Y2K presents problems for agriculture industry
by Michael Schommer, Minnesota Department of Agriculture Communications
When you think of businesses affected by the Year 2000 computer problem, many people think of hospitals, banks or other high-tech industries. However, there is growing concern that even the peaceful, green farm fields of rural Minnesota could feel the effects.
Like many parts of society, agriculture has become dependent on computers in recent decades. According to information from the National Agricultural Statistics Service, 31 percent of American farmers own or lease computers and 13 percent have Internet access. In Minnesota, the percentages are even higher: 32 percent of farmers own or lease computers, and 43 percent have access to computers. These numbers have most likely increased since the NASS survey was taken in June 1997.
Farmers use personal computers to manage their farm finances. They use satellite-based global positioning systems and computerized yield monitors to fine-tune their cultivation practices. Elevators, seed and implement dealers, and transportation companies use sophisticated software to fill orders, track inventory and manage product flow. Meanwhile, everyone logs onto the Internet to keep an eye on the latest commodity price movements.
While the problems Y2K poses for the agriculture industry are similar to those facing other industries, the ramifications of the ag problems could have a particularly serious impact for the average consumer. In a worst-case scenario, there could even be local food shortages due to transportation problems.
The reason for this is that agriculture is a business that runs on a tight schedule. Agricultural products like milk, corn and beef are perishable stock market commodities bought and sold like anything else. In order for the product to reach the consumer in time it must go from the producer to the processor, who then sells it to the wholesaler. From there, the product goes to the distributor and then the local retailer. If even one link in this food chain is broken by computer failure, the whole process could be slowed and communities could suffer localized food shortages.
Furthermore, widespread computer problems brought on by the dawning of the century could make it difficult for seed companies to deliver the proper type and amount of seed to each area, leading to delays in planting. With such a short growing season in Minnesota, lengthy delays could endanger the entire growing season.
Then there is the problem of utilities. Experts say equipment used by utility companies to supply electrical, gas, water and phone services could operate improperly -- perhaps even failing. Power disruptions could be catastrophic for farmers, especially livestock farmers who need heat to keep calves or piglets warm, and dairy farmers with mechanized milking systems.
The key to preventing these agricultural disasters is to make sure that everyone who depends on computers is doing what they can to prepare for the date change. This means farmers who have computers should contact their manufacturers to figure out what they must do to safeguard themselves. At the same time, agribusinesses need to take this problem seriously and start planning ahead of time. Also, farmers and agribusinesses should make sure their suppliers are taking steps to ensure services will not be interrupted by computer errors resulting from the date change.
Finally, the Minnesota Department of Agriculture and other agricultural groups must work together to spread the message to all corners of the industry. We must make sure all farmers and agribusinesses are doing what they must in order to ensure that the bridge to the 21st century is sound.
- 30 -