Supply Management; again

[pandiana]

I talked to a fellow at the Olds fair last weekend. He and his wife run a dairy with his parents. The parents are ready to retire and are dispersing their 72 head dairy herd. He will go back to teaching. With quota and cows, they expect to net 1.4M. On the other hand, I could sell 50-60 beef cows to buy a new pickup. Supply management eh. (posted org. under Commodity)

[TJM]

I wondered what all was being sold. The cows and quota #'s don't add up to that much, at least I hope not. Must have been some land and buildings involved as well; maybe the whole parcel. Even so, a 72 head outfit with beef cattle would have trouble coming close to half that value. Go figure.

[jensend]

Supply managed commodity producers also have an advantage when it comes to buying more land and other assets. I have seen them scoop up land when grain farming is in the dumps. It's another inequity within the farming commnity.

[pandiana]

TJM: 1.4M was only quota and cows. He expected $3000 av for cows. Land and equipment was begin retained. They planned on selling some feed and buying a few purebred cattle.

[cowman]

Well I think Eugene Whelan offered the beef industry a similar deal once and we rejected it. In the pursuit of an export market and what we hoped were windfall profits, instead of a steady sensible market. Be happy for these people and not envious! They won.