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Honored Advisor

Re: just two things

Great points ne50

 

And they point out the current disconnect with agriculture held by many farm land owners.  Just part of the process and eventually we will move to a time when land devalues and the investment income diminishes, or maybe they will be left to operate it themselves...... These are The things that drive the existance of large farm management companies.  Always interesting that when a "National Farms" representative tells an owner that their expectations are too high or their land won't produce that level of income, they listen to the "professional" but when their farmer says it ...... it is his problem.

Like you say these two" partners" should be in good communication.

 

If the cash flows are too dificult... changes will be made and......if  land will not support the heavy investment of farming.

I would be concerned if the economic squeeze on my tennant was great.   It takes a many years of income to recoup from a couple years without income.

 

In cases this last two weeks we have seen owners terminate leases when asked to consider a decrease or a cash lease based on commodity price.  And others say "sure, we got a raise when corn prices were high, lets adjust it back until things change.

 

Anyway for the last two years  ................ It is time for that conversation of those higher rent (less productive) agreements.

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Veteran Advisor

Re: just two things

I agree that it is not the landlords job to make my farm cash flow.  But on the other hand,it’s not my job to guarantee him a certain row, especially if he grossly and overpaid or overvalues his land 

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Honored Advisor

Re: Places To Shave Expenses

the line item that represents ownerships share of profits should be evaluated like any other line. Even if the operator is the owner. Good operators and farm managers will know every year how evenly shared profits are between ownership and operator.
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Honored Advisor

Re: Places To Shave Expenses

Good operators will find ways to avoid owners who don’t care.
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Veteran Advisor

Re: Places To Shave Expenses

With  ''  hear  tell  ''  of  all  of  the  soybean  oversupply  glut  -  can't  imagine  the   pricing  instrument   would'nt  have  pressure  on  seed's  retail  value  -   -    -   

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Honored Advisor

Re: Places To Shave Expenses

I wish that were true...... Just got a price from our bean supplier (one of those Monsato subsidiaries) 

Last years list price was $65 per unit -----2019 same seed variety is $80 per unit.

 

 

Places beans higher per acre than corn   and offering very little discount.

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Highlighted
Veteran Advisor

Re: Places To Shave Expenses

TIME   TO  SHOP  -   OR  -  incentive  +  reinvent   pricing   policy  tied  to  wholesale  -  -  -  

 

REMINDER   -  Leftover  seed   diminished  value  -  looses  luster  @  4th  July  -  big  time  -    -    -

 

Remind  me  why  there  ISN'T   R.  R.   wheat  seed   -  ECONOMICS  1st  hint  -  maybe ?     

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Honored Advisor

Re: Places To Shave Expenses

thank you

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Veteran Advisor

Re: Places To Shave Expenses

Plant   sweet   potatoes  -  maybe  ?  

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Honored Advisor

Re: Places To Shave Expenses

Lots of interesting stuff there

 

250 foreign H2a employees paid pretty well?---(reliability of labor is the key)

             (Secondary to that ----hand labor coming from contries where hand labor is protected.)

 

Reliance on a hand labor crop and packing and processing and shipping?

 

The big three crops unprofitable......cover crops for rotational purposes to facilitate physical crops?

 

Hand labor crops beat the mechanical tech crops/? (machinery)

 

 

What the public wants?   Do we mistrust mechanically handled crops and favor the human handling of our food?

Do we want to know that someone visually selected our food??

 

Spurred some thought.................

 

 

 

 

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