Got this graph from an interesting article in Country Guide March 13 issue. Article titled Compete and Win page 18-20. Argentina in the red by the looks of things and surprised me that CDN/US production costs higher than EU.
An interesting paragraph on farming in Russia after the SU ended explaining how if there were 1000 employees on a 10,000 acre farm they each got title to 10 acres and the idea was they'd farm together with part ownership.
"But in most cases it wasn't sustainable. The massive, almost monopolistic grain trading/elevator/processor and poultry companies began ratcheting all the margins out of the system. Since these companies were the only game in town, farmers had no other choice but to sell to them. Not surprisingly after a few years the farmers ran out of operating cash so the sole elevator (and processor, poultry company and trader) in the area financed their inputs and then gently squeezed the margins tighter again. When drought inevitably hammered an area the farmers couldn't pay back the company, and the company got the farms......."
An interesting paragraph on farming in Russia after the SU ended explaining how if there were 1000 employees on a 10,000 acre farm they each got title to 10 acres and the idea was they'd farm together with part ownership.
"But in most cases it wasn't sustainable. The massive, almost monopolistic grain trading/elevator/processor and poultry companies began ratcheting all the margins out of the system. Since these companies were the only game in town, farmers had no other choice but to sell to them. Not surprisingly after a few years the farmers ran out of operating cash so the sole elevator (and processor, poultry company and trader) in the area financed their inputs and then gently squeezed the margins tighter again. When drought inevitably hammered an area the farmers couldn't pay back the company, and the company got the farms......."
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