WASHINGTON, DC— Total peanut losses due to the drought in Baker County, Ga., were $4 to $8 million in 2007, says Tim Burch, farmer and Georgia Peanut Commission board member from Newton, Ga. in Baker County. Burch testified before the U.S. House Committee on Transportation and Infrastructure subcommittee on water resources and environment on Tuesday, March 11, 2008.

As the Southeast continues to suffer from the drought, agriculture has seen first hand the dramatic, dry changes. Through these times irrigation systems have become a necessity to produce crops thus increasing the operational expenses. “Increase in energy costs has only made our drought problem worse. There is no indication that energy costs will diminish for the 2008 crop year,” Burch says as he discussed what his farm has experienced over the past year’s dry season.

Drought conditions in Georgia during 2007 were approximately $800 million according to the Center for Agribusiness and Economic Development at the University of Georgia. These losses came primarily from hay and pasture, cotton, peanuts and corn. The greatest losses were in pasture, approximately $265 million.

The Center estimates that the 2007 drought had a total economic output impact of $1.3 billion in losses. Output losses are the total sales that are lost to the Georgia economy due to these direct losses reported for each commodity. With these estimates for the 2007 crop year, Burch emphasized the importance of Georgia’s water as a shared natural resource to help save farmer’s money in 2008.

With collective efforts, Georgia farmers have helped the Georgia legislature resolve the water management issue. The Water Plan has now passed the state legislature and become law. It establishes a framework for moving forward on Georgia’s water issues. Georgia producers will continue to participate as the plan evolves.

Burch closed by stating, “We have very serious water issues in our state and the Southeast. As one segment of Georgia’s economy, we are striving to use the best technologies and conservation practices available to protect our water resources.”

For more information on Burch’s testimony, visit the Georgia Peanut Commission Web site at www.gapeanuts.com.