Poor crops & calf sales

[Muttley]

As I travel the praire provinces with my work I meet daily with farmers of every size and financial situation.

What sticks out the most to me is most are in a crisis of some sort this year(many are facing it after having had to the past two or three years). Whether it's the uncertainty of fall calf sales, burned in crops, lack of feed if they have to feed calves, banks without patience, etc.

What will people do, I have downsized my farm to just a few purebred cows, and rented my land out. My situation won't be terrible as I have a paycheck every two weeks. Most full time farmers can not afford the time to leave the farm to work, and if they could what and where would they go?

Like so many times over the last 20 or so years agriculture in Canada is faced with hard times, WHAT THE #@$!&%# DO WE DO?

[carebear300]

Well Muttley maybe as bad as things are, just maybe there is a silver lining in this storm cloud. Do you think the time has come that the farmers in this country will quit bickering amongst themselves and speak with one voice to government. I hope so!!!!!!!!! We have to finally get it through our thick heads that other farmers aren't our enemies or our competitors they are likely our only true allies. The solutions will have to come from farmers working together. I know that will be dam hard for the most independent and stubborn individuals in the world(I have likely been the most guilty) If that moment comes we will be at the start of a new beginning for all of us. Some way or another we have to convince the rest of society that the production of food is important and that the people that produce are entitled to at least a reasonable chance of a good living. I hope that I we can start working together before it is too late!!!!!!

[ValueChainFX]

carebear300 you know we have already started the process. At the moment we have the business structure set up to do it. Although we have limited government support (by choice) I think we have the financing mostly put together. A financial institution has told us they will lend us the money and we are shopping around a little this week. We want to get the plant built to the lockup stage before the snow flies. More importantly the group that is working on this is putting the pieces together so other producers across Canada can use some of the work we have already done to tie in and duplicate what works.

This has been very hard because we know first hand how cash strapped farmers are. But the long and short of it is we need to do something and to make the income we need we have to go into the supply chain to get the income. This means getting the expertise and building a strategy that works for the producer. Our strategy is simple, the producer needs to make an income to survive and the supply chain needs to be healthy!

Anyway not doing an advertisement here, just wanted to let you know there are some people working on these issues as much as that is worth. I hope it is worth something to you as a producer.

[Junebug]

Muttley, I'm one of those farmers feeling extremely frustrated. I downsized my herd by 75% last year to accommodate the drought conditions. (not convinced the drought was over) I bought drought insurance from the AFSC program this year with a premiun cost of $3650.00 Then... BSE hit, and we are in the an even worse drought than last year. (The grass hoppers are the worst we have ever seen. Called the ag office about the insurance and was informed that We not in a pay out area. Even though for miles around us the country looks like Drumheller area (desert)If we can"t claim this year, then we will never need it. We have 11 quarters and right now not enough feed to winter 100 cows.(pretty sad) The hay we have cut went 1/2 bale to acre, And we were told we have 117% of normal moisture. Boy some government person is really out of touch. So the frastration is setting in deep. We just can't find a way to protect our lifes earning. This year is going the eat up alot of RRSP money. And your right Muttley, Just what the H$%# is a person supposed to do. We have off farm income, however with not enough feed to feed those worthless cows its just not enough. We are almost to the point of calling it quits and letting some other more ambitious poor sucker give it a try. I am tired of battling with aliments we have no control of.

[cakadu]

I think that producers are a resilient lot, but even the most resilient can be sorely tested.

Junebug, it must be quite frustrating to get the insurance and then still be told that you can't get it. We seem to be getting more and more insurance poor, with nothing ever to show for it.

One or two of these things may have been enough to push one over the edge, but when the news just keeps getting worse and worse with no end in sight, it makes it tough to take it all in stride. How do you keep telling yourself that things will get better?

Many more producers may be seeking off farm income just to make ends meet and that is something that is very sad.

Could it be that we are going to get pushed to the limit and see the demise of the smaller farm entirely and perhaps a good many of the medium sized farms as well? How long will it be until we recognize that the large farms are not any more profitable than the medium or smaller farms?

I'm very much a firm believer in God never giving us more than we can handle, but I think he could lighten up just a little.

[carebear300]

The situation will change only when the bankers desire it too. They are the only segment involved with agriculture that is important to the government in this country. When it becomes not profitable for the banks to repossess land and livestock they will exert enough pressure on the powers that be to make the needed changes. The secret is too know when that will happen. In case you haven't noticed Bombardier still has the government's ear, another 1.2 billion dollars last week. So the government still has money but don't have the wherewithall to help agriculture.

[cakadu]

Now that Bombardier thing is enough to make a person fume. The way they are getting around it is to explain that this is low interest money that will have to be repaid - only they forgot to say by when.

The money that is going into agriculture programs is "free money" so there is less of it to go around I guess. I just wonder how long we are going to keep giving money to the likes of Air Canada and Bombardier who seem to need it like a bottomless pit.

I also wonder about cloud seeding during these times of drought. Now, I can understand not wanting it to hail, but right now we need moisture and in any form we can get it. I read an article not too long ago that basically said that the reason they seed the clouds is for an insurance liability issue and I wonder how much truth there is to that. What do you think?

[dalek]

Spoke with one cow-calf neighbour (Central Ontario) who spend this weekend fishing because he figured his license was already paid for and beyond slaughtering his cattle fish and water are about the only food he can afford to feed his family now.
For ourselves, we had to send 4 200ish lb Holstein bulls to market today to make room for calves due this week, judging by last week's prices it's a tossup whether we get a cheque or a bill.

[Muttley]

Heard this week 700 lbs. calves were selling in Alberta for .70 to .90 a lbs.

I wonder if this price is true or just farmers creating stories. There is so many stories and idea's floating around I'm not sure who to believe anymore!!!

[15444]

I would believe the prices quoted as they are similar to Winnipeg Livestock price quotes, but whose to say the guy selling isn't just buying them back?
Would have to go to the market to see for myself.

[Muttley]

I hope the movement we now see at the border will increase. I feel sorry for all those who have already lost money!!

I myself as a purebreed producer am still concerned as to what I should do this fall and next spring. Will there be a good market for breeding heifers and bulls? Should I just cut and cull this fall and take my losses or what?