Thursday, December 30, 2010

How to Raise Cattle for Profit

By Andrew H Davis

One of the most important decisions you will ever make as a cattle producer is your choice in breed or breeds of cattle you plan to produce. This one decision will have life-long effects and might even make you or break you. I don't want to pick any certain breed of cattle, at this point, because there are both pros and cons about every breed of cattle raised in the US and abroad.

What many producers don't realize is there are underlying factors that should help you decide on which breeds will be best -- location, location, location.

Every region of the country has a different climate and every ranch has a different "micro-climate". How many times has your neighbor gotten a needed rain shower and you have gotten some wind packed with dust?

Every single piece of land across this country has differing weather patterns, so the question of what breed should I choose should begin with "what breed is best suited for my particular location?

There are many other factors that help us choose the breed or breeds of cattle we want to produce like: our goals, market trends, opinions, early maturing breeds, later maturing breeds, etc.

Something I would like to interject into your thoughts is how other operations along the beef production chain view the choice of cattle you plan to raise.

The stocker operators are looking primarily at gain on grass (pre-feed lot); the feed-lot operators are looking for gain on feed (finishing phase); and the packer's are looking for meat quality or Grade.

Every single steer calf and many heifer calves that enter the market system are headed down the path of the beef production chain, so my question for you is:

Do your goals coincide with the beef production chain? And if not, why not?

We now see how important choice of breed or breeds is to the equation.

One of the worst mistakes, I have seen in the cow-calf producer side of this equation, is too much of an emphasis on quantity pounds produced rather than quality pounds produced -- as the only premiums paid at the end of the beef production chain are for quality pounds.

Another idea I want to interject into your thinking process is the fact that every feed yard, across this country, has seen every single cross, known to man, come through the production chain and they know "what works best"-Do you?

An equally important step in breed selection is:
What will my land produce?

What does my forage base consist of and how many cows can my land support?
The reasons this is important in making a choice of breeds is because some larger framed heavier cattle consume more grass than other moderate framed cattle.

For example:
1 1500 lb cow will eat 3% of her total body weight per day, which equals 45 lbs.
1 1200 lb cow will eat 3% of her total body weight per day, which equals 36 lbs.

At the end of the growing season, say 6-7 months (200 days) the 1500 lb cow will consume 9000 lbs of forage and the 1200 lb cow will consume 7200 lbs of forage.

Why is this important?

On 100 acres of grassland where our average forage production in 200 days equals 1000 lbs per acre/month this can be calculated as 700,000 lbs per growing season.

How many 1500 lb cows can be grazed on our land? 700,000 / 9000 = 78 cows

How many 1200 lb cows can be grazed on our land? 700,000 / 7200 = 97 cows.

The bottom line:

97 calves produced @ 500 lbs x $0.80 = $400 x 97 calves = $38,800¹

78 calves produced @ 600 lbs x $0.70 = $420 x 78 calves = $32,760²

¹ Understanding that these more moderate framed cows (breed dependent) wean lighter calves usually, but those calves bring more dollars per cwt (hundred weight). But we can run more of those cows on our available land base, therefore we make more money.

² Understanding that these larger framed cows (breed dependent) wean heavier calves usually, but those calves receive fewer dollars per cwt and we cannot run as many cows on our available land base, therefore we make less money.

This is an easy example of how breed selection can greatly affect the profit and loss equation and negates the idea that "I make more money with quantity pounds at weaning.

In the cow/calf business every stock-person must understand one very important thing relating to nutrition throughout the cows life-cycle. As soon as a cow has a calf her nutritional requirement begins to increase. This is helpful in determining calving time.

For instance, if you know, that between month two and three her nutritional requirement is the highest all year (peak milk production), you can better plan when you should be calving for your particular situation.

This is why many western producers begin calving in the spring when forage availability is high and wean their calves in the fall when their forages are finishing up for the year.

In the eastern US, where the winters are less severe, we can manipulate the calving season for either spring or fall. By planting winter annuals for temporary grazing (in October) we can begin calving in the fall. Cow's that have weaned their calves, by May, spend the hot summer months maintaining their body condition on permanent pasture and/or summer annuals to improve body condition that was lost during the previous 7 months.

After we have selected a breed or breeds to produce, the next step is to decide how we will market our calves: at weaning, as pre-conditioned stocker calves, or feed-lot ready.

The real question is; will keeping my cattle past weaning improve my bottom line- again this depends a lot on your selection of cattle you produce, e.g. early maturing / late maturing.

Early maturing cattle breeds tend to pack on the pounds earlier in life and finish at lower weights, while the later maturing breeds tend to grow well, but require a longer time to reach finishing weights.

1. At weaning, you have no expenses associated with your calves and it might be better to sell them immediately after weaning as it all depends on your goals and available resources.

2. Pre-conditioning your calves post-weaning has its' ups and downs and at times can be a frustrating process.

But can I get a better price for pre-conditioned calves ready for a stocker operation?

