2024 net farm income

[AlbertaFarmer5]

A question for those who want direct payments or subsidies of any kind.
What mechanism do you propose to balance supply and demand if the government uses taxpayer dollars to artificially send the wrong signal and increase supply at a time when the free market is using low prices to demand a decrease in supply?

Americans tried that during the '80s, and the result was stocks to use ratio of half the crop. Depressing prices even further and longer than would otherwise have been the case.

[Old Cowzilla]

My accountant has said for years the feedlot type setups had the highest chance of triggering a payment. He does the books for many different farming operations. At this stage of my career not looking forward to a big hit so some ins. is needed. Not a lot of time anymore to make it back. Cattle has paid better than canola for the last two years but don't bother telling the young pups that.

[blackpowder]

Don’t remind us, we had plenty of turns….
agstab wasn’t worth a shit…

I can see how how that can be.

Many operations have achieved an economy of scale that works for their area and continue to grow.
No program will ever replace that.

[TSIPP]

I’m fine now but when mad cow came along and I didn’t have a five year reference margin it’s all zero.
try that when buying the ranch from the greedy baby boomer in-laws and 4 hungry kids.

[blackpowder]

A question for those who want direct payments or subsidies of any kind.
What mechanism do you propose to balance supply and demand if the government uses taxpayer dollars to artificially send the wrong signal and increase supply at a time when the free market is using low prices to demand a decrease in supply?

Americans tried that during the '80s, and the result was stocks to use ratio of half the crop. Depressing prices even further and longer than would otherwise have been the case.

I've seen a few different programs come and go.
Long term planners saw 45 years ago that programs only delayed the inevitable consolidation. Stabilize the transition. It's politics mostly.
Dairy saw it. We'll see if they can remain in a bubble. I can remember when quota was free.

[blackpowder]

I’m fine now but when mad cow came along and I didn’t have a five year reference margin it’s all zero.
try that when buying the ranch from the greedy baby boomer in-laws and 4 hungry kids.

Oh boy, I hear ya. If you're still here you have the last laugh, Salute! and fk 'em.

[TSIPP]

The son had a great offer if he wanted the ranch, he didn’t want it, the son-in-law (me) wasn’t so lucky.

[ajl]

Here the STO had a good run from '21 to 23 but 24 was not really profitable and neither will be 25. Mediocre yields x mediocre prices = breakeven. Hopefully the canola price stays relative good into 26 as that looks like the path to profitability in the near term. Just wish agriSTAB would disappear as that is the means by which the STO get to subsidize the BTO with their off farm job. Program is too complex and not worth it on my scale. At least with direct payments everybody gets to participate.

[bucket]

A question for those who want direct payments or subsidies of any kind.
What mechanism do you propose to balance supply and demand if the government uses taxpayer dollars to artificially send the wrong signal and increase supply at a time when the free market is using low prices to demand a decrease in supply?

Americans tried that during the '80s, and the result was stocks to use ratio of half the crop. Depressing prices even further and longer than would otherwise have been the case.

I think I would like the same payout as dairy is getting to stay in business when their product is indexed on the cost of fuel and other factors of inflation.

Or how about a payout like the 3 irrigation districts get. My farm could use a guaranteed crop with infrastructure paid for by the taxpayer, plus $40 an acre per year for over a decade. Plus the deficiencies of the system paid for by the taxpayers after selling them the infrastructure for $1.

Or we could down the road of the EVs subsidies that won't produce shit.

Or the constant bailing out of Algoma

Or the constant bailing out the auto sector.

It's time for the noble naysayers to take off the blinders.

Farmers and ranchers in Canada and particularly in Saskatchewan are at the mercy of the weather and markets influenced by things not related.

As an example , who should get the tariff money for the Chinese EV issue? It was a direct hit on canola growers. Not a peep about farmers in that. Been going on for close to 9 months on one of the smallest production crops of canola in years.

Even if the government directed 15% of what they are going to put into Ukraine's rebuild , farmers and the economy in this country would be better off for it.

In 1988 the government spent 1.5 billion on the drought. In today's dollars and the changes in agriculture and the issues affecting agriculture , it would not be unreasonable for a 5-7 billion dollars today.

[blackpowder]

Politically we don't count.