Who really knows who owns the land those crops are harvested form, but farmland price are booming:
DES MOINES, Iowa (AP) — Increased commodity prices and strong demand have sent prices of farmland skyrocketing, making it more difficult for young and beginning farmers to get established but strengthening the balance sheets for those who own the land.
Across the Corn Belt, the price of farmland was on the rise in 2010. The highest increases were seen in Iowa, where values rose 13 percent and an acre of farmland sold for upward of $7,000 in some areas of the state. Minnesota and Wisconsin also saw double digit increases in farmland value, averaging 12 percent and 11 percent respectively, according to the Federal Reserve Bank in Kansas City.
more at: http://napervillesun.suntimes.com/business/3039967-420/farmland-prices-percent-farmers-commodity.html
Dairy farmers turn is right around the corner - or something like that.
This means more negative margins for livestock producers, higher food cost for consumers and China feels better about six dollar corn then the stabillity of the US dollar. But hey WalMart will be fine they have more left out of their milk check then anyone!
ReplyDeleteWhy do people in the midwest milk cows? Too cold in the winter and too hot in the summer. You can sell your grain for big money instead of losing big money milking cows.
ReplyDeletecould be this is just the big boom before the big bust! I am sure that next year USDA will show the largest corn and bean crop on record
ReplyDelete