This depends on so many varying factors including the market prices and your ability to forecast the future.
Some stocker calves that enter the beef production chain go on some sort of grazing and those buyers want those calves completely over the stress of weaning and ready to gain, while other buyers want your calves feed-lot ready (started on feed) and at a specific weight before they purchase them.

I hope this introduction to "Raising Cattle for Profit" has facilitated the thought processes and helped you think about the many ways to improve your bottom line.

Author: Andrew H. Davis

Bio:

I started ranching at 20 and had to learn everything by doing and now after 30 years in the cattle business I have the opportunity to help others help themselves.

I do this is in several ways; as a ranch management consultant, with a ranch tour, publishing ebooks, offering a free newsletter and other free articles on my website.

The reason for publishing this site is to share my experiences in livestock production and management, thus providing "no nonsense" articles and e-books that limit the technical jargon and bring forth a greater understanding for all.

Cattle Farming For Beginners - 7 Tips and Ways to Boost Your Earnings in This Profitable Industry

By Tim R Smith

This article contains helpful tips about cattle farming for beginners. Farming cattle is a great way to boost your earnings. Just as long as you put into mind the following tips, you are in good hands.

* The quickest way to success is across the greenest pastures with cattle grazing them. These pastures make the most preferable soil upkeep crops.

* A way to bring back a farm that is worn out is by maintaining the amount of cattle which the accessible forages will permit. You should only raise the herd amount as the forage quality and quantity allow.

* Another tip on cattle farming for beginners is to plan the pastures. Begin with a soil map and examine the soils in order to find out the trace elements and materials which may be deficient. Apply enough fertilizer, other elements and minerals in order to acquire the wanted results and sow the pasture to the suitable forages for the climate and the kind of soil.

* Do not try to create pastures on meager land if there is not fertilizer such as potash, phosphate, nitrogen, and limestone because it will simply not pay off.

* Supervision is the key to keeping fine pastures fine. It will not pay to seed and fertilize pastures and not supervise it in order to benefit the most from your investment and hard work.

* A great tip on cattle farming for beginners is to develop knowledge and experience about cattle farming in the following ways: work with livestock on the farm of a fine cattle producer or on your own farm; contact the agricultural college's animal husbandry department in your state, your extension livestock expert, agricultural professor, club agent, and country agent; visit and state your issues with thriving beef producers in your region; read farm magazines, breed publications, and livestock journals; and, study and choose only what may be applied for your farm.

* The last tip about cattle farming for beginners is to get a mower. Mowing pays off in 3 ways: producing hay from the extra legumes and grasses; mowing what the livestock do not like keeps it gentle; and, eliminating brush and weeds.

Different Ways to Market Show Cattle Online

By Jamie Eklund

Are you tired of spending lots of time and money trying to sell your cattle online? Have you listed your cattle on websites that promise to give you as much online exposure as you can handle, only to disappoint you? Let's walk through some quick and easy, not to mention cheap (free), ways to advertise your cattle online.

1) Write informative blogs - There are a host of blog sites out there that focus on show cattle. Register with one of them and request the right to author your own blog. Most of these blog admins will gladly let you author blogs as long as they are informative and beneficial to the show cattle community. While you are writing your blog postings you can freely and easily put in links to your site and mention your site. This is an excellent way to advertise your cattle website because it gives your site links that will help with Search Engine Optimization and it will drive traffic to your site. Keep in mind that this technique takes some time but it is well worth the effort.

2) Become a part of a forum - There are a handful of show cattle forums out there as well. Register with that forum and become actively evolved with the conversations that are being had. This will not only benefit you and others from the useful information that will be discussed, but you can place a signature with your website information that can help you drive traffic to your site. Be careful not to "spam" these forums by just placing advertisements and not benefiting the conversations. This will land you on the "banned" list and your threads will be removed.

3) List individual cattle on a classifieds site - There are a few show cattle sites that offer a classified section. Register with these sites and list as many individual show calves as possible. There are some sites that are not as specific to show cattle that you can list on as well. They probably won't be too beneficial due to their generality.

As you can see there are a host of opportunities to list your cattle online for free, but some take some work. I promise that if you put in the work it will be well worth your efforts. Here is a small list of some of the suggested sites to begin your online cattle advertising experience:

The Role Of Animals In Organic Farming

By Phongphichan Sukhonthanit

Farm animals are an important an integrated part of most organic farms. They make valuable contributions to the productivity and sustainability of organic agricultural systems. In addition to this strong economic bond between humans and animals in organic farming, there also is a moral (and sometimes emotional) bond to animals as sentient and fellow beings on this planet. This imposes a responsibility on humans for the welfare of farm animals. However, the development of organic animal husbandry has been slower than the organic plant production. There are several reasons for this, historical and philosophical as well as the fact that research on animal production often is more expensive and difficult to carry out compared to crop research. However, organic animal research has increased considerably in several European countries lately and resulting from this, improved efficiency and productivity can be expected in organic animal production, as well as better animal welfare.

