Sanilac Co. Michigan | Pvafarm - 10/23/2017 07:21
Have you been through this before? Or I guess what was your start date farming? Commodity crops seek zero profit levels. Its your job to find your competitive advantage. Has never been different other than a few glory years here and there. Do you remember the 1990's? Bad wet crops when I started out in the early 90's, late 90's early 2000's do you remember double amta payments to try and keep us all afloat?
If you dont have that as a point of reference, not even mentioning the 80's, you really have no clue what bad is. Again, commodity crops historically seek zero profit levels. Let that soak in.
Really couldn't agree with you more. If all you grow is basic commodity crops you're playing a numbers game and that's on some very slim margins. It's all well and good if you work idiot ground in the "I States" with consistent yields year after year. Those are the guys that're price makers in the corn/soybean market. Everybody else, and that includes you and me, are really fringe producers and thus price takers...we really don't figure in much. Oh, it can be pretty profitable when the price makers have an event that shorts their crop, but doesn't adversely affect yours...calculate the probability of that occurring! Chances are a whole lot better they'll have a normal to great crop and yours will be mediocre to poor and the market price will stink.
She's a cruel world out there, always has been. |
$$$ are going to be way short this year.
