There are big differences between the farmers that are profitable and those who are not. Dale Nordquist is the associate director of the University of Minnesota’s Center for Farm Financial Management and spoke at the American Bankers Association Ag Bankers Conference. Nordquist said younger farmers are generally doing well. “There may be some help from the older generation, but beginning farmers are not a problem area. It’s also not size related; we see struggles with smaller producers and larger producers.” Cost control is the biggest difference. “They’re paying less for seed; they’re paying less for fertilizer and less for nearly every input, including rent. When you start adding it up, it amounts to hundreds of dollars per difference per acre.”
