We need deflation in Costs of production!

[SASKFARMER3]

Seems every thing is in deflation yet the chem. seed and fert. companies think its ok to keep the game going. Who can really blame them when its us the stupid consumers who are to scared to say enough is enough and put a knife in the F$%ker its done.
Were our own worst enemy. Mr. farmer even when some are so close to broke and need a company to provide themselves with cash to grow a crop up front. They still think their doing fine and keep going.
Lets bid half a mill for land lets go 125 a acre for rent.
On and on.
How about lets do like we use to do shoot for a 30 bus canola and a 40 wheat and 60 barley and 100 oats and f%^K the rest.
Where has over producing ever got us ahead. Where!
See seed companies will gladly take all that canola seed back and store it for a year, yes it will be retested and 98% will be resold to you next year, they have a plan and really really don't give a rats ass about you MR. Farmer.
Fertilizer companies love the game hell under 3 natural gas equals a cost on ammonia of 127 a ton. Double that for labour and expense and overhead and that equals 254 a ton cost yet what are you paying MR Farmer.
This whole shit show in farming started to unravel a while ago.
Machinery is next look at all the shit on the lots. google combines and see what comes up.
Ah farming what a game!

[jake550]

Couldn't agree more. It's well over due. Actually an increase in interest rates would be a good thing and should have happened 2 years ago. I suspect most won't agree with me on that but look where's it gotten things. It's called a bubble. That has a very real chance of exploding soon.

[SASKFARMER3]

At the peak interest rates should have increased. I do agree. Then Investors that borrowed to purchase land would have cooled their jets. Young bucks would have realized that maybe the 80S can happen again.

[SASKFARMER3]

Equipment manufacturers will cut production. Honey bee was famous for this only build so many always sold out.
Price on equipment will stay same it just has to but they will come out with cool finance options. Deere is back in the finance game after years of shooting every thing to FCC or other lenders.
Land will stabilize unless the housing market crashes in cities.
Rent should be down but some just don't get this is a down cycle and you have to adjust.

[ajl]

The same thing that drove land price sky high: devaluation of currency is what is keeping inputs high as well. You can't have one without the other so little use complaining. As Jake stated there should have been an interest rate increase to head this off but there wasn't.

[SASKFARMER3]

I cant remember did Carney want one before he headed to help Cough England out.

[ajl]

There was talk but it was not going to happening. Central bankers and politicians never do the right thing unless forced. In the early eighties the interest rate went up because of the very real threat of hyper inflation so they had to allow the market to raise interest rates. Today the hyper inflation has been confined to asset values but not seen in consumer prices because Asia has been exporting deflation in the form of cheaper consumer goods.

[seabass]

Deere dealers been bugging us to trade up before they change there exchange to 80 cents. Tough to justify if u don't have the money.

[Horse]

Spoken like a true Capatilist Grab all you can then when the worm turns CRY CRY like a wounded vergin.. Dam you wanted it all so shut up already..And pay your masters.

[hobbyfrmr]

I see now, why conventional farmers seldom travel to France for vacation. They spend enough time living the "Eiffel Tower" experience.

Is the Urban Dictionay a real dictionary? I am confused.