There is a big interest in organic farming in Europe, both among politicians, consumers and farmers. Organic agriculture is subsidized by the EU, and the Commission is currently working on an Action Plan for organic food and agriculture. Animals are an important part of most organic farms and research to develop better organic systems is now performed in many European countries. Thus we can expect organic animal production to increase during the years to come. At the same time there are challenges and dilemmas that the organic movement and organic farmers must face and solve to improve animal production and to maintain credibility and trust among consumers, for example in relation to animal welfare.

In organic farming, agriculture is often referred to as an agroecosystem. An agroecosystem is a community of plants and animal interaction with their physical and chemical environments that have been modified by people to produce feed, fibers and other products for human consumption and processing. The goal of organic farming is to design a quilt of agroecosystems within a landscape unit, each mimicking the structure and function of local, natural ecosystems, thus acquiring their resilience and sustainability. Ideally, the organic farmer manipulates the natural ecosystem to achieve sustainable production, using an understanding of ecological relationships while trying to minimize the use of external inputs and harm to the environment.

Although it is possible to create agroecosystems without farm animal, animal provide substantial advantages for system productivity and sustainability. For example, farm animal have an important role in processing biomass and recycling nutrients. Organic farming systems with herbivores are generally more productive than those without them. The animals can fill trophic niches that otherwise would not be utilized, for example marginal lands otherwise unsuitable for agriculture. However, in order to create sustainable agroecosystems, the animal component must meet certain requirements:-

1. The selection of species and breeds must be adapted to crop production suitable for the area, to available resources on the farm or in the region, and to local agro-climatic conditions.

2. The number of animals must be balanced in relation to the possible crop production and available resources.

3. Rearing systems must be designed to avoid harming the environment and to minimize the use of fossil energy.

Ruminants, such as cattle and sheep, have a particularly important role in agroecosystems since they process leguminous forage plants. These are the backbone of organic crop production because of their ability to fix atmospheric nitrogen. To obtain sufficient nitrogen in an organic crop rotation, about one-third of the crops should be legumes. In practice this means that organic animal production must be based on ruminants (and that these are fed like ruminants). In contrast, monogastric animal, such as pig and poultry, require high quality protein in their diets. These animals can be considered as competing with humans for food, at least to the extent they use protein sources suitable for direct human consumption. Thus, it is sometimes argued that monogastric animals should be considered marginal in organic farming, primarily to be fed on agricultural wastes. They also can contribute to the agroecosystem by producing useful services, such as biological weed or pest control.

Development approaches for organic animal production in developing countries has to be based on realistic and practical situations. First, one must recognize the limitation and complexities of export market for animal products, while there exists greater market opportunities for organic animal products locally, for instance indigenous chicken meat and eggs. Practical approaches for organic farming should be based on and developed from locally existing animal production systems which already have close resemblance to prescribed organic practices, such as those mentioned earlier for ruminant and indigenous chicken production. The local standards and guidelines for organic animal farming ought to be initially considered and developed from such existing animal husbandry practices. Further development of such standards will be a continuous process based on practical experiences gained from production, processing, and marketing of the resulted organic animal products.

The Success of the promotion of organic animal farming at national level will depend on many important factors including government policies and legislative supports, socio-economic infrastructure, farm training and extension as well as other technical supports.

Thursday, December 23, 2010

How to Build a Farm Pond

By Jan Barber

If you live in a suburban or rural area you may want to add a pond. Ponds can reduce your fire insurance fees, if pond is not too far from the house and increase your property value. And can provide water for livestock, as well as, a recreational, relaxing area for picnics, swimming and fishing.

In some regions there may be codes that have to be followed regarding pond construction. This should be investigated before making any plans. Once this has been accomplished it is time to begin. Picking the site is of utmost importance, if you want a pond that stays full of water. If there is a spring or springs that can be channeled for a steady water supply all the better. Care must be taken not to stop the flow from the spring in the process, often too much digging can interfere with it.

If you have owned your property for a period of time, you should be aware of the natural water courses
during heavy rains. This will help to determine the best site for your pond and its size. Larger ponds that can be kept filled by continual rain runoff are nearly maintenance free after construction. Pond sizes vary greatly, but while doing the initial investment of time and money , you are far better off going bigger rather than smaller. The deeper the pond, at least in some portion of it, twenty feet is good depth, the better.

Hiring a bulldozer operator who often builds ponds is a great advantage to the novice. Also friends or family with some expertise will make the project go more easily, with a more satisfactory outcome. Summer and early fall is the ideal time to clear the land and dig the pond to desired proportions.

Spillways or a center overflow pipe drain can be installed to desired water level when filled, all of which are done early on in the construction. You may want to dig a boat ramp type area for easy access to the pond and wide enough that you can later put in some sand at the edge for wading by the children. (A simple tip that really works-often your pond will seep water and decrease its water levels, so by getting ducks and or geese you can solve that drainage problem from the bottom of pond. The animal droppings act in the pond, just like stop leak in your radiator.) They will help keep snakes cleared away from the pond as an added benefit and look so peaceful floating along top of water. Snakes can be a hazard in southern states where there are poisonous water snakes. Products are available to help prevent unwanted visitors.

