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> When Reed began farming in 2005, he paid $120,000 for his first new tractor, but fast-forward to 2020, and the equivalent tractor’s price tag now reads a heft
by aatharuv 6y ago
> When Reed began farming in 2005, he paid $120,000 for his first new tractor, but fast-forward to 2020, and the equivalent tractor’s price tag now reads a heftier $350,000.
The big question is why have tractor's tripled in price in the past 15 years? Regulations? Cars haven't gone up anywhere near that in that time frame.
- eitland 6y agoI guess tractors went from low tech to high tech. Here in Europe I think it started even before 15 years ago from my limited experience: In the 80ies as far as I can remember everything was extremely basic: open cabins without even doors was common IIRC (I was <10 years old then). There used to be one power outlet and one hydraulic outlet, often controlled manually. In the nineties I think bigger machines became the norm, as did closed sound proofed cabins and 4wd. Also it seems to be the time when simple automation became available, like systems to (slightly) adjust plow depth based on the resistance in the ground. A couple of years ago I spoke to the kid running the Fendt on a field nearby after he stopped next to my 3yo who was watching from his stroller from the curb. He says everything is automatic on the equipment he runs now. The fertilizer can be programmed ahead of time to increase or decrease output based on yesteryears (or this year's) soil measurements. It even largely runs itself in the fields, even at the edges and his task was more or less to babysit it. I wonder if he didn't also mention that it would do automatic geo radar measurements as it drove around the field. At the same time we've seen a couple of different trends playing out: - smaller farms give up. Last I heard 3000 farms closed down here here in Norway every single year, and the trend had been going on for two or three decades then. Larger farms will then rent the leftover areas. - except for the largest farms everyone is dependent on a second income. On the west coast I hear often wife or husband will be working in the North Sea at oil rigs on a 2/3 - 2/4 rotation (two weeks on, 3 or 4 weeks off). - farmers also find work in carpentry, road construction and maintenance etc. They are often popular because they are extremely hard working. Sometimes as employees other times as subcontractors (for example for snow removal it helps a lot if you already have a powerful tractor that will otherwise be unused during the winter). - Around here I think there is a trend towards agricultural entrepreneurs who owns the newest combines etc and do the harvesting.
- jelliclesfarm 6y agoThanks for the perspective from across the pacific. What kind of crops can you grow in Norway? What kind of soil? I have been talking with a Danish Ag robotics company and what I understand about Denmark is soil compaction issues and excessive tillage. We are talking beets/potatoes/maize etc.
- eitland 6y agoIt varies a lot. Norway is extremely long north to south[1]. Grass can be grown everwhere, even north of the artic circle. In eastern and middle Norway there's some grain production. In western and eastern Norway there are hotspots (pun unintended, but noticed and kind of valid) where fruit farming is possible. My grandparents did fruit farming (and fishing) in addition to a bit of dairy farming. My dad tried to specialize in dairy farming. I'll try to get back and add some more. [1]: for perspective: from the southernmost part of Norway to the northernmost is about the same distance as from the southernmost point of Norway, in a straight line across Denmark, Germany, the alps and I think all the way down to Rome : -)
- grecy 6y agoBecause tractor manufacturers wanted to make more money, and they figured taking it from farmers was the beset way to do it, so they raised their prices. With little competition, farmers just bought what was on offer (except when they hold onto their old iron).