Young people getting in the business

[EBusch]

I know that the aging population of beef farmers has been talked about to no end over the last few years, with there being a lack of young people getting into the business. But there still are some young people that are getting in, and everyone knows a at least a couple that are.

My question is, of the young people you do know that are getting in, what is their reasoning for hope? There are good reasons to get in the business, and I'd like to hear why young people you know are getting in. And what qualities do they have that will make them successful? To keep things positive, lets forget about why people are getting out.

[Horse]

I would like to be positive but the only ones I know getting in are those with large incomes and are looking to use farming as a tax dodge . And then its not to bad living in the country espicaly if making money is not a concern. And it may be a good investment or retirement fund.

[ALLFARMER]

Kind of like asking do you know any young people moving to Vegas to make a living gambling?

[ALLFARMER]

I know several young people that are getting into the business, purhasing land to compliment their parent's operation that they are a partner in. They like the agricultural industry and want to be somewhat independent so they opt for agriculture vs working in the resource industry. One young fellow is getting his Farm Mechanics at Olds and plans on constructing a shop on his fathers farm, working with his father in their cattle operation ( cow/calf and feedlot) and running a repair business in his SPARE time. He loves farming but realizes that he will need some regular cash flow .

[Horse]

Emeral1 So does that make him a farmer or a mechanic.

[Horse]

Horse, if the kid has the interest in farming and needs to have the option to make some income in his farm shop, I would say he is still a farmer first, mechanic second. He will be value adding to his operation by having the repair shop on the farm, no different in my opinion than if he ran a Bed and Breakfast, or sold beef from his home .
If his parents were close to retirement age he would likely not need to gear up to have this income option but they are only in their mid forties so the farm will have to support two families instead of one.

[Bez]

So, does anyone know someone who is starting in this business that has no parental help - any new start-ups?

If there is even 10% of young farm kids planning to stay on the farm - great - if the percentage is 40% even better.

What about the remainder?

Somehow I see even more operations consolidating - not enough population to maintain the rural community.

I believe a lot of small towns will be closing up over the next 50 years.

Bez

[WoolyBear]

Less than a generation ago, when I finished school, there was something called double digit interest rates. Many of my peers that wished to start farming were faced with these extortionistic (if that isn't a word, it is now.....)costs on top of the sudden rise in land prices. Still some stayed, but many left as I did for work or University. Foolishly (maybe) I came back.

Still while I was away the only ones that were able to buy land were the established farmers. The young ones, discouraged with bills, low commodity prices and still rising land prices made the tough decisions. If they stayed on, they did not encourage another generation (their sons and daughters)to carry on with "The Dream".

Many of these "established farmers" that bought up vast acerages of land (in competition of the younger ones) now realize that they must go far afield to find buyers for their farms as they retire (or try to). Who can afford to start into a Million dollar operation, that doesn't even include the mega bucks required to purchase machinery and or livestock.

The bankers preach the economies of scale, but when the beam is tipped against the farmer with the low commodity prices, and rising input cost, will there ever be enough hours in the day to work all the acres that we need?

[cowman]

The only way a young person is going to get in is to inherit it or marry it! At least in what I call "conventional agriculture"...cattle, hogs, grain?
I really can't see cows ever paying for a land base, maybe they will pay their way on rented land? The problem with rented land is you don't own it and you have no security that you will have it next year or whatever? How do you make plans or an investment on something as fickle as a landlord? Now maybe that isn't a problem someplaces but any land that comes up for rent around here has a lineup a mile long!
I hear of guys hauling cows up north for cheap summer pasture and I have to wonder what the hell they are doing? I wonder at the end of the day if they are really doing more than spinning their wheels!
We have a half 12 miles from home and it is a major pain as far as I am concerned! I sure as hell wouldn't want to be driving no two hundred miles to check on some cows!

[rookie]

I swear farming is an addiction that needs treatment.

[smcgrath76]

I might step in as a young farmer here (still under 30).
Not sure we could do it if not building on an already established operation. Land is too expensive to purchase locally (even if it was interest free) so leasing land or moving is the only way to make things work. More intensive grass management, less money spent on feeding cows, owning calves longer to cash flow better, and keeping debt loads down.
As well, we know the money is in managing assets. We are working on different ways to manage assets without having to own them. We are leasing out packages of females, working on a plan to incorporate grass cattle/custom grazing, etc.
And in my spare time I work in a consulting practice, as I know that it will take some time for our business to become family and self sustaining.

[DieselRam]

I am also a young farmer just getting into the business. I am finishing my Ag.Degree at the U of A in Animal Science. The lifestyle is extremely rewarding, and you can make a profit. It all has to do with being innovative and trying new things, while keeping your costs in check. That is how the industry is going to survive! Remember, the world will always need to eat!

[WoolyBear]

Sincerly I hope that all you young farmers
can fulfill all the dreams and ambitions that currently have. Sure you can make a profit if.......... you don't listen to all the cynical and negative people you meet. Life IS tough out there and the hardest lessons learned will be when you have to dig yourself out of a hole of debt that wasn't entirely you fault!

Best of Luck

[cowman]

Now without a doubt debt can be a problem or it can be a very useful tool? I would suggest debt that will pay for itself plus give you a profit can be very useful? Unfortunately, many people can't manage debt and without a doubt it can become a real problem...through no fault of your own?
A clear example would be if you bought $1500 heifers pre-BSE on credit? Or the rising costs of floating loans in the early eighties?
A lot of people went down on both those.
I would suggest long term debt can be risky, but short term debt is useful. A clear example of short term debt would be a credit card? If you pay it off every month it is definitely a credit opportunity.
I don't have any debt related to agriculture but I have no problem borrowing against my oil field business. However I do believe whatever I'm buying there must pay for itself within a year...two at the very outside! So if I buy a $50,000 truck I expect it to generate a $50,000 profit in one year. You can do that in that business.
I consider debt to buy toys the silliest thing possible, but then I guess the person buying wants it and hey it is their dime!

[PureCountry]

Interesting to see opinions from all 'generations'. The 'wise and experienced', the 'young dreamers' and the ones slaving in the middle of it trying to make money off those dreams. I guess I'm in the latter, and proud of it, too. I will see a day when I make a living without off-farm 'subsidies', then I'll make my millions writing a book called, "Ranching for Dummies".

Let me know in advance if any of you would like autographed copies.LOL