price shock

[bigbull338]

man talk about sticker shock i got it.havent bought new hay equipment since the early to mid 90s an prices have gone up.the baler i bought in 92 was a 5 by 6 for $13,500 is now $35,000 to $42,000 the rake was $2500 in 92 now is $5000.the cutter in 95 was $6400 an now its $10,000 an $13,500 if its on a caddy.makes me glad that im going to pickup a JD 567 round baler for a good price.

 

[Varmint1]

Seem like now days your better off buying used equipment, I don't know how people can afford new with those prices

 

[bigbull338]

but theres some equipment i wont buy used unless i know all about it.i usually buy cutters an rakes new,because most used 1s are wore slick out.

 

[Varmint1]

Yeah your rite on that, I just picked up a JD 260 for 350 and all the skid needs replacing and the drums and disk have wear on them, but for what I paid I can put a little money into it

 

[AndyL52]

There are two kinds that buy new equipment. The one that has the cash to back it up, and the one that gets in over his head and the bank takes it away. I'd rather pay for used equipment, and not have to worry about the rains and droughts taking it away.

 

[CliffordK]

Personally I think the inflation rate is calculated incorrectly (although I haven't seen the exact price comparisons).

But, one compares items that were traditionally manufactured in the USA compared to inferior quality import items, it would unfairly skew the inflation rate low. How can businesses insist that the inflation rate is less than 3% (less now?) when property prices were increasing at 5% to 10% a year... A "correction" in land prices was certainly necessary.

Personally, I haven't been in the new car market either, but my parents bought a new AMC Hornet in 1976 for $3,500. Hard to find anything for less than $35,000 now. Ok, some of the bottom line cars might get down to $15,000 or $16,000, but it is still quite a price jump.

As far as equipment, there can't be any used equipment on the market if there isn't any new equipment sold.

One of the things that happens is that there are fundamental shifts in technology. Some of it is what is popular at the time, mowers, conditioners, and etc. However, sickle bar mowers have been essentially eliminated from hay production. Thus, everyone wants to buy a disk mower. And, since the mower/conditioners were popular in the 80's, and unpopular now, at least around here, that decreases the supply of disk mowers, driving up the prices of used equipment, and probably new too.

Will inliine balers supplant traditional balers?

There are many things in agriculture where timing is critical.

One could potentially have $10K, or much more worth of hay laying on the ground, a dead baler, and rain in the forecast, and no used balers for sale in 500 miles, and be kicking oneself for not buying that bright shiney new baler.

What is the cost of redundancy? A spare baler, tractor, whatever?

I must admit that I was wanting to convert a Freeman wire baler to a string baler, but the company suggested that I should expect about $6000 worth of parts for new knotters, needles, and etc. I'm better off finding a used baler to pull parts off of, although I was really liking the idea of brand new knotters.

 

[greasemonkeyok]

Funny how some farmers would never think of putting their foot in a casino, but they gamble big-time on equipment, weather, price of fuel, price of their crop, etc. Smart ones know that when you have a good year, put some away for a rainey day cause its coming.

 

[oliver1555]

Funny how some farmers would never think of putting their foot in a casino, but they gamble big-time on equipment, weather, price of fuel, price of their crop, etc. Smart ones know that when you have a good year, put some away for a rainey day cause its coming.

My father in law was in the cattle business his whole life. He bought and sold for himself and for several large feedlots. He said casinos held no attraction to him - his life was gamble enough.

 

[greasemonkeyok]

My father in law was in the cattle business his whole life. He bought and sold for himself and for several large feedlots. He said casinos held no attraction to him - his life was gamble enough.

Yes, but it was an honest gamble with benefits to society.

 

[bigbull338]

well i guess ive been gambling for the last 33yrs as ive been in the cattle business that long plus i grew up in it so thats pushing 48yrs.like i said ill buy used when i know where the equipment came from.