CHAPTER XIII

THE COST OF FARMING OPERATIONS

Several millions of the inhabitants of the United States, not to

mention those of other countries, are engaged each year in the

preparation of the soil for the cereal and forage crops and on the

work of seeding and harvesting them. The welfare of one-third the

population is directly and that of the other two-thirds, although less

directly, is quite as surely dependent upon the effectiveness of this

effort. If, for example, as sometimes happens, one-third the

population receives on account of untoward seasonal conditions but

four-fifths of the usual product, everyone must suffer on account of

this unrewarded labor. Many, perhaps most, financial panics have their

origin in crop failures aided, doubtless, by an improper financial

system.

Although widely and sometimes bitterly discussed, little is really

known concerning the relation between the effort expended and the

returns obtained in producing the great staple farm products; yet one

of the most important and vital considerations in the organization of

a farm enterprise is the income, both gross and net, which may be

expected from the different crops contemplated. Obviously the yield

and price of the several crops will vary with the locality and with

the season. It is, therefore, impossible to predict for any year

either what yield may be obtained or what price will be secured. If,

however, a sufficient number of years are selected, an average may be

found which will form a basis for calculating the probable result for

another series of years. The following table gives the yield and the

average farm values per acre for five staple crops for five years,

1905-1909 inclusive, for the United States and for four widely

separated states, viz., Pennsylvania, Iowa, Texas and Oregon.

AVERAGE YIELD PER ACRE, 1905-1909.

Pennsylvania Iowa Texas Oregon

Maize, bu. 36.6 33.4 21.1 27.3

Wheat, bu. 17.8 15.5 9.6 20.6

Oats, bu. 28.9 28.9 26.6 32.8

Potatoes, bu. 84.4 85.8 67.0 119.0

Hay, tons 1.39 1.56 1.32 2.11

AVERAGE FARM VALUE PER ACRE, 1905-1909

Pennsylvania Iowa Texas Oregon

Maize $22.59 $13.80 $12.17 $19.58

Wheat 16.61 12.42 9.11 16.10

Oats 13.33 9.28 12.97 15.20

Potatoes 55.87 44.75 65.15 71.18

Hay 18.74 10.13 13.92 19.60

Such figures as the above may be compiled by anyone at any time for

any year or series of years from the yearbooks of the United States

Department of Agriculture. They form a fairly sound basis for

calculating the gross income which may be expected from the staple

farm crops, particularly for the cereals, potatoes, hay, cotton and

tobacco. Five questions, however, present themselves, which should, as

far as possible, be settled before applying them to an individual

problem.

(1) How nearly do the conditions, especially those of soil and

climate, of the given location correspond to the averages of the

state? The question can be settled only by a thorough study of soils

and their crop adaptation. It is a matter requiring study, experience

and judgment.

(2) How much larger yields may be expected on account of better

methods employed? It is here that most mistakes are made in estimating

possible farm profits. Necessarily, all statistical averages of

production are much below those which an enterprising farmer considers

an average crop and habitually produces. Not more than 50% increase

upon these figures, however, should be anticipated by reason of the

improved methods which one is going to employ.

While the average yield of maize, even in the so-called corn states,

is not far from 30 bushels an acre, and while it is quite common for

good farmers to produce 60 to 75 bushels of maize per acre, it would

not be safe to assume a yield of more than 45 bushels unless the

conditions are more than ordinarily favorable.

The application of the averages given on pages 149-150 to an

individual farm enterprise may be illustrated by calculating the

possible results which might be obtained on 80 acres of arable land in

Iowa and Pennsylvania with the four great soil products of northern

United States.

Iowa Pennsylvania

Acres Income Acres Income

Maize 40 $552.00 15 $340.85

Oats 20 185.60 15 200.25

Wheat 5 62.10 15 249.25

Hay 15 151.95 35 655.90

Total 80 $951.65 80 $1,446.25

If 50% is added for the increased yields which may be expected on

account of the employment of better methods, the total yield from 80

acres of arable land would become for Iowa $1,428 and for Pennsylvania

$2,169. This does not mean that farming is necessarily more profitable

in Pennsylvania than in Iowa. Not only may the cost of cultivating an

acre of arable land be greater in Pennsylvania, but usually a larger

territory must be owned in order to obtain 80 acres of arable land.

