Question for those of you contract farm , farms, estates etc.

[Pilatus]

As we are now farming in times of very high input prices but hopefully high out prices, how are most of the farmers/ landowners reacting to the situation.
Are they saying no problem I have the financial resources,(not necessarily from farming) so Lets carry on as before, OR are some saying I can’t afford to carry on as in the past , but I will pay for half the cost of the inputs we have applied in the past and hope for the best.??

 

[farenheit]

As we are now farming in times of very high input prices but hopefully high out prices, how are most of the farmers/ landowners reacting to the situation.
Are they saying no problem I have the financial resources,(not necessarily from farming) so Lets carry on as before, OR are some saying I can’t afford to carry on as in the past , but I will pay for half the cost of the inputs we have applied in the past and hope for the best.??

If the farmer pays for half the cost of the inputs, half the inputs are getting applied. It’s not the contractor’s job to take the financial risk for the landowner.
If you mean that they’ll be asking for half rates to be applied, I think it may well be the case particularly with fert.
maybe we’ll also see landowners realising what a pain this all is just to avoid tax and will start renting it out to people who are actually interested in farming.

 

[teslacoils]

You do the budgets and make the choices. If the optimum choice for profit has a higher capital requirement, then the landowner sorts that. Cost of money will be in the cfa. As will a suitably punitive fallow rate.

When I started out farming, I financed my whole years inputs from a merchant and contra them from my osr cheque. Crikey. Seems a long time ago.

 

[glasshouse]

There will be massive pain when ghe price of grain drops back
Same as 08/09

 

[glasshouse]

You do the budgets and make the choices. If the optimum choice for profit has a higher capital requirement, then the landowner sorts that. Cost of money will be in the cfa. As will a suitably punitive fallow rate.

When I started out farming, I financed my whole years inputs from a merchant and contra them from my osr cheque. Crikey. Seems a long time ago.

United oilseeds pool must be looking spectacular this year

 

[nick...]

I fail to see how contract arrangements will work going foreward.there will be buggerall money left after contracting charges and inputs have been paid And the farmer has had his bit.contract charges will have to rise substantially to cover fuel which we all know has gone up massivly.Maybe ok for this year if fertiliser as been bought at sensible prices but hear plenty of around £1000 ton and diesel between £1.20/£1.40 and even higher.had reps try to sell seed this week at around £600 plus a ton.can see land fallowed or farms going into government schemes like legume mixes and wild bird seed mixes.
nick...

 

[spin cycle]

As we are now farming in times of very high input prices but hopefully high out prices, how are most of the farmers/ landowners reacting to the situation.
Are they saying no problem I have the financial resources,(not necessarily from farming) so Lets carry on as before, OR are some saying I can’t afford to carry on as in the past , but I will pay for half the cost of the inputs we have applied in the past and hope for the best.??

it's a false economy to cut back inputs because the cost of working remains the same if on a cfa or tenanted so you need yield to pay for that

only way lower inputs might work is on large owner occupied where owner does work themselves....can shed staff ......can set aside half the land annually for fertility building

 

[glasshouse]

I fail to see how contract arrangements will work going foreward.there will be buggerall money left after contracting charges and inputs have been paid And the farmer has had his bit.contract charges will have to rise substantially to cover fuel which we all know has gone up massivly.Maybe ok for this year if fertiliser as been bought at sensible prices but hear plenty of around £1000 ton and diesel between £1.20/£1.40 and even higher.had reps try to sell seed this week at around £600 plus a ton.can see land fallowed or farms going into government schemes like legume mixes and wild bird seed mixes.
nick...

Lot of rubber tracked monsters going to be up for sale

 

[snarling bee]

Lot of rubber tracked monsters going to be up for sale

Its cost per Ha that counts.
You are far better off with a large tractor doing 1400 revs that a small one flat out in terms of fuel economy, especially if the tractor concerned was built before any of this emissions nonsense.

