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 - Restoration Story: Fordson Major - by Anthony West. George bought his Fordson Major from a an implement sale about 18 years ago for £200.00 (UK). There is no known history regarding its origins or what service it had done, but the following work was undertaken alone to bring it up to show standard. From the engine number, it was found that this Major was produced late 1946. It was almost complete but had various parts that would definitely need replacing.
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