The Farmers Club Newsletter

No 105 - Friday's Club Notes

Dwain Duxson
January 12, 2024

The “Club Notes” for Friday, the 12th of January 2024.

By Dwain Duxson

If you can, please get your family, friends and colleagues to sign up. See the website link here.

It's one for the money…..

This week and weekend, the Parkes Elvis Festival is on. It first started in the Central West NSW Farming Town in 1993 when 300 people attended. Now, 30 years later, it caters for over 27,000 people and is the biggest Elvis festival in the Southern Hemisphere. I love how Country towns and areas start with an idea and turn it into something big that has so many advantages for the community. Tamworth is the same with their Country Music Festival, Wycheproof with the King of the Mountain, the Deni Ute Muster in Deniliquin, and the list goes on. There must be something in the water in some communities that can get it right where others can't. I just think every community in Australia should be hanging their hat on at least one thing: one event. Do you have an event in your community that you hang your hat on? And if not, why don't you get one going? Reply to [email protected]

Dud Machinery

Remember the Belarus Tractors they imported to Australia from Russia? They were notorious for breaking down. You only occasionally see them around; mostly, they are parked up somewhere. They were pretty bad, cheap I guess... I remember when I was on the Farm, we had a Massey Ferguson 550 Header. See the story below. Farmers now think their throats are cut if they are still Harvesting in February. It was an every-year occurrence for us. Why? Because the 550 was a dud and kept breaking down. I would estimate that towards the end of its career, it would have averaged a breakdown a day. In the end, we retired the old girl and got the Contractor in. Boy, that made a difference. I also chose a Chinese Tractor a year or so ago. It only lasted 5 minutes. Read the story here. So it got me thinking about other dud Macchainery or Vehicles and how sometimes you can just a bad one, a lemon that leaves a sour taste in your mouth. Have you had a lemon? Reply to [email protected]

74% of US Farmers have no debt

I find this figure staggering. What would be the percentage in Australia? Could it be under 30%, maybe 40% max? I guess it's because the US Government supports their Farmers with subsidies. I mean it's amazing the amount of money they pump into subsidies. Also, in the US, 88% of the Farms are what they consider small Farms with less than $350k income. Farms this size might have a second, perhaps third income. This is probably another reason why there is a high percentage that doesn't have debt. Back to subsidies, I'm sure most would agree that we don't want them; we have survived without them for this long, and that is why we are arguably the best Farmers in the world. So Mr Government, no subsidies, that's fine with us, but can we exchange that for a little bit of support, please? See s report towards the bottom of the page. Reply to [email protected]

Your replies

Below are snippets from some of the replies you sent in. All quotes will remain nameless. See a few current ones below:

"So the contract was drawn up for the sale at $800k, the lease amount was set at 6% of the value as that's what mortgage rates were at the time, the contract was set at 5 years, and we could nominate anytime over the 5 years to buy the Farm. If we hadn't purchased by the end of the 5-year term, the property went back to the landowner". - In reply to our Note of Vendor Finance.
"We need stronger groups to be the voice. The National Party are next to useless, and in our state, the NSW Farmers don't seem to have much of a voice either. The CWA seem to do more"!! - Taking about support for Farmers.
“On vendor finance, I have facilitated a few of these over the years. Interestingly, none for a few years”. - On the topic of Vendor Finance.
“Bought 300 acres when I first came home on Farm Vendor finance, interest at 14%. The bank rates then went to 22%, but the Vendor left it at 14% until the loan was repaid”. - Vendor Finance topic
"It is in neither the Bank's nor the Real Estate's best interests to encourage Vendor Finance, and they are powerful industries". - Vendor Finance again.
“YES, ABSOLUTELY FREAKING BRILLIANT IDEA!!!” - On our Young Farmer Charity idea.