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Showing posts from July, 2015

Farmland Sales Decline Slightly in Minnesota in 2014

By David Bau, Extension Educator

Minnesota farmland sales for 2014 are available at Land Economics website thanks to University of Minnesota Professor Steve Taff who updated the information before his recent retirement.   Minnesota average sale price was $5,109 in 2014 down 1 percent from an average sale price of $5,165 in 2013.  The average sales price was $4,222 in 2012.  The Minnesota average for prior years was: $3,667 in 2011, $3,517 in 2010 and $3,420 in 2009.  The upward trend was broken slightly in 2014 the first decline in recent years.

Record corn and soybean prices and corresponding profits in recent years can explain the rapid rise in farmland sale prices.  Now much lower corn and soybean prices can explain the falling farmland sale prices as farmer profits have declined.  Since the June 30th crop report corn and soybean prices have moved higher but are still below the level for many farmers to reach their breakeven prices.

If you want to see what farmland sales took place…

Repeal of Country of Origin Labeling – it’s messy

By Betty Berning, Extension Educator

In May, the World Trade Organization (WTO) found the United States’ County of Origin Labeling, or COOL, discriminated against imported animal products from Canada and Mexico. Canada and Mexico have received permission from the WTO to impose retaliatory tariffs on U.S. products. Industries impacted include meat, wine, chocolate, furniture, and jewelry, along with others. The total amount of tariffs varies, but has been estimated as high as $3.7 billion. For those not familiar with COOL, it is a United States program that requires all fresh beef, pork, chicken, goat, and lamb to be labeled with its country of origin. It sounds simple, but it gets messy. Processed and foodservice meat are exempt from COOL. COOL was part of the 2002 Farm Bill and modifications were made in 2008 and 2013. So, for example, if a steer was born in Mexico, finished in the U.S., and processed in the U.S., COOL requires that it is labeled as being a product of Mexico and the U.S…

Challenging Times & the Need for Financial Planning

By: Pauline Van Nurden, Extension Educator

Minnesota poultry producers are currently experiencing the impacts of the most devastating outbreak of avian influenza on record. To date, millions of turkeys and chickens across the state of Minnesota have been lost to the disease. Producers are dealing with many challenges at the current time – euthanizing birds; cleaning and disinfecting their premises; and all the other physical and emotional challenges related to starting production again on their farm.

It is easy to get wrapped up in the daily management of all of these tasks. And, it is difficult to begin considering the financial planning implications of this disease on the farming operation. Yet, it is important for producers to assess their current financial position, look at scenarios for the future, and assess the best path for the future success of their operation.