Young farmers need a good plan to ‘come home’ to farm
LINCOLN, NE — Coming back to the family farm or starting a new
livestock operation is a dream for many young people across the state.
In today’s world, however, the economics of adding people to an
existing operation or starting a new venture can create challenges for
making the dream a reality.
“Despite the difficulties, there are
options available today to help the next generation of livestock and
poultry producers ‘come home’,” said Bob Campbell, a senior vice
president with Farm Credit Services of America. “The key is to add or
expand an income-producing enterprise within the farm.”
That can
be accomplished by vertically integrating an existing livestock or
poultry operation, enhancing an existing farming operation and/or
better utilizing existing resources, Campbell said.
Young
producers with limited capital can also consider custom or contract
production as a way of limiting the amount of start-up capital.
“Another option is to create partnerships with other producers or
investors in order to raise adequate equity to capitalize their newly
created operation,” Campbell said.
No matter how the business
begins, he said, it is important to have a plan that outlines the goals
of the operation and manages the risks that go along with livestock and
poultry production. Just as critical is to comply with all local, state
and federal laws and regulations. “These are areas where the Alliance
for the Future of Agriculture in Nebraska (A-FAN) can be a tremendous
resource,” Campbell said.
He said Farm Credit Services of
America understands the benefits of animal agriculture for all of the
state, as well as the challenges facing the industry today. “This is
why we support A-FAN,” he said. “Producers need the accurate
information and assistance A-FAN offers to make sound business
decisions.”
A-FAN is a non-profit agriculture promotion,
education and producer assistance organization. It was formed in 2006
by Nebraska producer organizations to support the expansion of
responsible livestock production across the state. Farmers, ranchers
and communities interested in learning more about the services provided
by A-FAN are encouraged to visit www.A-FAN.org or call toll free
1.888.580.AFAN (1.888.580.2326).
Farm Credit Services of America
is proud to finance the growth of rural America, including the special
needs of young and beginning producers. With more than 69,000
customers, assets of more than $12 billion, FCSAmerica is one of the
leading providers of credit and insurance services to farmers,
ranchers, agribusiness and rural residents in Nebraska, Iowa, South
Dakota and Wyoming.
NOTE: To view Bob Campbell’s commentary about how the animal agriculture industry provides opportunities for young producers who want to return to the farm, click here.
Media: For more information, contact Bob Campbell at 402.473.4300 or Roger Berry of A-FAN at 402.710.1110 or 888.580.2326