10/07/05 Fuel costs of concern to spud industry

10/07/05 Fuel costs of concern to spud industry

Farm and Ranch October 7, 2005 Higher energy costs are impacting Washington's potato industry on the farm and beyond. Chris Voigt, Executive Director of the Washington State Potato Commission, told a joint hearing of four legislative committees last week that any kind of relief would be of great assistance to reduce the input costs of fuel and fertilizer at the producer level. He specifically mentioned repeal of the sales tax on off-road diesel. Beyond the farm, Voigt said higher transportation costs really hit heavily because half of Washington's potato production is shipped out of state. Voigt: "Washington is losing market share on a daily basis because we cannot compete with other potato producing states around the country. Washington happens to be probably the farthest location from most of the majority of the population in the U.S. so we are competing with other states, Wisconsin, Colorado, Idaho. And they are all closer to a lot of our key markets. So everyday that the fuel costs go up that means Washington is at a cost-competitive disadvantage." Eighty-five percent of Washington's potatoes are processed and Voigt said there are fears rising energy costs could cause the loss of processors in the state and he emphasized the need for a healthy business environment for processors. Voigt said the potato industry would support state efforts at capitalization for biodiesel production as canola is a good rotational crop with potatoes. One final suggestion from Voigt, eat more potatoes. That's the Northwest Farm and Ranch Report. Brought to you in part by the Washington State Potato Commission. Nutrition today! Good health tomorrow! I'm Bob Hoff on the Northwest Ag Information Network.
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