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sonoma72
Veteran Contributor

Re: equilibrium in grains does not exist.......boom or bust.....always has, always will be.......

Yes, what would we do with all this corn if it wasn't for ethanol????   Maybe we will find out when this winter is over.   Somebody looking for major demand destruction will have to look no further if the gov't pulls out of  ethanol  and drop kicks the farm program, oil keeps dropping and the world economy flatlines...   I agree the gov't did what they thought was the right thing with ethanol, and its obvious development .  it may be the only attempt at alternative fuels, the way things look.   Many people forget, the reason gov't is involved in many different things, is specifically because people left to their own devices don't and won't do the right thing.  The fact of the matter is, contrary to what many believe, the reason we have laws, churchs, police, armies, lawyers etc., etc., is because life isn't polyannaville. 

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jrsiajdranch
Veteran Advisor

Re: NDF

The corn I have chopped so far was for a tile main a farmer wanted to get a jump on laying and for a large livestock operation to have a place to spread waste water from a wash water pond. Both of the farmers who took the feed got it for the price of chopping and hauling and the one guy isn't chopping any of his own feed this year. I have also had two customers tell me they will not be chopping this year and when the batch of calves they are feeding are done they are done raising cattle. Thanks again corn market that took about 10 grand away in custom chopping income!

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jrsiajdranch
Veteran Advisor

Re: equilibrium in grains does not exist.......boom or bust.....always has, always will be.......

Well Sonoma with that line of thinking you better push for a police state so we can get all the people to do the right thing. Looks like you think Gov. is as pure as the wind driven snow!  I think Gov. is a slight more brown in color.

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NDf
Senior Contributor

Re: NDF

Jr. We've all had opportunities lost because of the government or some other force I lost a quarter of rented land this year because the crp payment for 10 years was too good a deal  for the landlord to pass up' but you don't hear me on here whining about it. BTW do you make cheese from that milk you get from your cows?

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jrsiajdranch
Veteran Advisor

Re: NDF

No I just whine! LOL

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NDf
Senior Contributor

Re: NDF

Really! I haven't noticed that the last 2 days.

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jrsiajdranch
Veteran Advisor

Re: NDF

Well I ma sorry you have the impresion that I just whine. I am just trying to have you guys see the other side.   Ain't been a lot of fun lately but it still beats punching a clock every day and I have done that too!  Now there are some whiners!

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animalfeeder
Contributor

Re: NDF

JR I am glad someone else agrees with me on this topic. I have been gone over the weekend otherwise I would have been backing you sooner. There is no way we can withstand 7.50 to 8 dollar corn for a long time. There will be mass liquidation if this occures. I am so sick of you crop guys saying we did'nt care when we were paying you 2 dollars for corn. Why should we? you gys were getting gov't payments to at least make a little money. Don't come on here and disagree, I live 1/4 from a J.D. dealer and just as much new equip was moving at those times as they are today. The local paper here would and still does print who gets the most gov't payments and the numbers were stagering. I agree with J.R. the ethanol mandate is just another subsidie for the grain farmer. I would love to see the whole ethanol thing go away but there is to much money invested already so that probably will not happen. What I would like to see is for the gov't to back off the mandate for a year like this when the crop is not there to supply the needs. Or they could cut expoting of ethanol off for a while to balance this thing out.

Would't you rather get 5.50-6.50 for your corn and be assured that all end users will be around in the end or is your greed for 8-9 dollar corn and some serious demand destruction the way you want to go. When this thing is all over you will be complaining about the 3-4 dollar corn that you have in the bin and no one to sell it to.

I was at a huge event over the weekend with lots of crop farmers and I could not find one person that was happy about these high prices. They all said the same thing, prices are going to fall at some point and land and inputs will stay high. How can that be good for anyone.

 I say again WHERE IS THE HAPPY MEDIUM!

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DW11
Veteran Contributor

Re: NDF

If we could keep corn in the 5-6 dollar range, I would vote for it.  Since we don't have any way to make that reality, we have to market corn now above that range and prepare for the 3-4 dollar corn to come.

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Nebrfarmr
Veteran Advisor

Re: NDF

I agree with the 2nd post above. Our local cattle feeders got most of their corn contracted (the ones that buy a lot anyway) cheaper, but are trying various ways to stretch what they have bought to not have to buy much at high $$$.  The little family operated lots, who raise most of their corn, are trying things like weaning later, grassing yearlings, or whatever.  Many of these raise half or more of their corn, and are trying to buy the least they can. 
I do know that if corn prices stay above $6 or more long-term, either calf prices are going to crash, or meat prices will have to go way up to compensate.

The hog guys around here are the ones really hurting.  Most of the little family hog farms (the ones that raised their own corn) are gone, replaced with commercial barns that buy pretty much all their feed.  Once their contracts of cheaper corn run out (around harvest for most of them) they are going to be in big trouble, if hog prices falter in any way.

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