Thinking of Selling Your Farm?

Have you hit that moment where you think it's time to sell your farm?  The biggest question is how do I choose my broker.  You need to be sure that broker isn't a broker who only sells homes.  Look for someone who specializes in farmland real estate.  Here are seven things you need to think about when it comes to picking your farmland realtor.

1. Your broker should provide to you a market analysis before you list it.  Make sure he or she has done their research before signing onto the dotted line.  You don't want to rely on guessing or rumors going around.
2. Along with being familiar with private treaties, the traditional form of real estate, your broker should also be experienced in auctions.  Auctions are a very big part of agriculture sales and if your broker is unfamiliar with it you're doing your self a disservice.
3. Your broker should be able to identify your lands strengths and weaknesses.  And then be able to properly promote your lands strengths and minimize its weaknesses.
4. Your broker needs to be on the cutting edge of technology along with the traditional methods.  Just putting up a sign and hoping doesn't cut it.
5. Your broker should be able to effectively negotiate with not just local farmers but operations, another broker or attorney, or a group of investors.  It's important to have a veteran broker who's been in the trenches in numerous types of deals.
6. Your broker should be informed of farm tax issues associated with selling a farm.  The worst case scenario for a seller is getting stuck in a nasty situation with taxes.  Make sure your broker can help you navigate and avoid these issues.
7. You broker should be well versed in 1031 exchanges.  If done right, selling your farm with a broker experienced in 1031 exchanges can save you a large chunk of change.

Choosing a informed farm broker is vitally important.  Not only will he or she help you get the highest price for you land, they will also make it smooth and painless.

Who do I suggest you use.  I highly suggest you do your own research for your local area.  However, if you're in the Kansas City area, I highly suggest using the Farmers National KC Team.  They almost only do agriculture sales and are backed by the Farmers National Company out of Omaha, NE.  That allows them to advertise your property more widely and effectively than any other broker in the area.  You can check out their website, email them at info@farmersnationalkc.com or call them at 913-837-0760.

Crop Insurance Is A Good Investment

"We believe a lot of people are farming this year who wouldn't be without crop insurance," says Brandon Willis, administrator, USDA Risk Management Agency in a speech he gave to the Plains Cotton Growers annual meeting in Lubbock, TX.  It was covered by South West Farm Press.

Around 296 millions of acres in the US are covered by crop insurance.  It has saved many farmers from going under and many employees their jobs.

Farmers need to be aware of the new programs so they can sign up before later this year.  Farmers need to be educated on what works best for their area so they can choose the right plan for them.  Otherwise, there could be some problems.  As a matter of fact, the sign up date for Livestock producers started April 15th for disaster assistance.

In the fall, farmers need to update their production history and be ready for publications of farm program details.  By late fall they can choose between Price Loss Coverage (PLC) or Agriculture Risk Coverage (ARC).

In 2015 there will also be available a STAX program for Cotton growers and a Supplemental Coverage Option (SCO).

Beginning farmers, with less than five years in farming, can get benefits from a new program yield adjustments and a 10 percent reduction in premiums.  This will begin in 2015.

Any criticism of crop insurance is usually due to the lack of understanding how it works.  Most farmers are working today because of crop insurance.  And there are things in place to make sure farmers aren't taking advantage of it.  For example, the farmer must follow good farming practices and can't receive more than 85 percent of what they would have made without a disaster.  This makes sure farms break even and never make more than they would have normally.

It's good for consumers because it saves money.  It allows farmers to invest in new technology making them more efficient and productive.  Government likes it as well because it saves the tax payers dollars.

What Does Farmers National Company Do?

What is Farmers National Company?  Well, that's a hard thing to say.  Basically, if it has anything to do with land or minerals, Farmers National Company can help you out.  Want more info?  Just watch this video.



To find out even more go to Farmers National Company.

Wheat Damage Likely

The freezing temperatures we saw mid-April have led many to believe the Wheat crop may have been damaged.

According to an interview on South West Farm Press, Jeff Edwards from Oklahoma State Extension who is a wheat specialist said, "Most of Oklahoma spent at least four hours below freezing last night and some areas spent an extended period of time below 28 degrees.  While temperatures in the wheat canopy might have remained slightly higher than reported air temperatures, they were still probably low enough to result in significant injury to wheat."

The one thing that may save it all is that most farmers weren't able to plant til late this season..

