Illinois Family Farms, Stamp Farms, Boresen Farms, McMartin, and other of these large 50,000 acre farms seem to have grown too fast and started failing already when grain prices were high.
Their failures will be borne by us little guys, as CHS and other coops will short us on dividends to make up the 145 million owed, and as local suppliers have to charge more for fuel, seed, fertilizer, big iron to make up the losses they are getting.
It appears getting much beyond 10,000 acres becomes an ego move, and is not really sustainable or ecconomacly workable in the current Ag economy. Economy of scale helps until then, but much past that the errors and losing track of the small things in farming swamp these operations.
They seem to need to grow to keep the money flow, and end up growing at very high rental and lease costs that simpler do not work long term.
Bad deal.
For those interested, google the names I mentioned, there is a lot of farm land that is on the rocks across this country! Someone is going to have to make up those big losses. Only for sure thing is, it won't be them!
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