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So the 4% of total number of farms accounts for 81% of value of all agricultural products?
by interactivecode 3y ago
So the 4% of total number of farms accounts for 81% of value of all agricultural products?
- burkaman 3y agoNo, there are also mid-size and large-scale family farms. Many of those are owned by corporations, but that corporation is owned by a single family so it counts as a family farm. "Small" is defined as gross income of $250,000 or less.
- bryanlarsen 3y agoA gross income of 250,000 isn't a small farm, it's a hobby farm. The average margin for farms is 15%, and smaller farms are worse than large farms. A $250,000 gross likely means a <$20K net, and you can't support a family on that in America even if you grow your own food. Worse than the small margin is the variability. A good year can have a 50% margin and a bad year a -25% one.
- xboxnolifes 3y agoWhere is the $230k going here?
- bryanlarsen 3y agoFuel, seed, fertilizer, herbicide, equipment maintenance, rent or interest, et cetera. Page down a couple pages on this PDF, and they have a great breakdown for each crop: https://www.saskatchewan.ca/business/agriculture-natural-resources-and-industry/agribusiness-farmers-and-ranchers/farm-business-management/crop-planning-guide-and-crop-planner https://www.saskatchewan.ca/business/agriculture-natural-res...
- xboxnolifes 3y agoDo those not fall under COGS and would have already been accounted for in gross income?
- itsdrewmiller 3y agoThe metric used here is "GCFI" which does not include expenses. The small farms are not primary occupations. Here is a more useful description: https://www.ers.usda.gov/topics/farm-economy/farm-structure-and-organization/farm-structure-and-contracting/ https://www.ers.usda.gov/topics/farm-economy/farm-structure-...