Fishing and Nigeria's 2020 Goals

By Peter O Osalor

The image is a strikingly ironic symbol of the state of Nigerian fishing in general. The country enjoys more than 850 km of coastline, besides an enviable number of well-stocked rivers, inland lakes, lagoons and creeks. The topography, soil composition and rainfall patterns in this portion of sub-Saharan Africa support an abundance of aquatic life across freshwater, brackish and saltwater ecosystems. However, tilapias, catfish, carp and other freshwater species make up 80% of all cultivation in Nigeria, with commercial maritime trawling and deep-sea fishing remaining relatively under-exploited operations. Though credible data on the sector is extremely limited, media reports indicate the fishing business contributed $60 million to the national economy in 2008, or roughly 4% of total agricultural output. The sector currently accounts for 40% of the country's total animal protein intake and offers employment and livelihood to more than 3 million people, although its contribution to the economy is minimal.

Estimated annual fish cultivation was pegged at 120,000 tonnes in the 1960s. The figure had halved by the beginning of the next decade and continues to fall; current domestic production hovering around just 400,000 tonnes. The sudden change in fortune came about with the oil boom of the 1970s, when the discovery of vast oil and natural gas reserves radically altered official priorities. Economic diversification was stalled as Abuja kept pumping back millions in oil profits into further exploration, to the neglect of all other sectors. Endemic poverty descended over large parts of rural Nigeria as traditional livelihoods began to wither away. The absence of inclusive growth flared ethnic tensions and provoked decades of civil war and recurring military takeovers towards the end of the last century. Despite its considerable foreign exchange earnings, human development indicators plummeted across the board as the Nigerian economy grew increasingly oil-dependent and unsustainable.

National ambitions were renewed with the reinstatement of civilian rule in 1999, when Abuja embarked on an extensive programme of economic reform and restructuring. The government under former president O Obsanjo adopted a comprehensive roadmap premised on the objective of making Nigeria a significant player in regional and global affairs. Specifically, Obsanjo's Vision 2020 document mandates sector-wide initiatives to propel Nigeria into the top 20 global economies in a time-bound manner. The present dispensation under President UM Yar'Adua remains committed not just to achieving the 2020 objective, but also the UN Millennial Development goals of universal basic human rights.

It is in this connection that the fishing sector presents unique opportunities as both a poverty alleviation strategy and a tool for rapid entrepreneurial growth. Present levels of fish cultivation satisfy only a fraction of local requirement, with exports having to fill in for almost 95% of annual demand. Nigeria is in fact the top importer of fish in the African continent, sourcing more than 1.5 million tonnes of fish annually from international markets. Unofficial estimates suggest less than 10% of the country's fish farming potential is currently being utilised, with as much as 60,000 hectares of unused land available for expanding the sector. The fact remains that Nigeria's vast natural resources and human capital can be leveraged to promote extensive fishing as a means of ensuring not only exports but also food security. In principle at least, the Nigerian fishing industry has a lot to look forward to.

Because of its extensive coastline and tropical climate, Nigeria has the potential to develop a diversified ecology for a range of commercially viable varieties of fish. The economic appeal behind fishing is tremendous, considering the secondary and tertiary enterprises it can generate. More efficient methods of inland cultivation and coastal trolling, executed in an export-oriented environment, can spur rapid growth of down-the-line industries. Fishing, by itself, has the potential of driving considerable enterprise development, transforming rural economies and generating direct and indirect employment opportunities in the process. Abuja's primary responsibility lies in providing opportunities for export of fish and fish products to international markets. Although viable data on the subject is lacking, the aggregate economic loss due to reduced local fish production is significant and needs focused policy initiatives to correct.

The enterprise potential of this sector is made doubly significant by the nature of the business. Fishing relies heavily on small and middle scale ancillary industries like canning, net-making and boat building, while supporting an additional base of activities in storage, processing and marketing. The net scope for employment generation, business development and poverty eradication through these allied activities make fishing deeply relevant to Nigeria's quest for inclusive economic growth.

Here are some of the most pressing arguments in favour of a rapid expansion of fishing activities:

I.    Aquaculture provides opportunities for optimal land use, allowing areas unsuitable for crops to be developed into economically productive ponds and fisheries.
II.    Focussed expansion of artisanal and small-scale fishing can help turn around rural economies rapidly by generating jobs and sparking enterpreneruial activity.
III.    In development-deprived areas and among rural communities, sustainable fish farming can help improve both nutritional and living standards.
IV.    Nigeria's highly diversified tropical ecology makes fishing in brackish and fresh waters almost a zero opportunity-cost endeavour with infinite growth potential.

