IN THE TRENCHES: Shrinking farmland gives reason for pause
IN THE TRENCHES: Shrinking farmland gives reason for pause
Farmers have been the backbone of America for a very long time. In fact, archaeologists determined that agriculture first took place around 7,000 B.C.
In 1790, the total U.S. population was 3,929,214 and farmers made up 90 percent of the labor force. Two hundred years later, in 1990, the population stood at 246,081,000, and farmers comprised just 2.6 percent of the work force.
A few months ago, I was driving on a country road just off a main interstate highway on my way to visit a client in California. While driving along the road, I spotted a huge real estate sign in a field that read, "Coming Soon 2,000 Acre Home Site." Slowing down a bit, I noticed it was a deserted farm with the traditional barn and old, rusted equipment. I surmised that the farmer closed up shop, sold the property and moved away.
Do you work near a newly developed area? If so, at what fast-food restaurant do you have lunch? On what road do you drive to get there? Is there a gas station, supermarket, drug store or bank along the way? Do you pass a new residential area or an industrial park? Do you remember the cabbage farm that used to be on that land?
The land that we are now occupying was probably once farmed by some very hard-working people. These farms were handed down through many generations. Perhaps you may even have known the owners of some of these farms at one time. In many parts of the country, farmlands are being sought after by commercial real estate developers, who are offering substantial prices per acre for the property. These tempting offers are quite difficult for many farmers to turn down.
Derrell Kelso Sr., director of marketing for Onions Etc. in Stockton, CA, who knows many farmers and is very knowledgeable about the farming industry, told me, I could remember a hard-working farmer who had 6,000 acres and lost every bit of it. The cost of operations was just too high. There are a lot of elderly farmers whose children do not want to take over and are selling off the property to housing developers.
Joe Cavalier Jr. of Cavalier-Gulling-Wilson Co., a wholesaler that handles a large amount of locally grown produce at the Northern Ohio Food Terminal in Cleveland, said, If you were a fourth- or fifth-generation farmer, you would have to do what is best for your family. Some may choose to sell their property and move on. It's a very tough decision for many to make.
According to data from the U.S. Department of Agriculture, the value of U.S. farmland has increased more than 200 percent during the past 20 years. U.S. farmland is being lost to development every day. The big rise in land cost has revolutionized the countryside.
Farming profits continue to drop year after year with many operations either barely breaking even or experiencing substantial losses. A great number of farmers feel its not worth the risk anymore, and the younger generation has a different attitude. Children of farmers rarely follow in the family footsteps these days, and fewer younger people have a desire to get into farming at all. Instead, they would rather choose to turn a college education into a totally different career and lifestyle that consists of rational hours with a much higher and steadier income.
Many farms depend on federal subsidies to offset some of the losses experienced from low-market situations. In most cases, those subsidies may not nearly be enough to help a full-time operation. This has forced many farmers to turn to off-land jobs in order to financially support their business. Ninety-six percent of total income and all job growth in rural America are now obtained from sources other than farming. Small family farms today earn 85-95 percent of their total income off the farm.
But not every single farmer is selling off his or her property just yet. There are those who find ways to keep the business running. Many of them are even steadily keeping up with the trends and creating a niche such as promoting locally grown produce.
Cynthia Haskins, a Springfield, MO-based marketing consultant for the produce industry, feels that locally grown produce is a very promising program for family farmers.
Buying locally grown produce is getting very popular, she said. Many farmers are selling their produce to local retailers. Some are even choosing to sell at the many farm markets cropping up in various areas. The locally grown produce scene is a quiet lion ready to roar. Farmers are becoming more knowledgeable in sorting and grading their product to meet retailers needs and standards. One retailer here in our area is a good supporter of locally grown produce. It posted a sign in the store that states '24 hours from the farm to the stores.
People are enjoying longer and healthier lives today. Having all the many different nutritious fruits and vegetables made available to us is one of the major reasons. For that, we should be grateful to American farmers.
