Jason
Well-known member
I just point out where you guys ask for better prices for producers. To achieve it in a free market economy would require either gov't legislation, or such a loss of producers to make the product scarce.
I say let the markets choose who lives and dies and you guys cry that is horrible. The other option is legislate prices and you say that isn't your choice either.
There are only 2 choices. If ag prices keep declining and costs keep rising there is a point where no one can keep producing. To absorb the costs outfits get bigger to try to capture efficiencies.
Some choose to blame Tyson and phony market power plays. Reality is a better choice because if you see what is coming you can take measures to cope and work with it.
Legislation to support ag or to limit corps engaging in legitimate business practices will fail. There is no proof Tyson/Cargill or other multinational corps have undue influence. They do exert some influence as does every consumer that buys beef. What is their incentive to break producers? They need cattle to sell beef.
At some point it is feasible to see that raising cattle will not be profitable no matter how efficient a producer is. At that point the remaining producers will have a choice. Go broke or change. That choice is facing many producers now. Consumers will face a choice at that point as well. Pay a higher price for beef or eat something else. We won't be able to force them to do one thing or the other.
Working to provide a more consistant product now that consumers will pay more for is the key to making producers more profitable. Whining about costs rising won't.
I say let the markets choose who lives and dies and you guys cry that is horrible. The other option is legislate prices and you say that isn't your choice either.
There are only 2 choices. If ag prices keep declining and costs keep rising there is a point where no one can keep producing. To absorb the costs outfits get bigger to try to capture efficiencies.
Some choose to blame Tyson and phony market power plays. Reality is a better choice because if you see what is coming you can take measures to cope and work with it.
Legislation to support ag or to limit corps engaging in legitimate business practices will fail. There is no proof Tyson/Cargill or other multinational corps have undue influence. They do exert some influence as does every consumer that buys beef. What is their incentive to break producers? They need cattle to sell beef.
At some point it is feasible to see that raising cattle will not be profitable no matter how efficient a producer is. At that point the remaining producers will have a choice. Go broke or change. That choice is facing many producers now. Consumers will face a choice at that point as well. Pay a higher price for beef or eat something else. We won't be able to force them to do one thing or the other.
Working to provide a more consistant product now that consumers will pay more for is the key to making producers more profitable. Whining about costs rising won't.