Early in 2008, the fishing industry in the coastal Nigerian state of Akwa Ibom was paralysed in a wave of extortion and boat capture unleashed by sea-borne pirates. The attacks forced trawlers to go on an indefinite strike, bringing the local economy to a standstill and causing terrible loss of revenue to the regional council. While this particular situation was eventually resolved, security remains just one of several momentous challenges restraining the expansion of Nigerian fishing:

o    The absence of a sustainable and progressive fisheries policy represents a fundamental hurdle, with lax government regulation routinely forcing small-scale operations out of business.
o    Population expansion in coastal areas is giving rise to over-fishing and unscientific practices, destroying marine ecosystems and threatening underwater environments.
o    Organised fishing attracts high capital expenditure in Nigeria as most of the necessary equipment, boats, feed, technology and know-how has to be imported.
o    Infrastructure deficits severely hamper the storage, transport and marketing of fish in rural areas, making profitable urban markets unavailable to traditional fishing communities.
o    Despite specific government efforts, commercial deep-sea fishing is out of reach for local entrepreneurs; the activity remains limited to the purview of foreign-owned companies.

Although the sector continues to receive sporadic government nudging and funding, the impact of these measures has been considerably restricted thus far due to lack of insight and effective implementation. Special schemes to promote fishing in target communities have also failed because of a low awareness about profitability in the business. Turning around this mindset could well prove to be one of the deciding challenges facing the Nigerian fishing industry. The nation's history and unique circumstances will undoubtedly test its resolve to achieve formidable goals. Hopefully, the fervour of the Argungu fishermen and their quest for the biggest fish will provide some creative inspiration.

Farm Investment in New Zealand

By Mark H Holland

New Zealand is unique among developed countries as being reliant on the majority of its export earnings coming from agriculture, horticulture, forestry and fishing. While some countries have a significant mining and manufacturing base, New Zealand's wealth comes from grass, trees, soil and water. With such elements at hand, it's easy to see why farm investment is so popular.

New Zealand's farming industry is diverse, most of which fall into one of three categories - grain, produce and livestock. When the word 'farm' is mentioned most people think sheep and cows, however this isn't the only form of farming in NZ.
There are a number of other industries that also fall under the 'farming' category. Orchards and vineyards are another good farm investment option, especially in the sub-tropical regions of New Zealand like Nelson, Hawkes Bay and the Bay of Plenty. Kiwifruit, Avocado and wine are major export products that contribute to the NZ economy.

Investing in a dairy farm is hugely popular and generally financially rewarding. The dairy industry accounts for around a quarter of the export industry. Unlike sheep which are mainly grown for their lamb and wool, dairy cows are the real bread winners of the farming industry. They produce milk, a lot of which is used to produce consumer products like butter and cheese as well as a variety of food ingredients and nutritional products.

Farms can range in size from a few acres to several thousand hectares. Generally, the bigger the farm, the more livestock or crop you'll have. Farms in NZ are either owned by an individual, community, family, company or corporation.

A farm is considered a popular investment choice in New Zealand. They appeal to people for a number of reasons. You might have an interest in sustainable farming, rearing a specific breed of stock, growing a niche agricultural product or you may just want to get away from the noise and pollution and into a more peaceful and simpler surrounding.

A farm investment can be quite attractive in areas that are close to town or the city, or if your investment is managed for you location is not so important. It's a great environment to bring up kids and own animals such as pigs, sheep and chickens. You also benefit from greater privacy and more relaxation, yet you still have accessibility to urban society. Many New Zealanders consider this way of living as the ultimate lifestyle.

Different Types Of Farms

By Alice M Shown

Although farming was quite popular a few decades ago amongst the various cultures, it is not so prevalent in recent times. In Texas cities like Dalhart, it is often seen a number of farms on sale advertised on the internet or the newspaper. If you are planning to buy a farm then it is very important to know the different types of farms.

When we talk about farms the first thing that comes in our minds is animal breeding. However, there are other kinds of farms where agricultural activities and fishing are also carried out. Let us take a look at the different kinds of farms:

* Agriculture: These are mostly commercial farms found in many countries and they mainly focus on crop production. Decades ago agricultural activities were carried out in small scales by families especially to provide income to owners of the farm and also to provide food for the family. In these types of farming the primary focus are on cash crops like corn and soybeans. However, in recent times they have also started growing fruits and vegetables too.

* Fish: In fish farms different kinds of fish are raised, keeping in mind the type of market they are to be supplied to. For those who operate in small scales their main focus is supplying fresh fish to local markets and restaurants. On the other hand, fishing businesses which focus on global markets raise fishes like grouper and tilapia.

* Livestock: In this type of farming business the animals are raised to be slaughtered and their meat supplied to the market. In some big sized farms the meat is even processed and then packed properly to be delivered to supermarkets. These types of farms are better known as ranches and the owners are called ranchers and not farmers. Usually animals like cows and hogs are raised in livestock farms.

* Poultry: Chickens are mainly grown in these types of farms. Mass production of chickens is raised to be sold at restaurants or large fast food centers or supermarkets. Since these fowls are meant to be packed and sold to markets these chickens are fed with food of natural ingredients only.