(Ron Pelger is the owner of RONPROCON, a consulting firm for the produce industry. He can be reached by phone at 775/853-7056, by e-mail at [email protected], or check his web site at www.power-produce.com.)
In 1790, the total U.S. population was 3,929,214 and farmers made up 90 percent of the labor force. Two hundred years later, in 1990, the population stood at 246,081,000, and farmers comprised just 2.6 percent of the work force.
A few months ago, I was driving on a country road just off a main interstate highway on my way to visit a client in California. While driving along the road, I spotted a huge real estate sign in a field that read, "Coming Soon 2,000 Acre Home Site." Slowing down a bit, I noticed it was a deserted farm with the traditional barn and old, rusted equipment. I surmised that the farmer closed up shop, sold the property and moved away.
Do you work near a newly developed area? If so, at what fast-food restaurant do you have lunch? On what road do you drive to get there? Is there a gas station, supermarket, drug store or bank along the way? Do you pass a new residential area or an industrial park? Do you remember the cabbage farm that used to be on that land?
The land that we are now occupying was probably once farmed by some very hard-working people. These farms were handed down through many generations. Perhaps you may even have known the owners of some of these farms at one time. In many parts of the country, farmlands are being sought after by commercial real estate developers, who are offering substantial prices per acre for the property. These tempting offers are quite difficult for many farmers to turn down.
Derrell Kelso Sr., director of marketing for Onions Etc. in Stockton, CA, who knows many farmers and is very knowledgeable about the farming industry, told me, I could remember a hard-working farmer who had 6,000 acres and lost every bit of it. The cost of operations was just too high. There are a lot of elderly farmers whose children do not want to take over and are selling off the property to housing developers.
Joe Cavalier Jr. of Cavalier-Gulling-Wilson Co., a wholesaler that handles a large amount of locally grown produce at the Northern Ohio Food Terminal in Cleveland, said, If you were a fourth- or fifth-generation farmer, you would have to do what is best for your family. Some may choose to sell their property and move on. It's a very tough decision for many to make.
According to data from the U.S. Department of Agriculture, the value of U.S. farmland has increased more than 200 percent during the past 20 years. U.S. farmland is being lost to development every day. The big rise in land cost has revolutionized the countryside.
Farming profits continue to drop year after year with many operations either barely breaking even or experiencing substantial losses. A great number of farmers feel its not worth the risk anymore, and the younger generation has a different attitude. Children of farmers rarely follow in the family footsteps these days, and fewer younger people have a desire to get into farming at all. Instead, they would rather choose to turn a college education into a totally different career and lifestyle that consists of rational hours with a much higher and steadier income.
Many farms depend on federal subsidies to offset some of the losses experienced from low-market situations. In most cases, those subsidies may not nearly be enough to help a full-time operation. This has forced many farmers to turn to off-land jobs in order to financially support their business. Ninety-six percent of total income and all job growth in rural America are now obtained from sources other than farming. Small family farms today earn 85-95 percent of their total income off the farm.
But not every single farmer is selling off his or her property just yet. There are those who find ways to keep the business running. Many of them are even steadily keeping up with the trends and creating a niche such as promoting locally grown produce.
Cynthia Haskins, a Springfield, MO-based marketing consultant for the produce industry, feels that locally grown produce is a very promising program for family farmers.
Buying locally grown produce is getting very popular, she said. Many farmers are selling their produce to local retailers. Some are even choosing to sell at the many farm markets cropping up in various areas. The locally grown produce scene is a quiet lion ready to roar. Farmers are becoming more knowledgeable in sorting and grading their product to meet retailers needs and standards. One retailer here in our area is a good supporter of locally grown produce. It posted a sign in the store that states '24 hours from the farm to the stores.
People are enjoying longer and healthier lives today. Having all the many different nutritious fruits and vegetables made available to us is one of the major reasons. For that, we should be grateful to American farmers.
(Ron Pelger is the owner of RONPROCON, a consulting firm for the produce industry. He can be reached by phone at 775/853-7056, by e-mail at [email protected], or check his web site at www.power-produce.com.)
