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Re: Growing grain....LONG


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Posted by paul on January 11, 2012 at 11:09:20 from (76.77.196.252):

In Reply to: Growing grain....LONG posted by ChrisinMO on January 11, 2012 at 10:15:19:

A very good question.

15 years ago, livestock feeders openly laughed at grain farmers, and said why should they grow grain when they can buy it for 70% of what it would cost them to grow it.

Tables have turned, grain farmers developed markets to other countries and ethanol and now with world ecconomies grain prices appear higher, there are more markets to sell grain to.

Farming is always cycles like that. The schools - from high school FFA to college to your banker will preach specialize in one enterprise and you will get good at one thing.

But over time, the cycles catch up with the specialized farm and crush it. The diversified one will often lose money on one thing, make money on another, and come out ok.

The big question with your theory is the land:

Do you own that 30 acrss? Is it paid for? What could you rent it out for?

A 1000 acre grain farmer specialist is in the colver right now, and will be able to produce more yield on that 30 acres than you can. He can pay you a heck ofa rent right now.

You'll need to make that non-gmo premium work out for you to overcome the smaller yield you will get.

But you have some good thinking, and a good plan of how to get to a better place than what you are.

Good question.

Personally, ear corn works with cattle a lot better than with hogs I think, but I don't remember so much about hogs, I was 5 years old when dad hauled the last hog off this place. My cattle are seeing very little grain any more, slower growth but can sell the grain for bucks, let the cattle graze & gain slowly on poor lands.

Biggest question is that chunck of land. Don't go the wrong way, and devalue the land income to match the current hog income - you need to bring the hog income up to match what land can bring in these days. :)

--->Paul


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