Morrow County Grain Growers                             Pendleton Grain Growers

             Duane Disque or John Ripple                                      Jon Sperl

             1-800-452-7396 or 541-989-8221                           1-800-422-7611 or 541-276-7611

              or Dan Steiner 481-6614 (office), 571-3798 (cell)  graingrowers@centurytel.net

                                                            GOOD MORNING!!!

            Below are the best indicated market bids as of:   9:00  on      12/17/07

***NOTE: Corn values vary depending on delivery location PLEASE call for updates.

            Chinese Ag minister says that they expect China will exceed around 500 myn mt of cereal grains this year, but will fall behind once again. They are struggling to try to maintain/ stabilize grain production. They have lost an estimated 830,000 hectares (2+ myn acres) since the 1990’s to urban growth/ desertification. Current population estimate is 1.3 byn. They have about 20% of the world’s population on about 7% of the worlds arable land. South Korea passed last night on “Non GMO” corn tender on account of price. Paki is expected to tender again, as is India. India did not receive many offers on the tender, but will come back again tendering for 10.5 myn bu. India is expecting a slightly larger harvest (75 myn mt, vs. 74.8 myn mt in 2007) but will still need to import probably about 5 myn mt again in ’08. Japan is also going to tender for 10.5 myn bu of US/ Canadian wheat.

            Recently passed energy bill ought to prop up the ethanol industry and also encourage more R&D especially in cellulosic ethanol. Next few years will be important as infrastructure will need to be built to get ethanol from point of production to point of use. Now that at least “a form” of the Farm Bill has been passed, they need to get the Senate and House together to come up with something that will either get a Presidential ‘ok’, or get enough votes to override a veto. Meanwhile, since the recently adopted bill does NOTHING to address WTO concerns, Canada and Brazil have re-opened their case against the US and illegal subsidies. Expect others to join in (EU, Aussie, Argie?).

            I will be to an early morning marketing meeting at Morrow County Grain Growers in Lexington. Please call for price updates….

Fun Trivia:  What are the next two letters in the following series?  A E F H I K L M …

The next two letters are N and T.  These are the next two letters in the alphabet composed only of straight lines.

***All bids are subject to change, please call for CONFIRMATION of prices. All information in this letter is from sources deemed reliable, and is for informational purposes only**