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Blacksandfarmer
Veteran Advisor

Re: What will rural America look like without Direct Payments?

Ive heard both sides of this discusion, seems most on this site wouldnt seem bothered by not having direct payments. I would be ok in most years without them but in the bad ones it sure would be nice if they were there.

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littlestarterfarmer
Frequent Contributor

Re: What will rural America look like without Direct Payments?

I have seen alot of guys that are just farming the insurance policies also. I wasent aware of this untill a couple years ago, but they have insurance for not being able to plant a crop. Guys go in and drill their soybeans late and dont cut them till november and then get insurance on the fact that they cant drill their wheat.

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Kay/NC
Honored Advisor

Re: What will rural America look like without Direct Payments?

We watched a tenant on an adjoining property plant and collect for not harvesting for several years.   One year, he forgot to even plant...which was when I called his landlord and asked if he'd lease to us.  He and his son had just been out to check on the place, and the old gentleman was devastated.  We've put it into forage, and it's been a nice arrangement. 

The entire peanut program in VA and NC was dismantled and the production moved ot places where peanuts are not as relialbe productively speaking.  I've been told that most of our county's former most important cash crop is someone else's insurance claim now.  Go figure. 

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smokeyjay
Senior Contributor

Re: What will rural America look like without Direct Payments?

How many is "a lot"?  I doubt it's as many as that statement suggests.  Maybe one or two perhaps, but it's not something that's a blatant practice committed by dozens or hundreds. 

 

For those who are unaware, farm histories and those who "farm" the program are easily detectable and subject to review by RMA and they even reserve the right to reject them as policy holders if they find a reason to do so. 

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smokeyjay
Senior Contributor

Re: What will rural America look like without Direct Payments?

Again, I'm curious as to the legitimacy of these rumors.  I don't doubt your story, but I doubt the statements that has no direct personal experience.  We all hear stories, but they are unsubstantiated, annecdotal stories.

 

Only one instance in the last 25 years can I even come close to verifying one story like this in my area.  These guys simply overlooked working and planting one entire farm.  Needless to say, they are no longer in business, as it should be.

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smokeyjay
Senior Contributor

Re: What will rural America look like without Direct Payments?

We all need to remember an old saying that still rings true today; "the cure for high prices is high prices."  It can and will change direction.  It's so easy to forget a few short months ago that we came close to triggering LDP's.  Can you imagine the hurt if prices had not recovered? 

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Kay/NC
Advisor

Re: What will rural America look like without Direct Payments?

Well, we watched this guy plant across our property line for probably eight years or so and never harvest once.  Not a wealthy man, and when I finally asked the guy who farms the other side of us, he told me how the insurance racket works for people who do this. 

Not a large farm, and probably not worth the crop adjuster making too much of a trip over.  Probably a lot more than meets the eye, and I will leave it at that. 

When you see it with your own eyes, it's easier to believe.  As for the peanut crop moving South, it is true that this used to be the top peanut counthy in NC, and now there is hardly a soul raising them here anymore, except for a few who supply a local label.  Auctioneer told me the buyers were mostly from SC and GA, when the majority sold out of the specialized equipment. 

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smokeyjay
Senior Contributor

Re: What will rural America look like without Direct Payments?

One thing to remember is if program payments get taken away, don't think for a moment that governmental regulations and taxes will go away.  It doesn't happen that easy.  The EPA is preparing to launch even more stringent regulations on agriculture as we are discussing this.  They have decided each sprayer is a point source pollution resource that needs to be regulated.  They are preparing to regulate dust emissions on farms and county roads.  Can you imagine the head aches on this one?  These things will cost us more and we won't have additional revenue sources to offset it. 

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Blacksandfarmer
Veteran Advisor

Re: What will rural America look like without Direct Payments?

EPA needs to remember that they to need to eat. If direct payments are taken away farmers dont have to report acres, play by certain rules or even plant a crop for that matter. The average age of a farmer these days is about 60 years old, and piss enough of them off for just sturring up a little dust and they could say f**k it and not plant their paid-for land. Enough farmers say f**k it, even EPA will feel what its like to go hungry. 

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centralillinois
Contributor

Re: What will rural America look like without Direct Payments?

The government should not subsidize crop insurance.  We are competing with those who steal.  I've talked to farmers who've done it and employee's of BTO's who've witnessed it.  If they had to pay the true cost of insurance it would make if easier for smaller guys to compete.  And insurance companies would keep a closer eye on theft if it was the stockholders money at risk and not the taxpayers. 

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