So What Does it Take
to be a So Called Farmer Today?
And do I really want
to be one?
Part 2
So when I was
ready to go to AG school, the common theory and supporting evidence said that
for every one farmers going into farming in 1974, there were 10 farmers leaving
the business. This was enough information for mom to prove to me that her
choice for my future career was the right path.
Numbers are
misleading and surely this one was. The farmers leaving the business were a lot
of old school farmers who had been doing the same thing year after year with
limited success, making a living the hard way, and the only way they knew how. Technology was ushering its way into farming
where it required you to accept and understand new technology to increase
yields by managing your farm in a different way where you tried to maximize
every acre under your charge by the latest of technological advances.
Fertilizer and
pesticide were your friends. The old cultivators for growing corn were on their
way out. Larger more modern equipment capable of plowing hundreds of acres in a
one pass scenario saved fuel and increased the tilth or texture of the soil,
and when you combined these tractors and implements with herbicide and
pesticide tanks you reduced your passes over the field even more. Reports of
farmers combining planters with these units in open fields where you were doing
thousands of acres of planting made these units ideal.
All this
technology was costing money, the farmer of the year for the state of Ohio said
he never expected to get out of debt in his lifetime. He expected to keep
turning over any profit he made into buying larger farms and improving his
technology so that he could farm more acres with less labor. This is fine in
theory but in reality, you hope that your health holds out, that interest rates
don’t rise and your wife doesn’t file for divorce. So along with this interest
in bigger farms the banks were requiring you to incorporate your farm which
offered many benefits including tax benefits not normally granted to farmers
and offered the banks a way to consolidate their investment as now it was much
easier to take back the farm and when your wife took the kids and ran away with
Earl the mechanic, and you had a really bad year trying to plant and
harvest. Your father in law was soon out
the farm he had worked for the last thirty years having put it up for collateral
in order to get an operating loan you had to default on because you had no crop
insurance at the time. That was all right, because the bank already had plans
for your property to be taken over by the corporate farmer down the road who
needed the acreage to expand his dairy operation.
Foreign trade
deals with China and other third world nations allowed the U.S. to become a leader in exporting grain to other
countries. This in turn required farmers to become even more productive as technology
again increased as equipment manufacturers like John Deere and Case saw that
they could add more features to their tractors and began refining their designs,
at the same time tractor prices began to climb till now an average tractor you
could buy for around 100000, almost as much as
farm. This isn’t a low end tractor instead it is a tractor you would
need to provide yourself with a comfortable living today.
It would be
enough to farm say 300 acres in a grain operation. it is by no means your only
piece of equipment as you would also need today a high boy sprayer worth around
60000, a planter equipped with sensors and tied into your GPS on the tractor to
monitor planting rates and fertilizer being applied to the seed, increasing or
decreasing the amounts to as it relates to the planters positon in the field and
recording the results to be coordinated with the combines record to see if you
need to increase fertilizer usage for the next year. It takes a tech engineer
to trouble shoot all the problems that can go wrong with setups like this. Proprietary
contracts are being written by equipment manufacturers that now require you to contact
the manufacturer for the keys to unlock the computers on these machines, making
them so that farmers can no longer work on their own equipment despite how old
the machine is.
A price tag for
an operation like this where one man can operate and own an operation by
himself would be around 1.5 million with over a half a million in equipment
alone and cash renting the land as opposed to owning it. So what are your payments on 1. 5 million and
then you add seed and fertilizer costs of which they are using genetically engineered
(GMO) varieties designed to be used with herbicide specially designed to
maximize yields on your varieties of corn and soybeans specifically selected
for your growth requirements and land use. As well fuel on a yoyo price where one year it
is up and next it is down, and then couple that with your household expenses. No
wonder your wife wants to run off with earl the mechanic after all he makes
more money fixing your John Deere and the equipment, than you can farming 300
acres. Suddenly you find yourself a slave to technology and no longer a farmer
but just a piece of the puzzle equipment manufacturers haven’t figured out how
to replace just yet.
But there is hope
even in the worst case scenarios of a bust year, and that is if you signed your
land up with the government and have all the production figures for your land
and if there is a declaration of federal assistance available. You can have crop
insurance to pay you a minimum amount so that you can continue making the payments
and hope for a better year. This is what farming is all about today and if it
sounds confusing there are agricultural advisors out there who can point you in
the right direction and look over your shoulder and into your bank accounts to
maximize your yields and profits , of course for a price, and of course, no liability if they are wrong.
I can remember
looking at a farm over the hill from where we are now and we thought about
expanding our operation when I was younger. Boy in some ways I am glad we never
did as then I would have felt compelled to stay put doing what a lot of farmers
do today, working daylight to dark trying to make a buck to pay the mortgage
and live another day. It can be lonely as hell sitting there in the cab of a
tractor worrying about how all of it is going to work out in the end. Whether
when you sum up your life’s work whether you will be satisfied with what you
have accomplished.
And as far as
that 1 farmer going into business for every ten leaving goes, well technology
has in the same time replaced 100 farmers for every one going into business. Huge corporate farms will be the order of
business in the future as more and more small farmers will be squeezed out of
farming to make way for more technologically advanced equipment the small
farmer can’t buy. I seriously doubt that if a person wanted to go into business
today could hardly find the financing available to let him get started on an
operation large enough to provide him with a substantial income . You would
have to come up with a sizeable down payment so large it is beyond the scope of
the normal man when applied to today’s standards of farming in the United
States. This is sad and a poor reflection on our country in the land of opportunity
where many a man has made a fortune first by owning a farm. This is one opportunity
that is quickly being further out of reach of the common man.
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