Things have gone well in our area over the years, but we've had tough ones too.. I only sowed 25% in 2011 ( agristability worked that year ) But drive 20 miles west and they've had severe moisture prob. . Would be good if everyone had good crops this year.
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Again, not in my area, there's been a lot of high priced land sold in the last few years and almost all of it is being farmed by the people who bought it.
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Stonepicker
We have had quite a few years where seeding was a small % of intended. This is probly why our reference margins have not produced a payout.
Since your area sidestepped some of the weather issues that would explain more farmers being able to purchase land at higher prices.
It seems since 2004 frost it's been 1 step forward 2 steps back.
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Goodrum. Some guys started out much better than others. In my area, it is the long term, long paid for land guys who do the best, whether they grow as good crops as me or not.
Weather issues aside:
I do not begrudge those who were set up better than me and you. Just pointing out that the attitude towards farming of me or you, versus the neighborhood kid who had the good fortune of a lot of financial help or a good land base to start from, or some rich dead uncle or what have you, is going to be much different.
A guy who had an aggressive father, who did well and bought land over the years that is now all paid up, is in a different position, and will therefore have a much different attitude, than a guy who never had a land base advantage to begin with. Pretty easy to rent 2000 acres of land from your dad, than it is to try and find 2000 acres to farm from someone else!
My neighbor whose dad bought a new seedmaster and quad track last year that he gets to use for free, has a much better attitude about farming than me. It is just the way it is.
And no, I am not jealous, I am trying to explain part of the differing attitudes at this time. Weather luck or unluck aside. Well set up=world by the tail/bulletproof. Poorly set up=reality that it is a tough business at times.
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Aggressive? As in borrowed over the head and then had write off because no one else wanted it. While the smaller careful guys could not get any debt written off? How about the guys with multi farms in one yard shuffling things around to make programs work while the honest guys got nothing.
How about the input man charging everyone 25 interest making guys sign over land most
Of the land taken was for interest not the bill.
Three farmers charged with fraud trying to screw crop insurance to pay that interest bill, definately not the road to take but the real sob got the land.
So ya there are a few legitimate guys lucked out with micro weather pattern or seeded the right crop but the majority of the well to do have more than a crop production story behind their success or failure. When a few things get through court with some of these you ll see what I mean there's illegal corruption and them there is moral corruption.
Ritz s comments can be compared to some idiot telling everyone the poorest people have double their worth because minimum wages have doubled someone just needs to mention that debt has tripled or more and buying power of a dollar is what? Apply ritz s statement to the debt numbers and you ll see that ag sector is how far from bankruptcy?
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Would be interesting to look at the "farm" numbers from 2001-2005 and compare them to the last 4-5 years.
I know times were good for a few in that previous period but it was a diff story for about 75% of the rest of western Canada.
During that time, actually it was about 8 years we never replaced one piece of iron and there was absolutely no money for holidays. A different time and place I guess. Oh and land values stayed at flat for that whole time period - from about 1998-2006 , 2007 then the cartoon's came on.
Things have definitely been ok to good here since 2006 weather wise, as many have said land values showed that the past 5 years, but the brakes are getting applied here too - the last land sales are off almost 1 x assessment from a year ago.
So Ritz's comment is kind of correct in general, except for a few flooded areas the past few years. But his numbers are based on the last three years IMO. He has his head in the sand though , like his ole flock of birds about the numbers for 2015-16, they may be far different. So, fact about the past few years but fiction on the current situation going foreward.
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I started farming back in the 70's. Some years were better than others of course. Starting in 2008 (the last 7 crops) I have had 5 of the best years I have ever had. Not just me but the whole area. Some very good crops and some very good prices. Land prices have reflected that.
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Interesting how the last seven or ten years have been either some of the best, or some of the worst, depending on where you are. It takes an awful long time to recuperate from 2 years back to back of seeding 10% of the land, with a 0% thrown in for good measure.
To borrow from SF3, ahh farming!
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