Monday, December 20, 2010

Agricultural Commodity Prices Are Rising - Land in the Farm Belt Becoming More Valuable

By Lance Winslow

Most everyone believes that real estate is dead, but is it really - not everywhere say analysts - after all there is a need for raw land, especially for farming and agricultural use. Anywhere where there is adequate irrigation and water supply in the greenbelt areas in the United States we will find rather solid land prices. No, not the same as in the city where skyscrapers are built, but in states like Kansas, Nebraska, Missouri, Colorado, Wyoming, and the fertile plains of California for instance.

Still, if an area gets significant rainfall, and is not irrigated, it is good for growing certain types of crops. Therefore it also is slightly moving up in value. In fact it's moved up in value by 6.5% in the last year. Consider if you will the drastic increases in crop commodities around the world. When there is a better return on investment in agricultural farming, the land becomes more valuable, and therefore is rebounding despite the recession and the cost of real estate in other states.

A very interesting article on this was in the Wall Street Journal recently published on November 23, 2010 and it was titled; "Land Becomes Cash Crop in Farm Belt," by Lauren Etter and Scott Kelman. The charts and graphs which accompany this article don't lie, they tell the true reality of farmland in many places in the United States. Likewise, another recent article suggested that similar things are happening in China.

It is my contention, and the thoughts here at our think tank which operates online, that these trends will continue, not only here but also in China, and that anytime there is a problem anywhere in the world with regards to wildfires, droughts, flooding, or serious typhoons and hurricanes, that the top of the supply curve will be reduced, and increasing the demand for such agricultural products, thus raising the price of the commodity and the farm land too.

Although, this shouldn't surprise anyone and it's basically economics 101, and it should be considered when looking at the overall numbers of raw land and real estate prices in the United States. Perhaps things aren't as bad as they seem, and it would appear that the free-market is helping the rebounding of real estate in the heartland. If you have other similar views, or would like to debate these points of contention, then I suggest you please e-mail me. Also I believe you should please consider this and think on it at your earliest convenience.

Additional Reference:

1.-Wall Street Journal article front page, "Farm Belt Bounces Back," by Scott Kilman, October 12, 2010.

Lance Winslow is the Founder of the Online Think Tank, a diverse group of achievers, experts, innovators, entrepreneurs, thinkers, futurists, academics, dreamers, leaders, and general all around brilliant minds. Lance Winslow hopes you've enjoyed today's discussion and topic. http://www.WorldThinkTank.net - Have an important subject to discuss, contact Lance Winslow.

Agricultural Store

By Wesley C Clarke

Agricultural Stores are specialists in the supply of Agricultural products and equipment. Agriculture is widely used and is a growing market. Mainly farming based you will find a lot of equipment like tractors available along with bigger more expensive machinery.


It is not just machinery you will find; seeds, chemicals and all manner of farm related items are available. These shops are widespread but not found so much ion town centres; you are usually situated out of the way in country sides and farming villages.


Agricultural Stores has more than one meaning though, the other being Storage. Apart from being used as a term to describe a specific shop, it is also a term used to describe the storage of Agricultural Machinery. Farmers do not always have the space to store their larger machinery like combine harvesters and tractors. This is when the stores come in to place, at a price the farmer may rent storage room in which he can store all of his equipment and machines. The stores are also very secure and safe, nobody except yourself will be aloud access (unless you state other people as exceptions). These stores are often even used when the farmer does has room for his machinery but simply does not feel it is safe enough to be left outside.


The only inconvenience of the stores can be its location in relation to you, shipping containers are a way around this, they are mobile and can be set up at your desired location, working in the same way they are secure and allow you lots of storage space.

Agricultural Equipment - A Proper Method To Maintain Your Equipment And Infrastructure

By Fikri Radiyan

Many people who are just starting to jump into the agriculture business don't really put much attention on the cleanliness factor of the entire equipment and infrastructure they are using. Most of them only care about the financial situation of their business and seems like to ignore anything else as long as they keep making profit. In this article, I will show you why it is important to clean all the equipment and infrastructure that you're going to use. Next, some rental advantages for cleaning equipment will be explained. Finally, the possibility of using infrared thermal imaging will be briefly introduced. After you've gained some information from this short article, you are expected to put more emphasis on how to correctly clean your agriculture equipment and infrastructure.

First, let's discuss why it's very important to wash your agricultural industry tools frequently. Grain dust is the dust produced during harvesting, drying, handling, storage or processing of cereal crops and it is one of the main reasons for this. You need to clean it periodically because not only it can cause asthma if inhaled but it is also highly explosive and considered fire hazard. The other reason is because equipment such as combine harvester requires a steady maintenance to operate properly. When you clean heavy equipment like a combine, your cleaning process should include all of its basic parts like the cab, gauges, control panel, seat and windows. You should also try to protect the paint and inhibit rust of all your equipment which coated with metal material. You can do this by applying polymer wax on a regular basis.

