12-23-2013 10:07 AM - edited 12-23-2013 10:09 AM
Based on what you see around you, why is land coming out of CRP? Or is it? There is a report that 1.6 million acres was withdrawn in 2013.
Is it because CRP payments are too low to compete with rent?
Is it because as CRP land gets sold the new buyer wants to farm it?
Is it because recent CRP requirements are onorous, or if not, then just too much hassle when combined with other gripes?
Or, has land been going back into CRP?
What would it take for land to go back into CRP for 10 years, in your opinion? Does owner age and location play a part? Does CRP hurt the beginning farmer?
Two sisters have land in CRP. It used to be competitive with rents and it was a nice, easy, safe way to get a government check, which they could rely on. Recently, they had to invest a lot more time and money into conservation practices to keep it in CRP. It's still in, but there is more grumbling. The husband of one is an avid hunter and does all the maintenance work, but if he got out of hunting, I wonder what their incentive would be to keep it in?
There has been a recent trend that rents are paid in full up front, so that should reduce the value of "safe" government payments, especially with the fear of sequester and other government budget actions.
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