Posted by Dave from MN on August 09, 2009 at 06:42:08 from (74.60.93.172):
In Reply to: Milk Prices posted by LEH on August 08, 2009 at 21:40:38:
Central MN, some that have been growing as the can pay cash for are doing OK, they had socked away money and paid off debt when the milk prices were high. Many off them had contracts for feed and hay supplies so they didnt get hit as bad when feed prices were high. Many of them are buyin g milk cow/heifers now as others are selling oput. These are all 30-100 cow dairy's with mid 20's-30's owners. A few others are struggling,, were duped into thinking they had to expand when milk prices were high, tyrpically they also believed tey had to have the nice stuuff too and upgraded alot of equipment thinking, or were told, milk prices were going to stay high, just like they were forecasting corn to stay above $4.50. Thaem folks are in real trouble, interest is accumuling faster than their monthly income. Very sad to see. I hope it turns around, banks squandered their bailout, auto guys still filed bankruptcy, who knows where the rest of the stimuus went, and you see nothing on the news about these farmers that are passing up grocerie shopping just to make the farm keep running, so they can feed the world. The middle man reaps the rich's.
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