Salina Journal, The (Newspaper) - June 28, 1979, Salina, Kansas Summit Q A TOKYO UPI Questions and an swers about the Tokyo economic sum mil ft ft ft Q Who is meeting A President Carter and the leaders of West Brit France and The seven na tions account for more than half the worlds ft ft Q What are they trying to accom A The summit has taken on special urgency because of the worlds worsen ing energy The seven leaders believe it is urgent to take dramatic steps to reduce their purchases of oil from the 13nation OPEC oil currently meeting in ft ft ft Q Why do they want to reduce im ports A The continued large purchases of OPEC oil are draining billions of dol from their affecting the living standard of their though many dont yet believe there is not enough oil to go World demand already outstrips pro for believes it will have 10 percent less petroleum this year than it TV tr ft Q How do they intend to reduce im ports A The United States and Japan want to commit each country to ic oil import ceilings for the remainder of 1979 and The Europeans want a more general agreement to freeze oil imports at 1978 levels for five Whatever compromise they the leaders hope to cut imports by 2 mil lion barrels a Total world con sumption is about 50 million barrels a ft ft ft Q What will that mean to me A You will pay more for There will be no increase in the amount of gasoline available and probably a And because of the latest OPEC price you will have to pay more for that ft ft ft Q If the Big Seven cuts oil wont that cause a recession A Thats a distinct At the heart of the Tokyo discussions is how to reduce consumption without cutting economic It will take skilled economic and political lead to avoid a ft ft ft Q Is there a silver lining A Not in the short But the Big Seven leaders hope if they can make the tough decisions now and reduce their dependence on it ally will allow their economies to medicine now will make the Big and therefore the worlds healthier in the COOLING OFF Terry DeGr aw wasnt about to blow his top over Wednesdays hotter weath but the water toy he was hav ing fun with does just that when the water is turned Terry is Mtoto by Rich the son of and Chris 1100 Summit close to accord on oil imports Related picture on TOKYO UPI President Car ter and fellow Big Seven leaders Thursday struggled in the face of a 24percent OPEC oil price hike to reach a compromise on reducing oil and aides said an ac cord was Aides bargained into the night on the specific details on a plan to curb the Wests appetite for oil and send a mes sage to oil cartel that we mean Carter and leaders of West Italy and Canada met over breakfast and lunch and held two formal sessions in the or nate Robe of Heaven conference room in Akasaka Palace in central I think we are clearly tending in the direction of a compromise that in corporates the needs and peculiarities of the individual countries but yet will come up with specific numbers and commitments on which all the leaders assembled would a ing official told A European official was quoted as saying there was a strong possibility of a compromise by the end of the summit Although each side sought to convey the impression that progress was being made behind the it appeared that significant differences remained to be wants specifics At the heart of remaining differences was the American insistence that each of the seven countries accept specific commitments for the remainder of 1979 and 1980 on reducing their crude im Japan and Canada aligned them selves with the The four European agreed with the rest of their Common Market partners last week in France on a scheme to freeze oil imports at 1978 levels for six The Strasbourg plan did not in clude specific country com on oil Too early to President Carter told reporters asking about progress in the first of two days of energy summit But an aide said he warned his fellow leaders the eyes of the world are on this and that they must pro duce a significant and substan tive program to stem the ing dependence on foreign The Americans and Japanese object to the Strasbourg plan because it would not limit European purchases of North Sea Another sticky point was deciding what year to use in the guidelines for any oil import reduction We talked about what should be the base year or reference year for the pe riod of Japanese Prime Minister Masayoshi Ohira told a brief ing on behalf of all seven Storms batter NorthCentral Heavy along with hail and high winds in some battered NorthCentral Kansas early Thursday Crop damage was reported in some Minor flooding was forecast for Buffalo Creek around Both the Big Blue River near Marysville and downstream at Blue and the Black Vermillion River near Frankfort are expected to crest near flood A band of hail wiped out some crops along a line from western Lincoln through western Mitchell County and into Jewell County between Jewell and Further extending into Cloud and Ottawa high winds flat tened some but they were re ported to be 53 mph winds The Concordia National Weather Service office reported a peak wind of 53 mph during the and said winds reached 70 mph in The thunderstorm line was fairly sol id between Beloit and the NWS weathermen but the most severe storm cells were scat In Saline no significant in jury was reported to the Official overnight rainfall at the Salina airport was just of an although great er amounts were recorded Along Buffalo Creek upstream from Jamestown rains averaging more than two inches caused a forecast of a 17 foot crest Thursday night at James where flood stage is 16 How the flooding was expected to cause little more than minor aggrava overflowing into some fields and across some roads but not endangering the Weathermen said the creek was only at feet Thursday morn The Big Blue