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Post by sigurdur on Jan 4, 2017 19:47:15 GMT
www.reuters.com/article/us-smithfield-foods-grains-analysis-idUSKBN14J0FASmithfield Food Inc [SFII.UL], the world's biggest pork producer, is buying grain elevators and purchasing grain directly from farmers, a move that hits grain handlers already reeling from multiyear lows in corn and soybean prices. The Virginia-based company bought two Ohio grain elevators in September. For the first time, it can ship grain directly from Ohio to feed the pigs that Smithfield slaughters at its Tar Heel, North Carolina, packing plant - the world's largest, processing about 32,000 hogs daily. Smithfield now buys 65 percent of its animal feed directly from farmers, up from the 10 percent of feed it directly bought in 2010.
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Post by missouriboy on Jan 4, 2017 20:51:13 GMT
www.reuters.com/article/us-smithfield-foods-grains-analysis-idUSKBN14J0FASmithfield Food Inc [SFII.UL], the world's biggest pork producer, is buying grain elevators and purchasing grain directly from farmers, a move that hits grain handlers already reeling from multiyear lows in corn and soybean prices. The Virginia-based company bought two Ohio grain elevators in September. For the first time, it can ship grain directly from Ohio to feed the pigs that Smithfield slaughters at its Tar Heel, North Carolina, packing plant - the world's largest, processing about 32,000 hogs daily. Smithfield now buys 65 percent of its animal feed directly from farmers, up from the 10 percent of feed it directly bought in 2010. Are your grain handlers mostly locally owned small operations or cooperatives? Or are many of them already corporate? If cooling does affect supply, there may be more of these operations looking to protect one of their inputs ... and more importantly, large conglomerates looking to buy up part of the food chain in large amounts. So, will it be a general transfer of local wealth to centralized entities? Or has that already happened? Do the farmers get a little extra something out of it? “In a dirt-to-fork story, you have to start with the dirt," said Joe Kerns, president of animal agriculture consulting firm Kerns Associates. “This is the first foray.”
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Post by sigurdur on Jan 5, 2017 18:34:45 GMT
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Post by sigurdur on Jan 5, 2017 18:37:49 GMT
www.reuters.com/article/us-smithfield-foods-grains-analysis-idUSKBN14J0FASmithfield Food Inc [SFII.UL], the world's biggest pork producer, is buying grain elevators and purchasing grain directly from farmers, a move that hits grain handlers already reeling from multiyear lows in corn and soybean prices. The Virginia-based company bought two Ohio grain elevators in September. For the first time, it can ship grain directly from Ohio to feed the pigs that Smithfield slaughters at its Tar Heel, North Carolina, packing plant - the world's largest, processing about 32,000 hogs daily. Smithfield now buys 65 percent of its animal feed directly from farmers, up from the 10 percent of feed it directly bought in 2010. Are your grain handlers mostly locally owned small operations or cooperatives? Or are many of them already corporate? If cooling does affect supply, there may be more of these operations looking to protect one of their inputs ... and more importantly, large conglomerates looking to buy up part of the food chain in large amounts. So, will it be a general transfer of local wealth to centralized entities? Or has that already happened? Do the farmers get a little extra something out of it? “In a dirt-to-fork story, you have to start with the dirt," said Joe Kerns, president of animal agriculture consulting firm Kerns Associates. “This is the first foray.”Do the farmers get a little extra something out of it? It depends. If you get tied to one major outlet for production, (others going broke or being sold)........the market fluidity goes down. There is a reason Smithfield wants to buy direct. It isn't because they feel kind, nor that production returns aren't good. It is to protect their bottom line..........period.
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Post by sigurdur on Jan 9, 2017 0:09:25 GMT
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Post by missouriboy on Jan 13, 2017 19:46:17 GMT
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Post by glennkoks on Jan 15, 2017 15:19:09 GMT
I can't think of a tougher business than agriculture to be in. It seems like everything is stacked against growers from mother nature to the buyers. I have followed every link on this thread and find the business of agriculture fascinating. If there is a shift from the current warm phase to a colder/wetter phase the bellwether should be in commodity prices.
I suspect we could be going from storing excess corn in piles to not being able to fill our silos within a year or two if the breadbasket of this nation has a disrupted growing season or two.
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Post by icefisher on Jan 15, 2017 15:23:30 GMT
I can't think of a tougher business than agriculture to be in. Try fishing.
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Post by nonentropic on Jan 15, 2017 17:54:42 GMT
Its so paradoxical.
If your weather is bad for crops as a farmer all you prey for is that everybody gets the same and you produce something. The prices will reward you with your best year. A great weather year is your biggest enemy.
Fishing should be isolated to hobby its madness to consider it a viable way to earn a living.
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Post by glennkoks on Jan 15, 2017 19:12:45 GMT
I can't think of a tougher business than agriculture to be in. Try fishing. I have been in the commercial fishing business my entire life. My father before me. While it is tough you do have the ability to move. Farmers do not have that luxury. In any case commercial fishing and farming can be tough career choices.
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Post by sigurdur on Jan 15, 2017 19:27:22 GMT
I will say it is damn hard to move a farm. Something about having to acquire land to farm.
At least in fishing you can move, or attempt to move, to a productive spot without having to buy the spot as you watch your previous buys decrease in value because productive areas have changed.
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Post by missouriboy on Jan 17, 2017 14:31:13 GMT
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Post by sigurdur on Jan 17, 2017 17:22:41 GMT
Yep, the "ash" was productive!
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Post by missouriboy on Jan 17, 2017 23:21:43 GMT
Saint Helen's eruption was small but free mineral enhancement in 'proper' quantities.
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Post by icefisher on Jan 18, 2017 14:03:50 GMT
I will say it is damn hard to move a farm. Something about having to acquire land to farm. At least in fishing you can move, or attempt to move, to a productive spot without having to buy the spot as you watch your previous buys decrease in value because productive areas have changed. Well at least you can buy a spot. In fishing today you need to make an investment to keep your ability to fish open. And as they close down vast areas of the ocean when you arrive at an open spot its more crowded. Both occupations are very tough and the selective enforcement on American fishermen has created the situation where we import almost all our seafood.
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