Costs are out of Control! All over the World!

[SASKFARMER3]

Like BTO said no big trade deals will happen and he is right. Go price new iron for fall delivery. Can you say combines that if you use to take 4 now you can afford three.
Watched a auction on internet in USA and equipment was getting passed over. Lots at sale and on line, equipment looked good but basically lots of lookers and no takers.
Richies Saskatoon was interesting to watch. Yea stuff was down.
Then reports that with the high USA dollar and Low other country currencies inputs were out to lunch in most countries since its based in USA dollars.
Russia Ukraine and others will put in less inputs so lower yield. USA farmers cut back seeding rates when costs are up and value of crop is down.
Hell in Canada its a shit show already. Some say no its a great time to farm. Give me a break READ! How does one take on extra land at this time of year if it comes up and can actually afford the Seed Chem and Fert to put on it. Plus the rent and make a buck.
In our area some 30 plus quarters are available to rent. Seems some BTOs have bailed on some fall deals, No paper work no deal. Or like the other Guy No pay no play.
Good dirt but if you didn't plan for the extra land how can one justify the extra costs.
This rail issue and world issues are hurting ag more than ever. See boys and girls when the world fills up with food and farmers over produce the price drops. Price doesn't increase when we over produce. Ah canola 2025 is Bull Shit.
Low prices is all that will achieve.
Back to Basics here we go again.

[grrrr]

SF3- I don't know why you farm.

[SASKFARMER3]

GRRRR read its getting out of control or don't you realize it. Farmers around the world are looking at the coming season in the Northern Hemisphere and realize WTF nothing is dropping except our income.
Sooner or later I always say these guys have to realize you kill the golden goose the jig is up.
Its a observation, That's why I farm Not this Half Full or Half Empty Bull shit. Change the sail and head into the storm.

[westernvicki]

Went to Minot in January, they were already talking cut back and the reality of lower prices, machinery dealerships wailing.

Reality is painful.

[SASKFARMER3]

It is reality. Richie sale in Texas or Florida a few weeks back awful.
Now rent if a deal was set in fall live with that deal.
What a game.

[westernvicki]

Can someone tell me how the equasion works with crude under 50 bucks and gas at almost a buck.

When crude was over 1$ gas was in the 1.20cent range.

Canadian farmers are at a huge disadvantage to the world, that is nothing new, but more dangerous today, with global competition on the rise, and a transportation system that WILL NOT let you realize opportunity equitably.

[TOM4CWB]

SF3,

Your points are true... and how else can it work?

No demand... then why should any grower plan to supply a product no one wants... and why should any gov pay growers to produce some product that is not needed? There is plenty of really good slightly used equipment... why not buy that farm equipment that has been depreciated 30 percent!

This is a time of great opportunity!!! Those who are willing to haggle... stick to their guns... will be rewarded greatly!

We don't get something for nothing... Good things come to those who wait, especially for those who will work while they wait!!!

I am waiting! Tom Jackson... Day 24 Hunger Striker... waiting for CNCP to remove $423,000 Writ of execution from my farm!!!

Cheers!

[westernvicki]

From what I see the US farmer has less credit availability, therefore the wall gets hit much sooner than in Canada. Maybe a good thing?

[tstep]

In full agreement! The cycle has turned and times are changing for the worse. Back to the hunker down times and push on through. Inputs high, equipment costs are nuts, land rent hasn't changed a lot in our area yet but that will happen, grain prices down and step backwards about 25 years on grain marketing. Ahh farming...isn't it great!!!

[SASKFARMER3]

I agree tom on equipment. Why buy any new this year with a 24% markup because of dollar.
Grind them on equipment and do cash deals with not trades to update equipment one needs.
Sit and wait works good.
Why rent the 30 quarters at todays costs if it sits for a year real easy to get next year.

[westernvicki]

Tom the solution for the individual always prevails the problem here in Canada is many farmers believe their is not a problem with the price of commodities compared to the costs. With less ability to affect the price we are stuck with our made in Canada costs, and this gap is really quite amazing indeed.

[westernvicki]

Very simply:

Why is gas a buck?

[SASKFARMER3]

Because they bend the consumer over and have fun.
Diesel did drop yesterday but gas went up. Farm diesel .70 a liter still to high.
Its winter diesel till Easter Monday. Watch the price drop then. HA HAHHAHAH

[Hopalong]

We should pay more attention to implications of new US farm bill.
High value dollar makes payout more likely from subsidized revenue and yield insurance programs.
Think loan deficiency program could also come back into play but unlikely.
Direct payments which were a straight subsidy something like our agri invest have been reduced or eliminated.
Best prospect for Canada farmers is trade agreements and willingness to make concessions in our own domestic markets in return for access to export markets.

[SASKFARMER3]

But wait last time this shit show hit the USA gave their farmers a income.
And in Canada we were told programs are in place and deal with competition its good for you.
Ah how history repeats over and over and over. But never taught.