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The Water Cooler
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Are low oil prices helping or hurting you?
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<blockquote data-quote="dennishoddy" data-source="post: 2795408" data-attributes="member: 5412"><p>I can't speak for the corporate farmers, but family farms are in dire shape. I don't take nor will I take gov subsidies in my farming business. Even the family farms that do are not living high on the hog like you think they are. </p><p></p><p>Family farms are going belly up on a regular basis. The LOW PRICES of commodities even with gov assistance can't keep up with fuel, seed and fertilizer prices. The Gov Assistance is the ONLY thing keeping most family farms solvent which in turn keeps them competing in the market against the corporate farms to keep the price of bread affordable. The cost of equipment to maintain a profitable business farming can run up to a million dollars, yet the farmer can't afford to take a vacation or take his family out for dinner. </p><p>Factor in drought, floods, or insect infestations that require spray applications cut into the bottom line. </p><p></p><p>Imagine yourself in your 8-5 job. When you make a mistake, the company covers it, and you take your salary home. Farmers don't have that. Screw something up, and it comes from your back pocket. </p><p></p><p>Have engine problems with the tractor? That's a $25 grand repair at the minimum for a rebuild. Combines running $250,000 are out of the range of family farms, so they have to rely on custom cutters that cost up to 1/3 of what the grain brings in at the elevator. Got weeds in the field because you didn't spray? The elevator takes a sample of each truck load and samples it for foreign seeds, and docks the farmer for the amount they determine. </p><p>Price to low to sell at harvest? The elevator charges you to store your grain. After paying 6 months storage gambling that the price might or might not go higher, you have to sell. </p><p></p><p>Just trying to help you understand that farming even with Gov assistance is not a lucrative business for most, and if it were not for the Price support, the family farm would not exist and your loaf of bread would likely cost double or more what it does now once all farming went corporate.</p></blockquote><p></p>
[QUOTE="dennishoddy, post: 2795408, member: 5412"] I can't speak for the corporate farmers, but family farms are in dire shape. I don't take nor will I take gov subsidies in my farming business. Even the family farms that do are not living high on the hog like you think they are. Family farms are going belly up on a regular basis. The LOW PRICES of commodities even with gov assistance can't keep up with fuel, seed and fertilizer prices. The Gov Assistance is the ONLY thing keeping most family farms solvent which in turn keeps them competing in the market against the corporate farms to keep the price of bread affordable. The cost of equipment to maintain a profitable business farming can run up to a million dollars, yet the farmer can't afford to take a vacation or take his family out for dinner. Factor in drought, floods, or insect infestations that require spray applications cut into the bottom line. Imagine yourself in your 8-5 job. When you make a mistake, the company covers it, and you take your salary home. Farmers don't have that. Screw something up, and it comes from your back pocket. Have engine problems with the tractor? That's a $25 grand repair at the minimum for a rebuild. Combines running $250,000 are out of the range of family farms, so they have to rely on custom cutters that cost up to 1/3 of what the grain brings in at the elevator. Got weeds in the field because you didn't spray? The elevator takes a sample of each truck load and samples it for foreign seeds, and docks the farmer for the amount they determine. Price to low to sell at harvest? The elevator charges you to store your grain. After paying 6 months storage gambling that the price might or might not go higher, you have to sell. Just trying to help you understand that farming even with Gov assistance is not a lucrative business for most, and if it were not for the Price support, the family farm would not exist and your loaf of bread would likely cost double or more what it does now once all farming went corporate. [/QUOTE]
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