Next, let's talk about several advantages of renting over owning agricultural equipment. The obvious reason is you can gain financial benefits by renting equipment especially in uncertain economic times which happen quite often lately. The renting cost is definitely much lower than the cost of buying them and you also won't have to worry when you no longer need them. In fact because of its low cost, more often than not the actual renting cost can be considered as a day-to-day maintenance expenses. Since you spend a few amount of money for renting purposes, you can now focus more on training your own staff at the factory to improve their productivity and to educate them on how to operate new machinery. By doing this, you also eliminate the need to hire expert crews for handling delicate equipment.

Finally, let's consider about the possibility of using infrared thermal imaging to maintain the condition of your infrastructure such as tanks and silos. Instrumentation which usually used for locating levels in tanks and silos is often unreliable. You can't really tell whether any waste materials have been properly cleaned or not. That's why by using infrared thermal imaging you can detect the presence of certain materials, because all materials whether they're solids, liquids, or gases have different thermal characteristics. This tool will also provide and verify information about the condition inside the silo, which in turn can be used to make the right decision on how to properly clean and maintain the silo infrastructure.

Maintaining agricultural equipment and infrastructure is no easy task to accomplish. Sometimes it can be quite expensive, and that's the reason why you don't necessarily need to own any equipment if you have the option to rent it. Using infrared thermal imaging can be very effective if you have tanks and/or silos to maintain. With this infrared tool you can have information about their condition and determine a correct method to properly maintain and clean them.

Agricultural Equipment Finance

By James K. Kapoor

Agriculture in India has a long history. Even today, the industry represents the largest economic sector in India, employing close to half of the total workforce. As the demands of an enormous and growing population continue to push farming output, Indian banks are providing greater and more varied financial assistance to the country's farmers.

The agreement between tractor manufacturers and banks has offered Indian farmers new opportunities for agricultural finance, while further driving the country's significant agricultural sector. With tractors representing the unchanging foundation of the farming industry, this equipment is a key focus for banks. The Indian tractor market is among the largest in the world.

To access agricultural equipment finance, farmers first contact a dealer with tractors for sale, or approach a bank branch directly. There is an emerging network of suitable bank branches in rural and semi-urban India. Most leading banks have developed tractor loans with a careful understanding of rural India. The consideration of these different and varied needs has resulted in a fairly straightforward application process, involving reduced documentation and processing time. Farmers can access finance for tractors of different makes and brands, and with some banks it is even possible to apply online.

As with all loans, eligibility is dependent on the borrower's credit history and their individual requirements. For this type of finance, the applicant must be a salaried individual, and an agriculturalist. Loan amounts also vary, depending on the specific vehicle. Banks fund 90% of the equipment cost, and many times this is extended to 100%.

Farmers are sometimes given lower interest rates, as a further impetus for the agricultural industry. Depending on the details of the loan, flexible payment plans are established, from monthly to quarterly and half-yearly.

Agriculture and Farm Innovations


Farming and farm machinery have continued to evolve. The threshing machine has given way to the combine, usually a self-propelled unit that either picks up windrowed grain or cuts and threshes it in one step. The grain binder has been replaced by the swather which cuts the grain and lays it on the ground in windrows, allowing it to dry before being harvested by a combine. Plows are not used nearly as extensively as before, due in large part to the popularity of minimum tillage to reduce soil erosion and conserve moisture. The disk harrow today is more often used after harvesting to cut up the grain stubble left in the field. Although seed drills are still used, the air seeder is becoming more popular with farmers. Today's farm machinery allows farmers to cultivate many more acres of land than the machines of yesterday.

Buy Agricultural Land

By Razvik Schwadev

Agricultural land can be bought in Gujarat after fulfilling certain requirements. These include: The annual average income of the person including agricultural income should be less than Rs. 2Lakhs. The person must have had an agricultural land in his name before the year 1974. The person should be an agriculturist or an agricultural worker by profession.As per Section 79A of the Land Reforms Act 1961, the non-agricultural income of a purchaser who must be an agriculturist should not exceed Rs. 2 Lakhs per year. Sale of land granted to members of scheduled caste and tribe is not allowed.

Also, sale of land granted by the government is not allowed for a period of 15 years. Agricultural land can be used only for agricultural purposes and no other purpose. Utilizing agricultural land for any other purpose is prohibited by law. Agricultural land, which does not come under the Green Belt, can be converted for non-agricultural purposes like residential, commercial, industrial etc. subject to the approval of the Special Deputy Commissioner on payment of the prescribed fees and subject to certain conditions.To purchase agricultural lands, these documents need to be produced:


