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ihtractortherap
Senior Contributor

Hunker down for the next 10 years.

Price range to be$ 3 - 4.25 in corn. 7.50 - 9.25 in beans. Lot of older guys calling it quits with these prices in my area , especially when the BTOs are offering hugely inflated rental rates. Welcome to the new world.
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6 Replies
BA Deere
Honored Advisor

Re: Hunker down for the next 10 years.

I can survive on the mid-range of those prices $3.50 corn and $8.50 beans, but that`s assuming inputs will moderate accordingly...but no one will thrive with those prices.

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infire
Veteran Contributor

Re: Hunker down for the next 10 years.

I agree with BA, we won't get rich but don't you think most of us would have been better off in the long run if we hadn't shot to the moon, granted I updated a lot of machinery, bought some ground and such but what it did to cash rent and inputs is going to make the correction sting pretty bad for awhile. For years my saying was " any day you can sell beans that start with a 7 is a good day " might just come back into play!
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ihtractortherap
Senior Contributor

Re: Hunker down for the next 10 years.

I'm just plain not too opptimistic about the future. Just going to be a slow grind watching every nickel. Not sure how ethanol friendly a new administration will be, as that was our last hope for sustainable decent prices. Doubt exports and livestock can carry the day.
In fact what segment of the economy is doin the wow factor right now?? Slow grind everywhere.
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wrightcattle
Veteran Advisor

Re: Buck UP Knute: Things is goin Higher Now

It's THAT Simple.

 

say corn to the $5+ range this coming season.  ALL the other grains proportionally Higher 2.

 

Livestock...especially cattle likely have a 25% UP in Progress now. 

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Doug N
Veteran Contributor

Re: Hunker down for the next 10 years.

Its just going back to more normal.  Farming is an industry where the margins will always gravitate towards 0.  We had an unusually long run of above cost of production commodity prices.  We will have chances to make money going forward, but those chances will last for weeks or months, not years.  But we still have subsidized crop insurance, Arc payments, etc.  Agriculture will be OK.  But in the meantime those that decided to live and continue to live well beyond their means will meet a quick demise.

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elcheapo
Senior Advisor

Re: Hunker down for the next 10 years.

We need to see seed prices go down.  fert is comming down, some, chemicals...so..so...fuel down....

 

remember the last time we had big river flooding.....it caused fert to go up, and grain to go down......

 

That is a good question........what sector of the economy is doing well ???

 

sprits ?

 

undertakers ?

 

i've thought about getting an auction outfit started....there are none around anymore, and i had one years ago that

wanted me to join them.  that might be another thing needed for a while.....but so few people anymore.....farm sales

are starting to become somewhat rare.

 

 

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