was forecast to crest at 32 to 33 feet near Marysville Thursday the river was at feet and See 2 15 CENTS HOME EDITION The Salina JUNE 1979 108th YEAR 179 28 Pages Base rate climbs 24 percent Sheiks say high prices our fault Should the European community re sort to restraints as one entity or should it be broken down into individ ual nations he We had some discussions on these This was a reference to the Europe an argument that they should be con one political entity and there fore no limits would apply to their pur chase of North Sea The Americans said this proposal would permit West Germany and Italy actually to increase con sumption while the United States and Japan were committed to tightening their After many views were Ohira it was decided that our personal representatives should be asked to boil this question down to the In protest over the left ists staged 10 separate demonstrations around Switzerland UPI OPEC Thursday increased the price of oil by at least 24 percent in a move that will boost fuel prices 4te to 5 cents per and blamed the hike on the thirst for energy in industrial na tions like the United Although the 24 percent increase was slapped on the base price of which went from per barrel to the oil cartel also approved a series of price differentials that will boost the average price above with a price The 13 member nations of the Organ ization of Petroleum Exporting Coun tries said their new prices would take effect July 1 and last through the end of this if the effect of 1979s cu price increases 33 percent in March and 24 percent now shock the worlds financial equilibrium and devalue the oil producers they said they might ask even a fur ther increase before the end of the Even Saudi which fought to keep the price increase said further action might be necessary if the Arabs and other oil producers suf a 5 percent dip in the value of their The Saudi oil Sheikh Ah med Zaki speaking softly and showing the strain of three days of Keep drinking like a good doggy tough told reporters at the end of the conference that it was up to the Western world as consumers to determine how long the new prices re mained in Unless the advanced industrial na tions cut consumption and focus on al energy We are go ing to face a real he In addition to boosting the base or benchmark oil price to per bar the OPEC ministers continued the surcharge system they formalized in March allowing individual nations to tack on extra fees in a They also continued the ing system of allowing market pre for highquality oils but at the same time set a per barrel price Agricultural fuel situation called nip and tuck this year By JEAN CHRISTENSEN WASHINGTON HNS Judg ing from Energy Department pro the fuel situation for agri culture is going to be nip and tuck the rest of this Agri culture Secretary Bob Bergland said Well muddle through the There are going to be spot Bergland predicted at an informal meeting with a group of We will get but he In an effort to alleviate shipping delays caused by trucking the Agriculture Departments tural Marketing Service and transpor tation task force started a cooperative effort this week with the Department of Energy to provide the Department of Transportation with sophisticated data showing where agricultural products are being where they need to and which highways they will Working with states Bergland said the federal depart ments are working with state highway which can issue adviso ries over citizens band radio telling which routes are safe to travel and where food is available for The program seems to be he The system is getting un One problem is that truckers wont take produce until they are sure they can get to their In for they know they can get to the states but they might get shot at on the other If they must dump their load of peri Bergland it comes out of their He said the truckers actions were hurting shipments of beef in the Mid west and seasonal such as and warned there will be a measurable impact on food But he said the tion of some loads wont have near the impact of delivery Bergland last week lifted a special regulation that had provided ture all the diesel fuel it but said he isnt convinced the rule had im truckers from getting fuel they Major agriculture needs are Bergland since spring plant ing has nearly and he wanted to be sure theres no frivolous use of die sel fuel anywhere in this He said farmers can and should buy fuel and store it in and he has heard no complaints that farmers are hoarding No complaints The secretary has received no com plaints that there is not enough fuel for he Since most harvest machinery runs on rather than diesel he said it doesnt seem to be much of a The biggest complaint of truckers is that their competitive advantage over railroads has been hurt by fuel price Bergland he it wouldnt hurt anything if the rail roads are able to accommodate traffic from the agriculture or consumer point of he if you dont have rail service youre in real Although he doesnt expect transpor tation difficulties to limit the amount of grain the United States can Canada and Australia have reached the physical limits of their delivery ca Bergland He said that is one reason he expects grain exports to be close to 130 million metric tons between five and eight million more than last The latest estimate for based on May 15 market was but Bergland expects that to be revised he as the values go up the tonnage estimates might go The Soviet Union is expected to buy nearly 15 million tons of grain includ ing 3M of wheat and 11 or 12 of corn from the in the year ending but next year is an entirely differ ent Bergland As the average market price for wheat inches closer to the el level at which Bergland can call it from grain reserves and require farm See FARM Page 2
