The only way farmers ever figure in the discussions on anything is that they think that farmers have to have their products and will pay it regardless. Problem is when cost of production consistently outgrows the farmers income then there are fewer farmers left. Seems like everybody has been bleeding the few farmers dry that are left. At some point those suppliers are going to have to change what they are producing cause farmers, especially cattle farmers are going the way of the dinosaurs.I guess they figure if corn can double in price why can't we.
My cattle are my best tax write-off .. making income off of them... No wayThe only way farmers ever figure in the discussions on anything is that they think that farmers have to have their products and will pay it regardless. Problem is when cost of production consistently outgrows the farmers income then there are fewer farmers left. Seems like everybody has been bleeding the few farmers dry that are left. At some point those suppliers are going to have to change what they are producing cause farmers, especially cattle farmers are going the way of the dinosaurs.
Now, hogs, ham and bacon on the other hand?My cattle are my best tax write-off .. making income off of them... No way
Shhh those folks may be listeningNow, hogs, ham and bacon on the other hand?
Exactly.The only way farmers ever figure in the discussions on anything is that they think that farmers have to have their products and will pay it regardless. Problem is when cost of production consistently outgrows the farmers income then there are fewer farmers left. Seems like everybody has been bleeding the few farmers dry that are left. At some point those suppliers are going to have to change what they are producing cause farmers, especially cattle farmers are going the way of the dinosaurs.
They know what they're doing. Most people who buy those blocks are hobbyists and the price doesn't matter. It's the same thought process that allows sports stadiums to sell beer for $10 a cup. They could sell a lot more beer if it were reasonably priced, but it's a lot more profitable to sell less beer to a handful of suckers.I've seen these cycles in O&G. Eventually these people who supply cattle producers are going to have to realize if we arent in business... neither are they. The producers need to, also.
They know what they're doing. Most people who buy those blocks are hobbyists and the price doesn't matter. It's the same thought process that allows sports stadiums to sell beer for $10 a cup. They could sell a lot more beer if it were reasonably priced, but it's a lot more profitable to sell less beer to a handful of suckers.