Welcome to the life of most self employed people. Not many are making a killing if looked at a per hour wage.
Farming is usually a cash poor, asset rich business. It just about always has been.
All businesses change over time. Many see their costs rise and the gross drop as the business their in matures. Farming is a very mature business so the margins are really low.
I think a big part of the dairy industry's falling prices has been partly caused by technology. Parlors and free stall barns have made it so the labor requirement per cow/hundred weight is falling. So the profit margin is falling with that.
I think the dairy industry is going to vertically integrate soon. You may own the cows and still get paid for the mile but you will be contracted to Walmart, Kroger, etc. to buy your milk. The end retailer will be buying your milk directly.
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Today's Featured Article - Talk of the Town: The Saga of Grandpa's Tractor - by The following saga is from the Tractor Talk Discussion Forum. Someone. The saga starts with the following message: Hey guys I have a decision to make. I know what you all will probably suggest and it will probably agree with me way down inside, but here it is. I have a picture blown up and framed in my "tractor room" of a Farmall M. It was my Grandpa's tractor, of which whom I never got to meet. He froze to death getting this tractor out of the barn to pull a truck out of the ditch before I was born. Anyway my dad and aunt had to sell it at the auction,
... [Read Article]
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