064 – 2012 Farm Bill – The World did not end!

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So the Farm Bill has expired as of midnight 9/30/12.  And the world did not no farm billend.

I discuss what is really important to commercial production agriculture and what is fluff.

I talk about what progressive liberals want in a farm bill and what tea party conservatives do not want in a farm bill.

I look at how in the past “compromises” have always led to less for commercial production agriculture.

Farm groups need to answer why they were pushing for something that was never going to happen.  Big disservice to their farmer members.
They also wasted “political capital” on this wishing for something.

Why are farm groups so eager to help democrats.  Is it because many of the farm group staffers are really closet liberals???

The Republican House conference is really divided on what they want or do not want in a farm bill.

It is not 1986 and Farm Aid concerts are just starting.

Farmers have more important things than a farm bill to worry about right now.  Strong commodity prices lessen the need for farm legislation.

I am really wound up on this topic.

 

6 Comments

  1. splined said:

    This last proposed farm bill is designed to target extreme wealth to the select largest and wealthiest. This disproportionate allocation of government benefits has been a primary reason for the rapid depopulation of rural America as well as many small towns. It is insane to deprive rural America of smaller farmers due to government farm programs that steal from poorer individuals any chance of competing in the farm business.  Multimillion dollar investment/profit guarantees provide a nearly bulletproof  overwhelming competitive financial edge.  To assume that the larger farmer- larger government benefit farm program schemes bought and paid for by the wealthiest farmers provides a fair and equitable opportunity for smaller farmers to compete is absurd.

    October 2, 2012
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    • Bill Graff said:

      First off, the biggest and best farmers will get bigger and better because they are capable of running a successful business. These people will make money whatever the farm bill is or is not, because they are very good at making money. As one successful farmer told me “Just tell me the rules and I will figure out how to profit from them.” So, however you write the rules he will find out how to run his farm to make money, and he is very good at that. Farming is big business whether one likes that or not. If you can “hold your money together” and grow your asset base and reduce your liabilities over time you will be successful economically.
      Where is the so called guarantee for livestock producers? Yet they seem to get bigger all the time.
      It is called economy of scale. We buy the same tractor for the same money. I run my tractor over twice as many acres as you do, my purchase price per acre is exactly half of yours. So my cost per acre is lower, which means my cost per unit of output is lower which means at the same price (farmers do not control prices, we are price takers, not price makers) my profit margin is better than yours which means I make more money. Which I then use to purchase more assets to spread my costs over even further, which makes my cost per unit even lower.
      So how does the small guy compete? Maybe not competing with the big guys at what they do and finding something else to grow at a premium. Getting an off farm job to supplement the farm income. Joining with other smaller farmers to get the economy of scale that larger farmers have. Doing custom work for other farmers.
      As for the “poor” comment. Just because you are poor does not mean you cannot farm. You may have to work harder and smarter than the other farmers, but it can and is being done right now. Sounds like an excuse to me that “oh my big old mean government won’t give me a chance to be successful”. Well go out and make that success happen on your own. It can and is being done every day. I will venture to say farm program or no farm program the same people will be the big farmers either way. They know how to be successful.

      October 3, 2012
      Reply
  2. patient said:

    I’m a farmer.  I am not a big farmer.  I don’t like the idea of this farm bill being passed.  I would really like to see food welfare programs cut away from this bill and be dealt with one their own.  Make the farm bill a real farm bill having only to do with production agriculture.  We also run a business in town and I don’t hear farmers complaining that this was not passed.  Our ag economy is doing good right now so the smart thing to do is plan ahead and pay off debt.  Just my 2 cents……

    October 3, 2012
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