Monday, December 7, 2015

Your Daily Bread

As another Lame Cherry exclusive in matter anti matter.

It is always easier to interrogate someone willing to talk, than someone who is not willing to talk.

- Lame Cherry

That may sound obvious, but I was stopped by an old farmer with TL this past week, looking to be helpful as we were out on a walk. As the conversation lasted an hour, which is typical for rural types, I decided to ask some questions I was curious about, and his being an expert he was more than willing to fill in the details.

You see, a decade ago you could readily find information on agricultural production and costs, but in this new age of Obama, that data is hard to find.

So I dropped in a question about how much it really costs to plant an acre of corn. He thought for a moment and said around 280 dollars. That would be the costs of Monsanto seed, fuel, fertilizer and pre spraying Round UP.

This all began when he told me his son had just broken even this year on their wheat harvest, with wheat at 5 dollars a bushel.

I had heard from our feed store owner a like tale that he thought he would probably break even on corn and beans this year. In offering a bit of bait to the store manager, I learned that the owner's harvest this year would be 220 bushels an acre.

I am going to use round numbers in all of this as it makes it easier for you to follow, as it is important you understand what is happening in America, not just in your being poisoned, but how Big Farm is a slave racket and how it is all a game that will come crashing down, as the old farmer was thinking that land would never drop in price as the world would need to feed all those new billions..........I did not mention my exclusive here about robotics coming into farming, and that means no need for farmers any longer as corporate agriculture will only need Mexicans to piss and shit in the fields like they do now for spinach.

Now for the backdrop in this.

A tractor will cost around 250,000 dollars, as will a combine to harvest the crop. A planter costs 150,000 dollars.
If you want a Round Up sprayer, that again is another dose of cash in the quarter million for a new one. Point is, most of these big farmers bit hard on expensive corn when Soros inflated it all for Obama's installation in the White House, and now corn is down around 4 bucks a bushel and not 8.

So you do the math in this, money is cheap, but those massive machines burn allot of that 3 dollar a gallon diesel in 500 gallon in 1500 dollars for one fill up. The implement makers do not post a great deal of that information in mileage, as this is all a closed game now to only the insiders. You get the basic numbers though in what we are dealing with.

OK so you are farmer and plant 1000 acres of corn. Off the top, you have 280,000 dollars in just planting that crop. You have your equipment costs which are wearing out, additional spraying, and then harvesting.

Let us do the math in you have a great year, and get 880 dollars an acre for your crop. Take off 280 for planting. That is 600 dollars left over. Then you got 7 dollars an acre per spraying off for Round Up, in two sprayings....down to 586 dollars.
Subtract now depreciation, interest, taxes and insurance of 100 dollars an acre and you are down to 486 dollars.

Cash rent would be 100 to 300 dollars per acre, so figure 150 and you are down to 336 dollars per acre.

Now let us return to the million dollars in equipment invested in tractors, combine, sprayer etc... which is a debt that must be more than serviced........and odd thing in this, is maybe you bought land from 3000 to 20,000 an acre......let's say 3000, so you have 3 million dollars in debt which has to be paid off, along with your 1 million in equipment.........oh and you probably have that problem like most people liking to eat, sleep in a house, take a warm shower, have a vehicle to drive so you have 336,000 dollars in "profit".......sorry forgot that you have to dry that corn too as it is always wet in harvesting, so take off 36,000 dollars.....leaving you 300,000 dollars to pay off 4 million in debt, and every 5 years you will need another million dollars to pay off your new equipment.

That means in 14 years if everything goes right, and you do not eat anything, you will get your land paid off.........and if you eat and are not prone to a 14 year fast, that with another 3 million in new equipment, that adds another 10 years, about the time you grow your third set of teeth, you will get things paid off..........oh and for some reason Obama keeps raising taxes on people, and these Big Farm types always are putting up 250,000 sheds or grain bins as tax dodges to try and not pay taxes, but ends up making them asset rich and cash poor.
Not to worry though, because Uncle Obama and the IRS get it back when Big Farm sells things off.

In most cases, it is worse in this than break even prices, that these unfortunates do not have that 300,000 "profit" to play with.

Big Farm are fools, as they gouge each other, drive up prices, allow themselves to be prostitutes for implement dealers and Monsanto, so their greed and laziness gets them what they deserve in being debt slaves. I simply wanted to explain how all of this factors out and how all of this is a house of cards.

In closing, I have a story the old farmer told us which explains it all. An old gal approached him and said, "Say what do you pay for rent?" The farmers was wondering why she was asking and then she blurted out, "My renters are paying me 15 dollars an acre."
Yeah Big Farm screwing some old widow who did not know any better.  That is what Big Farm is and why it is going to die on the stalk as it deserves to die.

Oh there is also harvest costs........never mind as what difference do a few more years as a working slave, driving around in million dollar vehicles mean to the deluded mind.

All for your daily bread.