It looks like there’s a new player in the farm policy game. The Farm and Food Policy Project will be conducting a press conference in Washington, DC on Monday, January 22 to release a report titled, “Seeking Balance in U.S. Farm and Food Policy.”

Remember Keith Good? He was writing a regular feature here on AgWired on Farm Policy. Well one of the reasons he’s not is because of his Journalism Fellowship with the German Marshall Fund of the United States, providing Analytical news updates covering Trade, Agriculture and Development. They’re posted every Monday and Thursday.

I’m going to make a couple of remarks about Keith Good. The post before this is Keith’s weekly Tuesday farm trade and policy post that he’s been doing for months on AgWired. However, it’s his last one (although I’m thinking we haven’t heard the last from him).

As domestic ethanol production continues to grow, agricultural observers can quickly and easily see many of the potential benefits: increased investment in the rural economy, environmental benefits of using a renewable fuel, and increased demand for corn, which can lead to higher incomes for corn growers.

It is never too early to talk about the next presidential election and the Iowa Caucuses, where rural and agricultural issues often get more media focus.

One area of particular interest that politicians often refer to when traveling in Iowa, or preparing to campaign there, is ethanol and renewable energy

As the 2006 farm policy picture develops, observers see three key issues on the horizon.

According to DTN, “This sets the stage for three farm policy debates next year — one beginning early in the year on proposed budget cuts, a second continuing debate on trade policy that could peak next spring and a third beginning late in the year on replacement farm legislation.”

While Administration federal budget proposals are set to be released next month, recall that last year, the President Bush sought to curtail farm spending by $9 billion over five years. Nonetheless, the current budget reconciliation measure that is set to pass Congress contains only $2.7 billion in cuts.

The second two issues, trade policy and the 2007 Farm Bill debate, are more intertwined.

Last week, the Senate narrowly passed the federal budget reconciliation bill.

In its final form, the budget measure will trim $2.7 billion from federal agricultural programs, while adding an additional $998 million spending to extend the Milk Income Loss Contract Program.

For the measure’s full details on agriculture, see this summary which was prepared by Jerry Hagstrom.

Concrete achievements made at the latest round of W.T.O. trade talks in Hong Kong were modest.

Most notable was an agreement that sets a deadline for wiping out subsidies of agricultural exports by 2013.

And reaction to the talks from newspaper editorial boards was mostly negative.

Yesterday’s Wall Street Journal indicated that, “The negotiators signed a substantially weakened deal that includes a commitment to eliminate farm subsidies by 2013, modest cuts in tariffs, and an April 30, 2006 deadline for agreeing on how to liberalize farm and non-farm trade.”