It’s not hard to understand why most young people have no interest in farming as a career. Low wages, working conditions can be brutal at times (weather related or dangerous), and very low return on investment coupled with high financial risk. Not a good combination. The average age of principle operators continues to rise and is now over 58 years old – a time when many in other sectors are planning retirement. However, the young people who are starting up do seem to work smarter and not harder with the result being a more balanced family/work lifestyle. Also, mechanisation and better ranching principles continue to make the work more pleasant and give farmers/ranchers the opportunity to expand without working harder or longer hours. There is hope that agriculture will continue in the US, just with fewer operators and sadly, still supported with off farm income. There is a joke amongst farmers and ranchers that when asked what they’d do if they won a million dollars, the answer is ‘farm until it’s gone.’
Land cost per acre: $93/acre (my Bowyer Place)
Cow Prices: $20/cwt (20 cents per pound)
Fed Steer Price: $25/cwt (25 cents per pound)
Wages per hour: $1.25 (minimum wage)
Land cost per acre: $2800/acre (similar land sales in Linn County, MO)
With the first pass May 15, 16, and 17 behind me, several very light rain showers, and a few days of drying out, I was ready to get to that second tillage pass and get the annual seeds in the dirt!. Thursday, May 25, 2017, I spent 4 hours with the Howard Rotavator 600 and was pleasantly surprised that, for the most part, the John Deere 4250 tractor worked along nicely at A2 speed vs A1. This effectively increased my speed from 2.1 mph to 2.6 mph. And it showed up in the final tally for sure! The second pass on the same 18 acres, instead of taking 12 hours as before, only rang up 7 1/2 hours. Nice. Admittedly, i could never make a farmer (row cropper); how do those guys run those things for hours on end, daylight to dark, day after day. I was thankful, i could distract myself for a while, at least on the long rows, by chatting (private message) with my son, who was at a cafe in Spain, and texting about soil conditions with a friend who was farming another part of my farm with 120 acres for organic soybean production. I finished up with the second pass on the 26th. It was also seeded on the 26th.
When i was about 2/3 rds completed, Allen came with a huge bag of premixed annual seed to fill the hopper on the Einbock power seeder and harrow. He finished all 18 acres in about 4 hours, counting a couple stoppages due to hoses plugging.
So, time spent so far:
Mixing seeds – 1 hour
Tractor – first pass – 12 hours
Tractor – second pass – 7 1/2 hours
Tractor/Seeding – 4 hours
A couple of ways to figure the cost of establishment.
One is to figure my actual costs and assign an hourly rate for our time plus wear/tear/depreciation on the tractor and implements. And the other is to use custom rental rates which are figured by the acre.
Total man hours spent – 24.5 hours at $??/hr
Tractor costs for 23.5 hours at $??/hr
Fuel costs – 23.5 times 7.7 gph = 181 gallons @
Or using machinery rental rates (which is what i’m going to do since i don’t know the above costs!)
tractor and rotavator – 36 acres times $20/acre = $720.00
tractor and seeder/harrow – 18 acres times $15/acre = $270.00
Seed costs – $31.56 per acre is what i ordered – HOWEVER, i am informed that Allen actually put on about half again as much, so i will multiply that amount by 1.5 for a per acre cost of $47.34. The additional seed will hopefully pay off in increased forage yields. So total seed costs are $$852.12.
Buckwheat 6# @ $ .90/lb
Lespedeza 6# @ $1.00/lb
Pearl Millet 5# @ $1.05/lb
Oats 12# @ $ .28/lb
Cowpeas 6# @ $ .90/lb
Sunflower 5# @ $.45/lb
Red Clover 2# @ $1.95/lb
Total expenses then amount to $1842.12 or $102.34 per acre. That’s a lot and does not include the 2 tons of lime i had applied in April at a cost of $66/acre. It’s tough to say this all has to be recouped in one year or one grazing because the lime will be there for the rest of my life and the tillage will have long term effects in loosening the soil as well as eradicating the toxic endophyte infected fescue. With so many variables, counting the cost, or rather, measuring the increase or lack thereof, in the short run, is very difficult in ranch renovation.
The plan is to have something to graze in 60-75 days. This will depend large part on moisture. We are getting pretty dry now already and need a rain. I will post updates.
By the way, you noticed i’m not including costs associated with photography and blogging. It’s a good way to force me to sit down and keep a log of expenses, time, and results. Hopefully, it will help others as well!
Managing soil, water, and animals properly and privately goes a lot further than politically motivated government regulations written by people who are far removed from soil and weather.