We were 12m tines at 12kph at 1400 engine revs the other day on a tractor worth £25000. Not expensive.

 

[snarling bee]

I fail to see how contract arrangements will work going foreward.there will be buggerall money left after contracting charges and inputs have been paid And the farmer has had his bit.contract charges will have to rise substantially to cover fuel which we all know has gone up massivly.Maybe ok for this year if fertiliser as been bought at sensible prices but hear plenty of around £1000 ton and diesel between £1.20/£1.40 and even higher.had reps try to sell seed this week at around £600 plus a ton.can see land fallowed or farms going into government schemes like legume mixes and wild bird seed mixes.
nick...

Everything is relative.
It really depends on the price we can achieve of our grain. Plenty of money to be made at £350 tonne even with AN at £1000 and diesel at £1.20.

 

[jendan]

Its cost per Ha that counts.
You are far better off with a large tractor doing 1400 revs that a small one flat out in terms of fuel economy, especially if the tractor concerned was built before any of this emissions nonsense.

We were 12m tines at 12kph at 1400 engine revs the other day on a tractor worth £25000. Not expensive.

Make,model,and hours please?

 

[ajd132]

Maybe if they don’t want the risk they will rent it out.
Some may put bits into stewardship, but there is simply not enough money in the pot for masses of land to go into these schemes.

 

[teslacoils]

Its cost per Ha that counts.
You are far better off with a large tractor doing 1400 revs that a small one flat out in terms of fuel economy, especially if the tractor concerned was built before any of this emissions nonsense.

We were 12m tines at 12kph at 1400 engine revs the other day on a tractor worth £25000. Not expensive.

Yup. The old girl here may be a bit numb and drink the juice, but it's appreciating now and I won't change gear for several days. No "ad poo" pump problems etc.

It's the increasing cost of tin that really stopped our contracting rather than the rise and fall of inputs and prices.

 

[Daniel]

Its cost per Ha that counts.
You are far better off with a large tractor doing 1400 revs that a small one flat out in terms of fuel economy, especially if the tractor concerned was built before any of this emissions nonsense.

We were 12m tines at 12kph at 1400 engine revs the other day on a tractor worth £25000. Not expensive.

Our 200hp tractor was using less per hectare on the sprayer this week than the 130/160hp tractor that usually lives on it.

 

[No wot]

Lot of rubber tracked monsters going to be up for sale

Farmers with the kit and can do attitude , will eventually have the whip hand as long as their management is spot on and landowners options become more limited as support payments dwindle,

 

[ajd132]

Farmers with the kit and can do attitude , will eventually have the whip hand as long as their management is spot on and landowners options become more limited as support payments dwindle,

Quite right, as always has been.
we’ve all seen it someone comes into money then tries to go farming or contracting in a big way, rarely works for long and they get found out.
Glasshouse thinks everyone with more 300 acres of land to manage is either in millions of pounds of debt or has outside income subbing it.

 

[snarling bee]

Make,model,and hours please?

Challenger 95E, 1999, 8000 Hrs.
11m? Vaderstad NZ tines extended to 12m wide.

 

[Pilatus]

Many’s thanks for your replies.
Interesting times , as long as you can sleep at night with your financial positions , that must be a great plus factor as regards getting up to enjoy another day.

 

[Daniel]

Many’s thanks for your replies.
Interesting times , as long as you can sleep at night with your financial positions , that must be a great plus factor as regards getting up to enjoy another day.

It’s not the arable farm that’s the problem, it’s paying all you arable boys to feed the hens that’s the problem!

 

[glasshouse]

Its cost per Ha that counts.
You are far better off with a large tractor doing 1400 revs that a small one flat out in terms of fuel economy, especially if the tractor concerned was built before any of this emissions nonsense.

We were 12m tines at 12kph at 1400 engine revs the other day on a tractor worth £25000. Not expensive.

Your £25k tractor wont be for sale
Its the £300k tractors and £500k combines that will be.