1eeley

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and The Great Western Sugar

Company, Robert J, Fisher, vice president, Denver (Tel. 534-2182)

Not to be released until Aug, 16 at 2:00 p.m.

BEET GROWERS AND GREAT WESTERN AGREE ON TERMS OF 1968 CONTRACT

Greeley, Colo., Aug, 16 · Agreement 1968 beet purchase contract between Colorad°.,-.. Western Sugar Company was ~ announced today.

The contract includes the "New York raw-price principle," long urged by growers, and they joined Company spokesmen in forecasting highest beet returns to growers in the history of the Rocky Mountain area.

R o y ~ Johnson, of Eaton, president of The Mountain States Beet Growers Marketing Association of Colorado and Kansas, called the agreement "far-reaching and the best contract ever negotiated in the United States from the growers' viewpoint."

Robert J. Fisher, Great Western vice president, said: "If recent sugar market trends continue into 1968 and 1969, the new contract will pe.y growers for beets of average sugar content the highest returns per ton ever realized."

Fisher explained that over the past seven years the average ton of beets in the entire Company area,._ge=vcri!@S 'll1e !1s&Lcs cf @ol:1;d11, ld11t1l111111t'*

.,J~ :uni t1g, ff 1 sc e , ar, ei Nela al!li.!i.., contained about 335 pounds of sugar at the time of delivery.

That beets of such content "can very easily return $1. 50 to $1. 75 per ton higher than 1966 beets," the latest crop on which paJ'.1llent is nearing completion, was voiced by grower and Company spokesmen.

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J:d mien said market trends warranted expectation Company-wide of

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returns of "about

$17,75

per ton of

1968

average content beets, including

Sugar Act payments, compared with about

$16.00

for

1966

and possibly

$17.00

for

1967."

The

1968

contract contains for the first time a provision sought by

growers over the past two years to guarantee that the beet sugar net selling

price, to b~ used for Company settlement with the growers, will not be less

than a specified margin over the price of raw cane sugar at New York. The

contract also provides that such beet sugar settlement price will not exceed

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~ a speciriea. margin over the raw price.

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said that when and how this innovation will work ·o~

will be spelled out precisely in the contract and expressed the opinion that

it may set a nationwide pattern for beet contracts. ·J.ttcf of

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~ said 'this August agreement was the earliest on record for Bli~fGrPw~,J

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this area and will enable grower associations and the Company to work together .,

in obtaining the optimum level of acreage to be planted next spring.

"Of far-reaching significance to beet growers and Great Western,"

Johnson said, is an "agreement reached to establish a joint grower/Company

research committee to seek greater sugar production per acre at a lower cost to the grower." Fisher said that "new chemicals, new techniques, and new machines offer a real opportunity to all of us" and that "the good job we have done in these areas and in seed improvement will continue and with better understanding through the joint committee."

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Great Western's team will be headed by Phillip B. Smith,

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internationally recognized sugarbeet scientist and Company director of s

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-agricultural development.

Today's announcement of the basic contract settlement came after a

series of negotiations which began in April.

Principal spokesman for the growers at most of the contract sessions

was Richard W. Blake, of Greeley, secretary of The Mountain States Beet Growers

Marketing Association of Colorado and Kansas.

Grower :l.~iQ~rlii ₅ h1. ai;li;litioR :/eo Johnson and :Bla"ke, \.tho negotiated the

contract with Flshez a:rrd Fred G. Holmes, ~ a.1; Heeieers vice president,

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-tural administration were H~rd Hnt PowJ J Wocoiid ng · Iei-i:me:el Y st l!illi;i;ig,e

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Mel.'itane., e.na KesJ.Letb Carpenter, lq,r;m'1R, We1sr

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Grower and Company spokesmen said that a few items have yet to be