Generally, when wheat is flowering, freeze damage can occur when temperatures are as high as 32 degrees and stay there for more than two hours or more says Clark Neely, AgriLife Extension small grains and oil seeds specialist in College Station Texas.

There is no way of telling what kind of damage the crop has suffered for another week or two.

Neely said, "It really depends upon the weather after the freeze.  If it becomes hot and dry, we'll see symptoms a lot sooner.  If it stays cool, it'll take a little bit longer for those symptoms to show up."

"Kansas wheat may be damaged as well," said Jim Shroyer, Kansas State Research and Extension crop production specialist.  "Wheat in the jointing stage is most at risk."

Interested in an Ag Job?

For years the Ag industry has lacked young workers.  Well, AgCareers.com is looking to fix that.  The agricultural industry is growing.  And as long as grain and livestock prices remain high, and there is no reason to believe that will change anytime soon, the industry will continue to grow.  With all this growth the Ag industry is beginning to hire.

Two years ago, the International Agri-Center launched a program to hire returning military veterans.  It's called the Ag Warriors program.  This program was designed to help soldiers, sailors, marines, airmen, and coast guard with employers in the ag business who needed experienced workers.

In the video below the CEO of AgCareers.com Eric Spell talks about the program and how it will be beneficial for both employers in the Ag industry and returning vets.  Just click on the link to see the video.

CEO Eric Spell

The Return of El Nino?

As most of you know, predicting the weather is about like throwing a dart at a board.  No one knows for sure what's going to happen.  However, it's Spring!  And us in the agriculture industry can't help but watch the sky's and the evening weather forecast.

Farmers are making the preparations.  In some places the seeds are already down and in Southern Texas, the sorghum is already knee high is some places.

Generally the forecasts are calling for a continued drought in the West and Southwest.  However, the National Weather Service, independent weather forecasters and university weather scientists are hinting at a change.  What is that change?  El Nino!  This could be very welcome news for the Southwest including an increased chance of rain in the mountains.

 Right now the National Weather Climate Prediction Center is calling for a 50-50 chance of an El Nino this year.  An El Nino is a fluctuation in the water temperatures of the tropical Pacific Ocean.  An El Nino means warmer water and an La Nina means colder water.

What Does This Mean For Farmers?

It all depends on the location of your farm or ranch, influences from water temps, wind and an ever-shifting tropical jet stream.  If there is no El Nino the Southwest could be looking at something reminiscent of the dust bowl.  However, even if El Nino is late developing that could mean a wet snowy winter which would lead into a great 2015.  

The National Oceanic and Atmospheric Administration has been noticing some positive changes in the water temperatures in the Pacific.

Nothing is written in stone.  So like most folks I'm suspicious of long range weather forecasts.  But anytime there is a possibility to help us get out of this drought then I'm all for it.  Is El Nino returning?  I sure hope so.

Avoid Being Nickled and Dimed

Treament

Treatment is cheap.  But treatment upon treatment upon treatment isn't.  For example, let's say you need to spray lime on to your farm.  Let's go ahead and assume that $5 per acre.  Not bad.  Now, a couple weeks later you need some boron.  That's $5 per acre.  Ok fine.  Still not bad.  But let's say every few weeks you need to apply something else.  Before you know it you've spent $50,000 dollars on applications.

Soil Health

How do you avoid this problem?  Improve your soil health.  The problem we face is that we may have highly productive soils but along the way the soil becomes degraded.  The goal should be to improve and maintain the soils health without having to spend all that money on applications.

No-Till

The key is to do almost no-till crops.  The reason the phrase almost no-till is used is because you would have to do some form of irrigation.  You would have to dig a trench so the water can go from the crown of the field to the lower end.

Cover Crops

Cover crops will helps your soil from drying up as well.  They will reduce the stress on your plants.  Best of all, it will help maintain more moisture from infrequent Summer rains.  The trick is to make Mother Nature to work for you.

For more information on this go to Delta Farm Press

22 Facts About Herbicide Resistant Weeds

In an article on Agriculture.com the break down 22 things you need to know about herbicide resistant weeds.  I thought I would give you the quick rundown of what they found for you.  You can read the article if you want to go into more depth.

1. Nothing New is Coming
     Have you seen those ads for the new herbicides?  Don't listen to them.  There is nothing new on the market right now and nothing in the foreseeable future.  Don't fall for that ploy.