Eighty acres of these four crops is probably as often grown on a farm of

100 acres in Iowa as on one of 160 acres in Pennsylvania. The total farm

acreage in Iowa is, in round numbers, 35 millions; in Pennsylvania, 19

millions. In Iowa about one-half the farm area is in the farm crops

under consideration, while in Pennsylvania these four crops occupy only

one-third the farm area.

[Illustration: Mr. R. D. Maurice Wertz, after several years in railroad

offices, took charge of his fathers farm at Quincy, Pa., in 1891, and

converted it into a fruit farm. He now has about 220 acres in peaches and

apples. It is understood that he has sent from the above shipping station

and one other about $200,000 worth of fruit in the last six years.]

[Illustration: Mr. T. E. Martin, Rush, N. Y., is one of the most

successful potato growers in the United States. He has a farm of 57 acres

of the Dunkirk series of soil. He has three 18-acre fields in rotation

consisting of potatoes, wheat and clover and alfalfa. Mr. Martin has

increased the yield of potatoes from 60 bushels per acre in 1892 to 417

bushels in 1906. In 1906 he produced 7,510 bushels on 18 acres. In 1907

he sold $2,807.89 worth of potatoes from 18 acres, or $160 per acre. He

attributes his large yields mainly to drainage, thorough preparation of

the soil, good tillage, spraying, clover and alfalfa, manure and

commercial fertilizers.]

(3) Will there be a general increase or decrease in the price of crops

during the coming years?

The following table gives the average farm price for Missouri by

five-year periods.

THE AVERAGE DECEMBER FARM PRICE BY

PREVIOUS DECADES COMPARED WITH

AVERAGE OF FIVE YEARS, 1906-10.

1866 1875 1886 1896 1906

to to to to to

1875 1885 1895 1905 1910

cts. cts. cts. cts. cts.

Maize, bu. 40 33 33 35 49

Wheat, bu. 103 87 64 71 87

Oats, bu. 30 27 26 27 39

Potatoes, bu. 57 48 49 53 68

Hay, ton 902 799 704 700 875

An examination of the last column shows that the average price of

these staple farm products has been considerably greater during five

recent years than during the previous thirty years. Will this increase

in price continue, or will there be a series of years of unusually low

prices which will bring the average price of the decade down to that

of the previous three decades? Few persons will care to venture an

answer to this question, which is of the utmost importance to all

farmers and especially to the beginner.

(4) The figures employed are taken from the yearbook of the United

States Department of Agriculture and are the estimated farm price on

December 1 of each year. Can the commodities be sold for the December

farm price? Will potatoes sold at the time of digging bring less than

the December price? Will wheat or maize held until May bring a higher

price? To what extent, by the judicious holding of products, can

advance in price be obtained?

(5) Will the products be sold for cash, or may they be turned into

animal products at an increased profit? In some sections of the United

States animals are reared primarily because of the increased profit

due to manufacturing soil products into animal products; in other

regions, however, they are kept primarily for the purpose of

maintaining the fertility of the soil and only incidentally on account

of the increased profits.

COST OF PRODUCTION

For a number of reasons it is difficult to determine the cost of

growing farm crops. One reason deserves to be especially emphasized. In

any business enterprise it may be necessary to run at a loss, because

to stop would entail a still greater loss. This is particularly true in

farming, where men are employed by the month in order that they may be

had when needed. Since they are receiving pay, it is better that such

men should be employed some days at farm operations which return only a

portion of their wages rather than not to have them employed at all.

Under such circumstances, therefore, the cost of producing a given crop

may be greater than is indicated by the time actually employed in its

production.

Many other factors also enter, as the average number of hours per day

which it is possible to work. This is greatly influenced by weather

conditions. The Minnesota station determined that the working day on

about thirty farms in that state varied from seven and one-half to

eight and one-half hours, with two to three and one-half hours on

Sunday. The average length of the working day for horses varied from

3.1 to 3.3 hours.

The cost for labor of cultivating a given area of land will depend not

only on the crop or crops to be raised, the climate, the topography

and character of the soil, the size and shape of the fields and the

system of cropping, but also upon the man's ability for organization.

It is said that the European farmers, and even the farmers from

eastern Canada, are several years in adjusting themselves to farming

in western Canada. When the farmers from Iowa, Kansas, Nebraska or

surrounding states move into western Canada with their three-horse

teams and other suitable equipment, applying their thorough knowledge

of prairie farming, they are at once successful. The man is thus an

important factor.

TIME REQUIRED FOR CULTURAL OPERATIONS

The following table will be helpful as showing time required to

perform certain operations, since it is a record of labor actually

employed on a field of 18 acres of easily tilled land in central Ohio.

