CancelPost Comment

Sideways markets? 12/18/2013 @ 10:37am Tighter margins? There are a few of us that actually lived through the '80s and I remember 15% interest on operating loans, diesel fuel going from 0.40 to $1.20/gal, land values going from $1,200 to $600 almost overnight. What equity there was disappeared very quickly. President Carter invoked a grain sales moratorium and corn went from $3 to $2 in a few days. I am not predicting that for our future, but the memory is still very strong. What about $3 corn and 8% interest rates? What about NEGATIVE margins? There has been technological breakthroughs that have added to the cost of production that cannot be easily reversed, but $400,000 tractors and combines can't produce more bushels. Even if they could more bushels will only lead to larger supply which leads to lower prices. Where is all the money going to come from?

Report Abuse Reply

Conflicting Statements 12/15/2013 @ 7:51am “The functionality of the market is to get fragile land out of production,” he says. “It will probably take some kind of government intervention.” No explanation needed. The statement is contradictory.

Report Abuse Reply
MORE FROM GIL GULLICKSON more +

Issue Preview: How to Make Your Landlord’s… By: 07/30/2015 @ 6:49pm Flustered by dealing with landlords? Well, in our upcoming issue due out next month, we’ll give…

Watch for Waterhemp By: 07/30/2015 @ 3:53pm If your soybeans look clean now, great. Don’t take a vacation from watching for waterhemp…

Syngenta’s Acuron Flexi Herbicide… By: 07/28/2015 @ 8:29am You’ll likely have another tool for managing weeds in 2016 with Syngenta’s Acuron Flexi corn…

MEDIA CENTERmore +
This container should display a .swf file. If not, you may need to upgrade your Flash player.
Can Their Problem Be Solved? Meet Jolene Brown
Agriculture.com

FREE MEMBERSHIP!

CLOSE [X]