2. You Can't Diversify Enough
     Just like a financial profile, you must use different herbicides.  This needs to be in every farmers head.  If all farmers diversify there herbicide use, the likely hood of herbicide resistant weeds should decrease dramatically.

3. Pre's Don't Always Get Applied
     Apply early.  While this may seem like a no brainier, it doesn't always happen.  It's usually not an intentional mistake.  Lots of times we wait til the right moment to apply.  Sometimes that doesn't happen and the farmer moves on with other things and never comes back to it.  Make sure and stick with it.  It's worth it in the long haul.

4. Preemergence Benefits Are Limited
     Just because you applied in April doesn't mean you've completely killed the weed.  Some weeds have numerous germination periods.  Some as late as June.  So don't count on early applications to get you through the year.

5. Fall Applications Don't Always Work
     Don't think because you applied in the Fall you can skip the Spring application.  While those south of I-80 should do Fall applications, don't think it's all you need to do.

6. You Can't Use Liberty Like Roundup
     The best way to use Liberty is wait til the weed is 4 inches tall.  The reason you may want to use Liberty is it's good at fighting herbicide resistant weeds.  However, if you use it like you would Round Up you won't see any improvements.

7. Weed Control Via Cover Crops is Mixed
     Cover crops can kill off all those winter weeds that have grown.  However, by the time a second round in the late season starts to grow, most of those cover crops are gone.  So don't count on them solely.

8. Weeds Have a Weakness
     You just have to figure out what weed you're dealing with and exploit it.

9. Your Combine is a Giant Planter
     In a highly infested field your combine could act as a spreader.  If you have an issue it may be best to mow the field before harvest.

10. You Can Bury Waterhemp Seed
     They don't emerge from soil depth of 6 to 8 inches.

11. Palmer Amaranth Should Be Feared
     This weed will become resistant to what you're using at some point.  When that happens you must spray them postemergence before they reach 4 inches in height.  If not, you'll have a big problem on your hands.

12. Pigweeds are Tough to Distinguish
     Waterhemp is a leggy plant with lots of space in between its leaves.  Palmer Amaranth has a much thicker cover like a canopy.

13. Pigweeds can be Coed
     This means they have both male and female plants.  And, unfortunately, the male plant can pass its resistance on in the pollen.

14. Pigweed Hybrids are too Common
     Think about it this way.  A crossbreeding cattle produces better producing and a stronger calf.  Pigweeds are no different.

15. It's Harder to Kill Late Emerging Waterhemp
     Waterhemp that germinates later in the year tends to be more waxy and harder to kill.

16. Waterhemp Has One Perk in Your Favor
     Waterhemp is not has competitive has Pigweed.  It won't hurt your yields nearly as much.

17. Overlapping Residuals Give Better Control
     Hit those weeds at preemergence and post emergence.  Yes it costs more but it will better help in your control of weeds.

18. Resistant Weeds Can Wreak Rental Havoc
     As a land owner you must get control of weeds.  If you don't, no farmer will want to work your field.

19. Waterhemp is the Weed to Beat in the Midwest
     Palmer Amaranth is mostly a Southern plant.  Although it can be found as far North as Michigan sometimes.  So for the most part, especially in Missouri, Waterhemp is the weed you'll be fighting.

20. Herbicide Rates Can Not Be Sliced.
     All this will do is give the weeds a chance to become resistant.  Don't do it.

21. You'll See More Crop Injury
     You have to know your field.  Understand its pH level and know what herbicides may carryover from the last year.  Knowing this will help you to know when to plant on which field.

22. You May Need to Cultivate
     No you won't have to cultivate your whole field.  You may not have to do it at all.  Just if you have an area with a high infestation.

What To Do With Uninsured Crops

The non-insured crop disaster assistance program (NAP) is a federally funded program that helps producers reduce their risk when growing foods and fiber crops, specialty crops and crops for livestock feed.  These benefits are only available for crops for which the catastrophic level of crop insurance is not available.  Application for coverage must be filed by the applicable crops application closing date.

Production levels for all crops must be reported to the FSA no later than the acreage reporting date for the crop the following year.  FSA requires any production reported in a loss year be verifiable according to Agency specifications.  NAP losses must be reported within 15 days of the loss became apparent.

All applications for NAP payment must be signed by the subsequent crop year's acreage reporting date in order to be considered timely.  There are no late file provisions for NAP applications for payment.

Contact your local FSA County Office for more information on the NAP program and for NAP application closing dates for specific crops.