Agristabilty-purchased commodities....

[farmaholic]

By how much is purchased commodities(like inflated canola seed prices) reducing your margin by?

[TOM4CWB]

Depending on whether you are collecting or building up your margin... the TUA could go either way...?

[farmaholic]

Tom; building or maintaining the margin, will they actually let you seperate the Liberty Trait Agreement fee out of seed cost? TUA is charged seperately.

[farmaholic]

Come on guys, if you are talking Agristability, there is no impact on your margin as its either in seed cost or chemical.

If you are referring to AgriInvest, then by not separating the tech fee from seed would reduce your deposit entitlement.

[farmaholic]

Sask99: Isn't the seed cost a direct deduction from the eligible income therefore will lower the margin? If this isn't the case, enlighten me.

[farmaholic]

You are correct in that the canola seed is a cost in the margin. But so is chem,fert and several others.

Are saying that you flip the costs to non eligible catergories in non claim years to increase your margin?

If so, you take the risk of having your claim thrown completely out like a large farm in Alberta.

Bu submitting an application each year you declare the information is accurate.

[Hopperbin]

Who do you work for Sask99?

[farmaholic]

Sask99: No I generally do things by the book. I guess my point in the original post is that the excessive cost of canola seed can reduce the margin. Funny thing is I don't mind paying a seed grower for their product, it is just this canola thing is a burr in my butt. Seed costs are getting out of hand. I don't care if they charge you seperate for the TUA or hide it in the seed costs, it all boils down to the same thing--corporate greed. Keep squeezing guys!!

[farmaholic]

I am glad to hear you say it that way.

Here's a twist then. IF...the technology is getter better allowing increased yields, then we all can afford a modest increase and from a program standpoint, you still are ahead because of increased production and margins.

On the flipside, me buying 5440 canola seed for a buck a pound (or more) than last year for the same product as last year doesn't equate such as you are saying.

I work for myself, just like you Hopper. I worked in a bank for 15 years so I have some business background.

My accountant was the one who informed me of a large AgStability claim that was denied because the producer did "excessive" number manipulation. Fraud charges are still pending.

From the rumors of prebought fertilzer of 2010 and not claiming it as a prepaid, there will be a few in our province as well very shortly.