The commodities market that many farmers sell into is a break even market. We don’t set prices, we take what the buyers offer.
This will always lead to break even.
Some years a scare of shortage will drive the market up into profitable levels, but an equal number of years will be surplus and drive prices below cost of production.
Then, tax laws squeeze a farmer into only gaining assets, not gaining cash, even on the years that are profitable. On money you make to the good, you can pay 33-50% to the govt, or you can buy a piece of land or a tractor. Well, what would you do? You buy something, but yhat means you remain cash poor.
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Today's Featured Article - Old Time Threshing - by Anthony West. A lovely harvest evening late September 1947, I was a school boy, like all school boys I loved harvest time. The golden corn ripens well and early, the stoking, stacking,.... the drawing in with the tractors and trailers and a few buck rakes thrown in, and possibly a heavy horse. It would be a great day for the collies and the terrier dogs, rats and mice would be at the bottom of the stacks so the dogs, would have a busy time hunting and killing, all the corn was gathered and ricked in what we c
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