Then if the large dairies can make a profit why can't the smaller guys???? I am all for any farmer making a living but don't try to farm like you did fifty years agoan then whine to me you are not making any money. You need to change/adapt to the current business climate to survive long term. If the government payments are all that is keeping you in business then you need to look at changing something.
I just read where this women in CA was going to have to sell out her herd or file bankruptcy. She was 82 years old and had been on all kinds of dairy boards and such. One of the first women in the large dairy business. She was several million in debt. She said she was loosing $40,000 each month and had been for several years. Well one of those boards should have been in a basic financial class. If you are loosing 40K each month and keep doing so for several years then you are INSANE!!! One of the definitions of insanity is doing the same thing over and over an expecting a different out come.
We can't turn certain farms into welfare projects for the government. That is not good for any of us. The cost will be much higher and production will not match demand. So we will either have too much or not enough. It will not balance out.
Supply and demand works very well to keep things where they need to be. IF feed costs are too high then people need to cut back on the feed or switch to cheaper sources. That way the high cost feed will come down in price when demand falls. Also the high price will encourage production of that feed.
The dairies that are hurting where rolling in money several years ago when milk was $20. Then they where loosing money before that when it was $13 dollars. The income stream has been a roller coaster for them the last ten years or so. So it is like many types of farming today. You have to have capitol saved back to survive the lean times.
It sucks that some farms are going to go broke this year because of high feed cost. I don't have a better system. I do not want the government involved picking winners and losers. That will never work long term either.
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