I have observed over the yrs that when things down on the farm are iffy the gov develops a plan to reduce the number of farmers, now I may be wrong but this crop insurance plans seem to be doing just that, a small farmer lets say in the 4/500 acre grain and mabey some cattle or sheep realy dosent benefit from a payout because they are to small, where as the 4/5000 acre can get enough to live on. If not for crop ins I dont think half of the larger opperations could come up with enough cash and not be able to get a line of credit big enough to fulfil their needs. I supose we all should keep up with the times but some of us were never cut out to be world beaters.
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The biggest government policy killing smaller farmers right now is the
money printing. Guy can show up with his 120' drill bought with borrowed
money and replace three smaller operators. If interest rates could rise
200 basis points it will be a whole new ball game. We don't need to worry
about that though because helicopter Ben will print until we are Zimbabwe.
Actually Zimbabwe's economy is now growing again now they have ditched
there own currency and just use Rand or US dollars.
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That is a very poor generalization Mr. Horse. I
know many many operations u speak of that carry
NO crop insurance and don't use a line of credit.
There are those that make it work and those
standing back wondering how it works. I
understand your thinking but it simply isn't true
around these parts.
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Too true Sask3. Manitoba crop insurance might not be much but it will almost cover your input bill for
the year. I know I wouldn't want to put half a million of inputs out there on the fields and have a
fair chance of losing it all. If our government wants us to take that risk and still have a cheap food
policy then they are dreaming in technicolour. They take the cream off the short crops like the USDA
report did last week then they should be expected to top up the bad years in the same manner.
I hope you had a great time in Jamaica. Nose to the grindstone time now though, eh?
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Totally agree except agstablility does favour the smaller farmer also. Not sure if should mention the environmental mental farm plan also favors the smaller farmer. A 500 acre farmer should be able to gain 3 times per acre in gov't benefits compared to a 6000 acre farm estimating. Not sure how horse has this one figured out.
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Money management./business skill/character.
More than ever, big farms know their banking
ratios. If not the banker and BTO have actual
meetings and discuss ratios and real business
matters.
How does the old saying go, liers always figure
but figures never lie.
I'm,pretty sure I have the smallest acres in the
area. My neighbours are 18,000 acres, 25,000
acres and 45,000acres.
If you really want to make a living at it, you will
figure out a way. If you are bleeding red ink on a
regular basis, sell/rent now prices are high.
If you want a shoulder to cry on, pull over.
One of my not farming pals famous quotes is, "
we are all going broke doing something."
I know for a fact there are equestrian facilities
that net 8X more money per acre than me. There
are green houses that net 1.2X more than me on
a half acre.
I agree that increased interest rates will change
the dynamics of the area, but they are trying just
as hard as I am, probably even harder.
The government programs are there in case of a
massive production disaster. Big or small farm, it's
how you deal with problems that makes success.
There is nothing wrong with doing the best you
can sometimes that means growing with, or
without government programs. If you perceive that
government favours larger grain farms, well, then,
get large and embrace the risks doing it.
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It would be kind of nice if the government would stay out of
the farm/crop insurance business all together. Sink or swim
on your own merit. I also don't see why someone working a
section or so of land and putting in 400-500 hrs a year doing
so should expect to make a living. That's paramount to
teachers working 9 months of the year and expecting to make
the same as the police officer that works year round. That
being said some of the wealthiest and most profitable
operations I've come across are the ones where each
shareholder or household operates 2500-3500 ac. Doesn't
matter if its one guy with 2,800 or three bothers and dad
with 14,000.
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Perhaps the scale of equipment today defines what an appropriate size farm and farm programs need to reflect that. Early in my career/when I grew up, the definition was behind a 50 hp tractor and conventional tillage. You guys put your own definition today but perhaps more like one person can do with a 300 hp tractor and a 40 foot low disturbance seeder. You put the rest of the equipment complement behind that.
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Size matters! When gettin rich framing
cordin ta the Albertie gobermont
boys/girls, butt reality is theys just
spouting gobermont propoganda, hence their
only interest is in fact keepin the cussy
gobermont job theys clinging ta, eh.
Fharper&ritztwo.......
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