An excellent investment!
$1,500,000 for 4000 acre, only $375 per acre. This is to compare with $1000 /acre at Iowa and $3000-5000/acre at Illinois.
The output for corn is $2000 per acre, soybean $900 per acre. Substracting cost of farming $1000 for corn or $600 soybean (accounts for 50%-60% of revenue), the profit margin >100%. This compared with 10-20% in Illinois (still better than most business and better than rental income). The price for farmland can only increase more as more ethanol for fuel and less farmland in China/India in the future.
One shall pay attention that central CA the average farmland sold for $10,000 per acre. Nevertheless, the output is >3x vs midwest or Canada.
xyz2001 发表评论于 2012-10-16 16:59:02
An excellent investment!
$1,500,000 for 4000 acre, only $375 per acre. This is to compare with $1000 /acre at Iowa and $3000-5000/acre at Illinois.
The output for corn is $2000 per acre, soybean $900 per acre. Substracting cost of farming $1000 for corn or $600 soybean (accounts for 50%-60% of revenue), the profit margin >100%. This compared with 10-20% in Illinois (still better than most business and better than rental income). The price for farmland can only increase more as more ethanol for fuel and less farmland in China/India in the future.
One shall pay attention that central CA the average farmland sold for $10,000 per acre. Nevertheless, the output is >3x vs midwest or Canada.
DavidLeo 发表评论于 2012-10-16 16:50:47
The fact is a lot of wheat, canola, etc import into China, 亚洲.
加拿大就是不缺地。人力匮乏却是最大的瓶颈。农业已经进入大工业化时代，没有工人和机械，
那么块地有啥用？ If the owners don’t farm, tehy rent out the farmland.
没有工人 The farmland owners they are learning farming and prepare to farm by themselves. If less than 1600 acres, no need hire people. Husband and wife can work out.
机械 a few farmers rent machines, but most farmers own machines. The machines are quite expensive. My friend sent 300, 000$ bought a set of machine.
It is not right. 风里来雨里去，一年下来，虽然是丰收，你发现刚刚够本，就知道自己有多蹩脚了。
你又发现那些从来不见太阳，老是夹个皮包的，本来是你女婿的，显得更阔绰。
In 加拿大草原省份沙斯卡寸旺省,
If you have average farmland, for this year, the net income is about 15000$(canadian dollar)for 160 acres. so 4000/160=25.
If the guy has about average farmland, and farming by himself, he will get about 25*15000=375000$.
DavidLeo 发表评论于 2012-10-16 12:26:14
It is not right. 风里来雨里去，一年下来，虽然是丰收，你发现刚刚够本，就知道自己有多蹩脚了。
你又发现那些从来不见太阳，老是夹个皮包的，本来是你女婿的，显得更阔绰。
In 加拿大草原省份沙斯卡寸旺省, If you have average farmland, the net income is about 15000$(canadian dollar)for 160 acres. so 4000/160=25.
If the guy has about average farmland, and farming by himself, he will get about 25*15000=375000$.
DavidLeo 发表评论于 2012-10-16 12:17:16
it is wrong. 要雇大量的农工,非常不好处理.
毛泽东当时就很畏惧他们.
no need to hire a lot of people. Maybe need to hire one part time worker for 4000 acres. Farmers use big mechina. (for seeding, 0.5-1 days, one or two persons for 160acres. for harvest, about 1 day, one-two persons, for 160 acres)
Canada is bad place to live, unless you can endure its long and terrible winter. Affluent Canadian tend to move to Caribbean or central America to enjoy their retirement.
