Economy of scale

[fjlip]

I feel similarly, Freewheat, you said it well. Life is short. Many seem to think they need a legacy, but they are quickly forgotten. Every year we lose a farmer whose health fails. I'd rather enjoy lower debt and less stress than what the huge farmers are living. Land hardly comes on the market here either. Only if no children want to farm. In this area there are enough younger farmers to take all that has been rented or sold. Most land changes operators with out being advertised. Have a safe harvest.

[Jay-mo]

Good post Freewheat. It's true, in some areas of the country you can choose to pick up 1000 acres, but in my area you hang on to what you have. When land comes up its a bidding war.

It really is a mix, some big operations I see farm every acre like its the only one they have and the next ones look like they are stretching. Same goes for smaller operations.
I agree with Freewheat, working extra land just so you can buy new equipment seems a bit pointless.

[parsley]

Taxation increases will be a crushing blow to larger farms.

*Few farms.
*Few voters and votes
*Public perception of over-accumulation of wealth.
*traditional family farm reputation of good will and family, replaced with reputation of corporate farm greed.

*Tax greedy governments
*Tax-starved harried municipalities
*Targetization of tax dollars towards city bridges and roads and northern communities.

Small farms today have many voices to squawk loudly. And governments listen.

But reduce the farmers and farm families, and there will be little sympathy for large farms. Little support if they are overtaxed. And over assessed. They will be looked upon as greedy bastards. IMHO
And taxation can kills. Pars

[fjlip]

Farmers are only 2% of pop now. Larger farms will mean an even smaller % and yes the correct perception is greed.

[cottonpicken]

Bottom line divided by number of shareholders is the only apples to apples comparison a person can make.

A fifty acre g**** orchard in france makes us all look like poppers.

[parsley]

True, cott, Europe sports a lot of small farms specializing. Value-added. Hands on management.

Should Canadian farms consider the tracks other taxpayers leave in farming's bottom line....for example...capital gains inheritance benefits, "purple gas"concessions, ag subsidies, etc.

Will they will be continued for large corporate operations?

[may-be]

Looking at hogs at farm size and efficiancy I see the mega barns are looseing 30 dallars a pig. I see the guys with the hoop biuldings have them empty waiting for a worth while profit again. My supplier for free range pigs sets his own price and has more demand than supply.

[grefer]

In my area,and I believe in most,farms have continued to get larger ever since the prairies were settled.For any number of reasons,i.e. greed,need,or a natural desire to move forward or that perseption.When I sit back and say to myself,where is the point that things will level off,the only point I can come to is when the food companies,or their friends,that sell to consumers control the majority of the land base.This isn't going to happen tomorrow,but what other conclusion can you come to unless something catastophic happens to change the direction farming has been headed on for decades.I'm not so sure that Government won't listen to these big companies more so than they do us,look ay the recent events in the auto sector.Do you think they won't listen to the people who control our food?This topic deserves alot of attention by all of us and it is about more than whether my son can more acres than I do,if he wanted to.

[dave4441]

I have to laugh when comments are made that greed and money drives farmers to buy/rent more land. In just about any other industry in the world, companies grow because that is what sucessful companies do. Sucessful people tend to want to expand, keep moving, keep inovating. Seek greater efficiencies and do more with less (I personally get a kick out of doing more with less). It is not greed, it is normal capitalist business practices. It is what makes many (if not all of us) get out of bed in the morning. Just read the article on Jim Pallister in Country Guide, guy started with 500 ac and is at 15000. Wow! That is a Microsoft story, in our industry. Instead I am sure a # of people believe it is greed. Funny part of the story was where he wondered if he had lost his edge because he was not investing his own money back into the operation. Hey, competition is in every industry, including this one.

Farms get bigger because there is the same amount of acres in the west and a naturally ocurring decrease in the # of farmers due to retirement. That is all there is too it. Nothing more. People rant that the big farmers are creating communities that are smaller have no schools, etc. A farm is for sale because no one in the family wants to carry the farm forward, therefore someone in the area buys the farm and farms get bigger. For the same reason there is no new entrants into the industry, is pretty much the same reason that corporate ag will likely not take over as it did in certain meat sectors. Tough biz as we all know. Uncontrollable Weather, (it is raining at harvest time as i write this), long hours, details, details, details to ensure success, long hours, etc. Hard to hire these details. Have to be born with it in you, or sitting on a tractors for 140 hours in a week just does not seem like a great carreer choice. Problem is there are so many reasons why someone does not return to the farm, so many good opportunities that where not there when our parents started to farm. Ag is producing doctors,lawyers, web designers, engineers, etc and skilled trades people for other industries because of their work ethic. I was in Vancouver a couple years ago and half the people in the company where from Sask. How do we change the exodus? You don't, just life.

Farm size and economies of scale stats make me laugh. There are so many variables within each operation that make those numbers irrelevant. Depends on the individuals net worth, desire, region, crop practices, attention to agronomic details or marketing, etc. Is it 3000 or 5000 ac or 2000? It is a different # for everyone. If you have the incorrect # of acres for your operation and cash flow needs, your banker will quickly make the decision for you.

[dirtgirl]

Absolutely Dave. Thank you for that.

[dirtgirl]

Absolutely Dave. Thank you for that.

[parsley]

A lot of us have no problem with a farmer expanding his farm. But many citizens do. And taxation reflects what voters say. Fewer farmers means get outvoted. I see taxation as a hazard in response to the question posed.