Farmers watching $$ more

[Jagfarms]

I thinking sales at machinery dealership sales will be slowing down drastically.

Auction sale prices of agricultural machinery will be dropping.

On our farm we have the most inventory we have ever had but not much cash flow. Lots of my inventory is Pedigreed seed so don’t want to sell it commercially for today’s prices. Will hang on to it in case of drought or poor seed quality in 2018 crop year.

Talking to lots of farmers and most are sitting on lots of inventory. Can’t move it or the price is too low and are waiting out for higher prices. We could be waiting for a long time for the prices to increase.

I am suprised that the cash rent for land and land that is selling is still going for record prices in our area.

I would think that there could be some good deals in the auction sales coming up. Lots of farmers in the same boat, even if there is a deal at the auction the money is not available to buy it. Will need the money to put the crop in and wait for commodity prices to increase.

[Guest]

you're absolutely right jag, anyone that doesn't think it will happen again hasn't been around very long....

[bucket]

Add in fuel's carbon tax and this is not looking good.

Cheap coal yet higher electric rates....

Increases can't be passed on ....can't pick my land up and move to the states either...

Other businesses can move their assets to lower taxes and better prices....

[westernvicki]

The grain we have sold elevators cannot take in due to lack of rail service, wonder how this will limit cash flow as we head to spring.

[bucket]

The good news is those with deep or deeper pockets will be more than happy to ease the load.....

[iceman]

Ag working capital is shrinking on the plains of Trudeau land.
If you don't believe me ask your banker.
This next year will define where we go long term. Good year? Back in business
Crap year? You know the answer

At the end of the day are costs are too high. They need to have a rest.

Iceman Out

[bucket]

There is always mortgage streaming by input capital.

[farmaholic]

If we get another year like last year around here, some prize fighters who are on the ropes will be on the canvas with a single KO punch pretty easily.....

Can't begrudge them for stepping into the ring. Probably should have had more "stamina" though.

[bucket]

farmaholic

The prize fighters will get another shot. They have to ....someone lent them the money in the first place?

Would look bad for the lending CSR...NO?

Besides shiny bins on cement are not worth shit unless you get the home quarter they sit on.

And the machinery at RBA is another 50 % hit.....

they have to keep them for the next fight.

Floyd Mayweather left with a pocket full of cash... too bad the rest of us were not that smart after an ass kicking of a year with money on the table.

[wmoebis]

The grain we have sold elevators cannot take in due to lack of rail service, wonder how this will limit cash flow as we head to spring.

And there lies part of the problem. If you buy a tractor you pay for it when deal is made and before it leaves the lot, dealership don't care when you take delivery as long as they have your money. Grain Co's should have to pay farmers when contracts are due none of this 3 month BS.

[iceman]

farmaholic

The prize fighters will get another shot. They have to ....someone lent them the money in the first place?

Would look bad for the lending CSR...NO?

Banks are getting spooked with op credit not revolving. Guys are being told to clean in up.

New prize fighters born everyday they can send the old ones to the glue factory.

Iceman out

[burnt]

Banks are getting spooked with op credit not revolving. Guys are being told to clean in up.

New prize fighters born everyday they can send the old ones to the glue factory.

Iceman out

Harsh, but true.

Old Nag out.

[dalek]

Interesting. Talked to a local salesman today, he can’t keep up with the demand for 30-40 hp estate tractors for the local winery folks. And every time he sells one he has to fill out the paperwork so they can get $1000 cash back from the government for promoting tourism. Which isn’t bad on a $35,000 tractor considering many of these people only use the “farm” for a write off anyway, but now taxpayers are paying for part of their lawn mowing

[grefer]

Has anyone heard all this before. Most of the prize fighters in our area will be around for quite awhile yet.

[hobbyfrmr]

I have to side with grefer. Plenty of farmers describe their woes then others in the circle contribute. This is how they measure up the neighbors/competition. A cup of coffee or a few beeers are inexpensive insight.

My FCC rep told me that all of her farm accounts are current. This is a good sign. I cant argue with it.