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West central IL | Lots of threads on here are bearish. Which I understand. We had a very short window this year to lock in profitability. But just like the past many years in a row there was a chance. Nonetheless, ya, this year sucks. Especially for those with a short crop.
But the bearishness is sounding very long term. People talking about getting all operating costs to their bare minimum and doing things like planting $80 seed corn (which may be viable I don't know, never tried it). Even comparisons of now to the 1980's. A quick glance at stocks/use for the 80's vs now should stop that talk immediately.
Look people. We've caught a good stretch of weather and have had four really good crops in a row. But demand has kept up and we've had chances at profitability EVERY year. And one subpar weather year will have prices skyrocketing over $5. THAT'S why there has been a chance at profitability every year. The trade knows that one bad weather year will skyrocket price and so we get a very nice weather premium early every year. Take advantage people.
Honestly except for the few unlucky folks who have caught bad weather, like some in Nebraska and out east, I suspect a lot of the sky is falling talk is coming from people who are way too extended with cash rent amounts and to them I'd say they are reaping what they sowed. Winter of 2012 they were all too happy to bid $450 plus long term on good farmland and laughed at those not willing to keep up.
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Can someone explain this to me?
