northern MN | That is the point I've been trying to make. My son is to take over the farm, him paying me half of what the going rent is would put his farm in the red with aph or better crops. I think it's worse than the 80s, I don't see an option that works.
Markets that were nurtured and developed over decades have been decimated. Supply chain consolidation has created little to no competition forcing a unsustainable cost structure. Farm land purchases do not pencil out even over a career. Machine investments are necessary, but unreliable at best and unaffordable on average. Half of the consuming public think the food chain is killing them...
There are far more reasons to get out of agriculture today than there are to continue... Particularly when there is some fool out there that thinks they can do it better or cheaper than the guy who lives there.
That being said I will not speak for the animal side of agriculture. I know there are some that are quite profitable today. But even they have found consolidation is no match for the corporate strategies of the processors. |