I agree with that but we don't need E 85 for oxygenating.
And buying E-85 is strictly a choice some make.
I agree with that but we don't need E 85 for oxygenating.
And buying E-85 is strictly a choice some make.[/QUOTEC
That is true but there was a push for E 15. There is too much of all commodity crops. Hay and corn are about the same price per pound and hay costs much less to produce. Grass is much better for the soil and wildlife. We are out of balance, too much grass was converted to crop land as a result of ethanol and crop insurance.
We can agree on the effect of crop insurance anyway.
As they say common sense isn't common. The bottom line is that battling the existing bureaucracy is like the guy battling the windmill. Just frustrates you and eats away at your life. The end result is that most farmers are like everyone else and they need to look at the bottom line for their situation. I have relatives that farm and they make decisions that give them the best chance at a good income, just as I had to adapt and make decisions for my business that gave me the best bottom line. Unfortunately those with the biggest bank account make the rules everyone else has to adapt to.We can agree on the effect of crop insurance anyway.
Following a year in which 3.9 million acres of cropland were not planted just in South Dakota we still have unprofitable prices in all commodities. Surely we have too many acres in grain production. With ethanol supplies being very large and corn planting intentions appearing to be large it seems like it will be more of the same or worse. At some time this will affect land prices. Am I wrong about that?
I would think just the opposite, bankruptcies would lead to larger corporate farms coming in and buying things up which would equate to more row crops.
if the farmer couldn't make it due to low commodity prices, why would big ag groups want to climb the same steep hill?......they may will be the new CRP participants, at least until things change.
You hit the nail on the head. It is the Walmarting of the farm world. Larger volume, cheaper help, and they can compete better than the small operators.Those large operations can add a farm to their work load without increasing their machinery or labor costs much if any. They also buy inputs cheaper than most farmers can. For the most part they do have a lower cost of production, and, if they add a few acres it lowers their cost/acre on everything else.