All labor was employed at prices named, board for man and food for

horses being furnished in addition at the prices estimated. The owner

of the land furnished the horse for the harvester.

Plowing 7.5 days at $2 $15.00

Harrowing 3 days at 2 6.00

Planting 2 days at 2 4.00

Cultivating (4 times) 7 days at 2 14.00

Cultivating with harvester 6 days at 1 6.00

Husking and cribbing by the job 45.54

Estimated cost of board 25-1/2 days 7.95

Estimated team maintenance 25-1/2 days 4.90

-------

$103.39

According to these figures the cost for labor of raising the crop and

the cost of harvesting was almost exactly the same, each being a

little less than $3 an acre.

THE COST OF PRODUCING FARM CROPS

The Minnesota station has determined the cost of growing the staple

farm crops on 45 farms in different sections of the State. The total

expense per acre for an average of six years is shown in the following

table, not including land rental or cost of marketing.

COST OF PRODUCING FARM CROPS IN MINNESOTA.

Spring wheat, land fall plowed $5.54

Oats, land fall plowed 5.80

Barley, land spring plowed 6.89

Maize, husked from standing stalks 9.41

Hay, timothy and clover 3.68

Potatoes, land not fertilized 23.36

Potatoes, land fertilized 34.72

Some years ago the writer made an estimate of the cost of producing

maize, oats, wheat and clover hay in a four-course rotation on a

tenant farm in central Pennsylvania. The soil was a heavy clay and

required plowing for each crop, except, of course, the hay crop, one

acre a day being considered a good day's work.

Counting the expense of man and team at $2 per day, the labor cost per

acre was found to be $7 for maize, $5.10 for both wheat and oats, and

$2.30 for hay, or an average of about $4.90 per acre for the four

crops. The interest on the capital invested in operating this farm,

exclusive of the land, was estimated at $1.45 per acre.

INFLUENCE OF YIELD UPON THE COST OF

PRODUCTION

The Illinois station has prepared a set of estimates upon the cost of

producing an acre of maize, showing variations in cost due to

differences in yield. In these estimates, instead of making a charge

for the actual cost of manure or fertilizer applied, an estimate is

made of the value of the plant food removed.

COST OF PRODUCING ONE ACRE OF MAIZE IN

ILLINOIS AS MODIFIED BY YIELD.

Yield Yield Yield Yield

50 bu. 75 bu. 100 bu. 35 bu.

Disking $0.40 $0.40 $0.40 $0.40

Plowing 1.00 1.00 1.00 1.00

Preparation .75 .75 .75 .75

Planting .15 .15 .15 .15

Seed .35 .35 .35 .35

Cultivation 1.00 1.00 1.00 1.00

Plant food 1.02 1.53 2.04 .71

Husking 1.25 1.87 2.50 .88

Marketing 1.00 1.50 2.00 .70

----- ----- ------ -----

Cost per acre $6.92 $8.55 $10.19 $5.94

Cost per bushel .14 .11 .10 .17

The average yield per acre in Illinois for 12 years preceding date of

this estimate was 35 bushels per acre; the average price per bushel

during the same period was 32 cents.

LABOR COST OF PRODUCING A BUSHEL OF

GRAIN

Not counting rent of land or interest on capital invested in

equipment, nor depreciation of soil fertility, it has been shown that

under favorable conditions, the labor cost of growing and harvesting

an acre of wheat or oats may be as low as $4.50, and that of maize as

low as $5 per acre. Assuming the average labor cost of producing an

acre of wheat or oats at $5.50 and of maize at $6 per acre, and taking

the average yields per acre for a series of years to be 13.8 for

wheat, 30.9 bushels for oats and 24.9 bushels for maize, the average

labor cost per bushel will be: Wheat, 40 cents; oats, 17-1/2 cents;

and maize, 28 cents.

The data given in this chapter are to be accepted as suggestive rather

than as determinative. The chief purpose in presenting them is to

place before the young farmer an appreciation of some of the problems

involved in the production of the chief and basic agricultural

commodities. The young farmer's success will be modified by the role

which they occupy in his farming system and by his ability to adjust

them to the economic conditions in which he may find himself placed. A

thorough understanding of the principle underlying the data submitted

will go far toward enabling him to make this adjustment, although none

of the illustrations given may have been obtained under conditions

identical to his own.

The Young Farmer: Some Things He Should Know · 第 13 / 20 章