Why Farming.

Why Farming.

1. Everything goes in cycles. For the past 40 to 50 years, farming has been a down-in-the-dumps cycle. It is destined to rise. In fact, the famous investor Jim Rogers says that stock brokers should learn to drive tractors because farming (commodities) will out-perform stocks in the coming years.
2. Also for the past number of years, manufacturing in America has been down in it’s cycle. We are currently a “retail-service” economy. This does not bode well for the future. The future MUST include a PRODUCTIVE economy – which means manufacturing, (not retail, not the service-sector) must make a comeback. And farming is at the core of manufacturing. Farms “manufacture” the food (and clothing-cotton etc.?) we need to eat, three times a day.
3. Farm land is not like housing… it is like buying a factory.
4. Urban farming on a small scale can be done to produce some $100,000 in gross sales per acre. This type of farming does not require much in the way of capital equipment. A greenhouse is perhaps the biggest expense of the type of urban, organic farm I favor.
5. Instead of capital, urban farming requires about one man per acre in labor.
6. To achieve the $100,000 per acre, this type of farm must develop it’s own retail customer base… “direct marketing” for farmers… type of thing.
7. With near zero interest rates slowing turning… paper assets… stocks, bonds, derivatives, options, etc… cannot be as attractive as commodities… and farming is one true source of commodities (mining is the other.)

Let’s talk about this.
Sajo Farm Boy