Form No 1 - Vendor's Pani, mutation Purchaser's pani Survey map of the land to be sold, certified by the Survey Department. Survey number means a portion of land, the area and assessment of which are separately entered under an indicative number in land records. Sub-division of survey number means a portion of survey number, the area and assessment of which are separately entered in land records under an indicative number subordinate to the survey number, of which it is a portion. This is also called 'hissa number'. Survey mark means any mark or object employed to indicate the boundaries of the property.
  Affidavits - No objection certificate from the Tahsildar
  Government permission in specified cases (like purchase of agricultural lands by people other than agriculturists and agricultural workers).
  J Form - RTC, i.e. record of right, tenancy and inspection of crops. This is a primary record issued by the village accountant. It contains the details of survey number, total extend of the land, names of the owners and their extent of holding, persons in possession, details of crops grown, and land revenue for any particular period. It also contains the details of conversion of land from agricultural to non-agricultural.
  Mutation extract: This is an extract from the mutation register maintained by the village accountant. It records the transfer of land and the mode of such transfer, recommendations of the enquiry officer for such transfer, and date of entry of transfer in the record of rights.
  Tippani: this document is issued by the Survey Department. A tippani shows a sketch of the land as on the records of the Survey Department.
  Akarband: this document is also issued by the Survey Department. It establishes the survey number and to whom the particular survey number was originally allotted and the land revenue assessment details.
  Section 79 A&B endorsements: These are issued by the Tahsildar. These endorsements certify that there are no cases against the person owning the agricultural land, and whether he is an agriculturist or not, conforming to the prescriptions.
  Form No 7 endorsement: This is also issued by the Tahsildar. This endorsement certifies that there are no tenancy cases pending in respect of the property in question, as per the Karnataka Land Reforms Act 1961.
  Saguvali Chit: The Saguvali Chit is also called the certificate of grant. This is issued on Form No VII in case of grant of government land to eligible persons for cultivation. This establishes the title of the person named in Saguvali Chit to the land granted. A sketch of the land granted will be annexed to the Saguvali Chit. The grant of the land is subject to the conditions detailed in the Saguvali Chit.
  Patta Book: This is a record given to a holder of agricultural land and includes tenants if he is primarily liable to pay land revenue. It contains a copy of the record of rights to the land. The book also contains information regarding the payment of land revenue and other government dues, and information of cultivation.


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Tips To Invest In Agricultural Real Estate

By lice M Shown

Since agriculture is a booming industry people have started investing on agricultural real estate in a high scale. However, before purchasing such real estate it is important to get answers to a few vital questions, like 1) Is the area actually a farmland? 2) What should be your future goal - sell the plot or develop? 3) Is the plot which you like ideal for you to fulfill your future plans?

If you are wondering how to decide whether the investment would a profitable one or not, here are some tips that will help you in coming to a conclusion whether or not to buy the land:

* Determine if the plot is actually a farm: Farmlands are large areas of land which are used to grow plants, food, orchards or timber. These lands are also classified as pastures for animals to graze in and to produce forage. Simply passing off a large field as a farm will not work. It needs to have all the necessary features and requirements of farms. Without verifying this important fact, it can result in a heavy loss for you in the agricultural real estate business.

* Wait and watch or sell it off: Whether you want to wait till the price of the property increases or whether you want to sell it off immediately depends on a lot of factors. Although the idea, that the price of the plot may increase after 20 years may sound great, it is also important to consider the fact that very few people may actually want the land after 20 years.

* Do you want to give it on rent?: Nobody would dislike the idea of making some money while keeping the ownership of the land. You may rent it out for a set amount every month or year. On the other hand, you may keep the crop rights and split the profits between the farmer and yourself. Depending on the market condition, both have their profits. If you are planning to give property tax for some years then an annual farm-lease won't be a bad idea.

The Best Agricultural Investment of 2010?

By David D Garner

Agricultural investment has outperformed traditional asset classes such as stocks, bonds and cash for some time, a fact backed by the sound fundamentals backing agricultural investments.

The world population is growing, with most experts predicting a growth of 40% by 2050, and a correlated growth in demand for food of at least 50%. This, combined with the diminishing supply of agricultural land is pushing up the value of agricultural land at an annual average of more than 18% over the last three years.

Here's an interesting fundamental fact driving agricultural investments: The current commitments to biofuel use from the USA, EU, Japan, China, Canada, and India, would use up around 440 million acres, that's all of the agricultural land in North America and 11% of the worlds farmland. This demand will continue to pressure output, and put agricultural land at a premium.

So, what could be considered the best agricultural investment? Well the options for investor are two-fold, firstly you could invest in one of the many agricultural funds available on the market, these agricultural funds offer the investor the opportunity to participate at lower levels and enjoy the lower risk element of spreading their investment over a vast portfolio of crops and locations.

The other option, and this is what I personally consider to be the best agricultural investment, involves a direct investment into agricultural land. This would be considered a low-risk asset (60% lower risk than other asset classes), as the human race will always need food, feed and fuel.

Investors choosing to buy up agricultural land now, will benefit not only from the growth in the value of the land itself, but also from the high yield earned from leasing the land to a farmer. So the best agricultural investment in 2010? direct investment, buying farmland, owning the asset, however you want to put it, those investors choosing to buy up farmland now will be well rewarded, very well rewarded indeed.