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Mahoning
Valley Agricultural Guide Buy Local, Buy Fresh A Connection between Farmers and Consumers |
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::: Ask the Mahoning Valley Farmer :::
Answers From Your Friendly Farmer
Thanks, Mark C. Callion
The current state of most farms in the Mahoning Valley is slowly improving, but low prices for milk and meat, along with high commodity input prices, are having a general negative effect on profitability. Exceptions are in corn and soybeans, which have recovered some from last year's lows. What will happen in the next 3-5 years depends on many factors. One thing that will have a big impact on all farms was the passage of issue 2. Passage of this bill helps keep the rules governing farm practices based on science and economics. This is in direct contrast to the passage of emotionally-based laws like those in California which put farmers there at an economic disadvantage. The recovering economy will help to improve grain prices somewhat. But the rules governing speculators in the futures markets should be enforced. In the past, regulators have looked the other way when mutual funds and big banks bought commodities on the futures market. In December 2009, 128 countries met in Denmark to set targets to reduce global warming. This will cost billions of dollars to developed countries like the U.S., Canada, Australia, European nations, and others. Developing countries like China, India, and Brazil will be given money to help them adapt to the new rules. Climate change groups want farmers to sequester carbon (CO2) to cut down on green house gas. To help reduce CO2, they want to plant trees to soak up the carbon. This all sounds good, but plants need carbon dioxide to grow. The USDA now wants farmers to plant 20 million acres in trees. America is already losing 2 acres of farm land every minute. With the world population expected to grow over 2.5 billion people by 2050, where will the food come from? As an Ohio farmer, I do see a bigger demand in the future for grains both as food for human consumption and as oil replacements. This will be a help to our grain farmers. One thing that I see helping small farms is the continuing push for people to know where their food comes from. There are more local markets springing up in Northeast Ohio. The dairy market is always an up and down process. When prices are good, farmers add more cows, which creates an over-production in milk. Having your own specialty market like chesses, yogurt, ice cream, or something of that nature, helps producers control their income. Knowing your costs and being efficient is the most important thing for any business to survive. Overspending after a great year can put you into a high debt load, causing you to fail. Most businesses that file for bankruptcy do so within five years of having their best year. Opportunities are always there if you are able to see them and act on them.
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Page updated 24 June 2010 Website by Charlotte Agustin |
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