Any consumer that holds onto the belief that farmers are getting rich feeding America should know that this is a myth.
The figures listed are for the 2015 wheat growing season.
There are two numbers that you should be carefully comparing.
The ‘Average’ bushels per-acre harvested and the number of bushels per-acre to reach the break even price.
* USDA Said “A December 2015 price range of $4.80-$5.20 /bu was forecast with a midpoint of $5.00 /bu, the lowest level since $4.87 /bu in 2009.
* USDA U.S. Wheat Forecast for 2016/17: Projected yields of 45.9 bu/acre. U.S. wheat prices are projected to be $4.40 /bu – down from $5.00 /bu in 2015/16.
Next time one of your friends whine about the cost of flour or bread, remind them flour and bread cost Is Not Caused By The American Farmer.
They should turn their anger and questions to Mega companies like General Mills, Proctor and Gamble, Gold Metal, Pillsbury, Target and Walmart stores.
|Table. 1. Cost of production, estimated price, and break-even points for crops grown in southwest Nebraska and the Panhandle. (Source: For left four columns is UNL Crop Production Budgets)|
|Budget||Cost per Acre||Yield||Break-even Price/Unit||Estimated Price||Break-even Yield (bu)|
|Wheat, No-Till after Row Crop||$283.47||45 bu||$6.30||$5.502||51.52|
|Wheat, No-Till before Corn, 2 Crops in 3 years||$352.27||60 bu||$5.87||$5.502||64.03|
|Wheat, No-Till Fallow, 1 Crop in 2 Years||$288.83||55 bu||$5.25||$5.522||52.31|
|Wheat, Stubble Mulch Fallow, 1 Crop in 2 Years||$300.28||50 bu||$6.01||$5.522||54.38|
|Wheat, Clean Till Fallow, 1 Crop in 2 Years||$287.73||45 bu||$6.39||$5.522||52.11|
|Wheat, No-Till after Beans, Pivot Irrigated||$508.19||90 bu||$5.65||$5.732||88.66|