Understanding the largest growers.
Kelly Research Group, Inc. and Tubaugh and Associates conducted a recent study of large growers. The study--Marketing Products and Services to Commercial Farmers--involved random telephone interviews with 500 growers with gross farm incomes (GFI) over $100,000.
Average size of all farms represented in the study is 1,409 acres with highest income farms ($500K +) coming in at 3,167 acres and $100-$499K farms averaging 924 acres.
The trend toward fewer but larger farms is expected to continue and farm size will continue to expand at an increasing rate of nearly 6% annually. By 2012, the "average" U.S. commercial farm is expected to expand from 1,409 acres currently to 1,852 acres.
Study results also show that farm operators with high dollar sales ($500K+) are quick to adopt new technologies and rely heavily on the Internet.
OTHER SIGNIFICANT FINDINGS
* Second year/continuous corn acres are expected to increase rapidly.
* Ethanol destined corn acres are estimated to approach 18% of total acres in 2007.
* Equipment leasing will increase in future years and regional differences do exist.
* Preferences for generic pesticides vary by region.
* Changes farmers need to make in the near future to bolster financial prosperity include: control costs/ increase efficiencies, enhance revenues, expand operation, and embrace new technologies.
* (46%) of growers indicate they have children who could take over their farming operation.
* Cell phones, ATVs, TV satellite dishes and no-till planters are among the most commonly found types of equipment on farms regardless of farm size.
For more information on this study, e-mail John Kelly, kelly firstname.lastname@example.org or call 314/631-3666.
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|Title Annotation:||FOCUS ON: MARKET RESEARCH|
|Author:||Kelly, John; Tubaugh, John|
|Date:||Oct 1, 2007|
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