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Oh yes, and in 2022 when there was $7 corn and I was out bailing hay, absolutely.

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As I turn the tractor around and see the ethanol plant as I'm driving by, I'm questioning what

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am I doing out here.

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I could be grazing corn.

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I look at it from a diversity standpoint.

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Ethanol is a part of agriculture, but this other part of agriculture, the grazing, the

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livestock end of it, that should also be a part of it as well.

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Welcome to the 357th installment of Ear to the Ground, the Land Stewardship Project's

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podcast on family farming, regenerative agriculture, community food systems, and local democracy.

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I'm Brian DeVore, editor of the Land Stewardship Letter.

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Talk about market accessibility.

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In case Alan and Kathleen Deitz ever need a reminder of one of the main reasons corn

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dominates the landscape in their part of southwestern Minnesota, they need to look no further than

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the massive ethanol plant that rises to the sky just across one of their fields.

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The Deitz's farm some 800 acres in Lyon County.

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The land is just on the edge of the city of Marshall and lays as flat as a billiard table,

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making it prime corn growing ground.

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So yes, they do raise corn, and yes, much of it goes to that Archer Daniels Midland

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ethanol plant just up the road.

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But in biofuels' massive shadow, the Deitz's are going against the grain, literally.

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About half the acres that make up their operation is planted to crops for the organic market.

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The Deitz's raise not only corn, but wheat, oats, and sometimes barley on these organic

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acres.

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But perhaps the area where the farmers depart most dramatically from the corn-centric economy

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of the region is in their use of rotational grazing to produce livestock.

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They have a cow-calf beef herd, as well as a flock of hare sheep.

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Goats and hogs are also part of the mix at Redwood River Farms, which direct markets

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meet to customers.

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All those animals are raised on rotationally grazed paddocks, planted to summer annuals,

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among other things.

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They also graze the local Minnesota Department of Natural Resources' wildlife area.

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The Deitz's dairy farmed until they sold the herd in 2016, and reintegrating animals

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onto the land hasn't been easy.

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For one thing, they had to set up a significant system of fencing, which they were able to

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do with the help of such initiatives as the Natural Resources Conservation Service's

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Environmental Quality Incentives Program.

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At first glance, not taking full advantage of a handy local market for a crop that grows

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well on this land may not seem to make sense.

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But the Deitz's have some good, nuts-and-bolts reasons for not going whole hog into growing

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corn for biofuels.

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Alan has a master's degree in economics and teaches ag business at Southwest Minnesota

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State University in Marshall.

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So he knows how to crunch the numbers and do financial projections.

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He sees livestock as a way to diversify the farm's income stream while providing a kind

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of insurance policy that fortifies them against crop failures, something that's become particularly

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critical in recent years as climate change churns out extreme weather on a regular basis.

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And diversity helps safeguard a farm's viability when corn prices plummet, as they did in 2024.

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In addition, rotational grazing bolsters the soil's long-term biological health, building

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up a bit of a bank account that can be cashed in when annual crops are planted.

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During a recent field day sponsored by the Sustainable Farming Association and the Department

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of Natural Resources, the Deitz's provided a tour of their fields and grazing paddocks

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and explained how they're using the livestock not only as a source of income, but as a way

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to transition acres into organic production.

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Afterwards, with the lights of the ADM ethanol plant twinkling in the dark on the other side

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of the Redwood River, I talked to Alan about the value of diversity, the benefits of reintegrating

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livestock onto the land, and why he and Kathleen are leaning more in the direction of perennials.

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He also talked about how it isn't always easy to experiment with regenerative farming

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methods as farmers from across the region haul corn right past his fields to the ethanol

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plant.

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The farmer started our conversation by describing the crop livestock rotation history of a 40-acre

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field we were sitting near.

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We just had a field day and you did a really nice job of taking us to different parts of

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the farm, different fields, and doing a little history on what you're thinking of because

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I think one of your main messages was you have to think about this on a multi-year level

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and you can't just go from year to year.

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You're thinking more in the long term and trying to integrate soil health into that

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type of thing.

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So the first field that we looked at here, I think it's a 40-acre field.

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Take us a little bit through the history of that.

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I think that was a really good example of you kind of having to think in the long term

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and also really roll with the punches a little bit with weather and other things that kind

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of come in on that.

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Yeah, so that first field we went to was organic wheat this year.

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It was a 40-acre field.

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Where we're at right now, it ended up being actually my most profitable acres this year

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from what I'm seeing.

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I had roughly around a 53, 54 bushel average on the organic wheat.

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Had it tested out and it did make a milling quality.

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So that was a nice little bonus on top of that.

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So it ended up turning out really well, which was nice after kind of the history, which

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I'll get into now.

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But that field was one of the first fields that I converted over to organic.

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We did that by planting it in perennials.

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That was a decision I made.

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That was how I was going to do it.

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A lot of farmers, when they end up switching over to organic, they'll end up planting

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alfalfa stands.

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That's a pretty common way to transition over.

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I knew I wanted to be able to graze this and have some diversity in the mix.

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And so I worked with, I believe it was Millborne Seeds, Justin Fritchie over at Millborne Seeds,

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and he helped me develop a mix that worked really well.

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It was with Timothy, Timothy metal brome, some fescue.

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There was a couple other in the mix for the grasses.

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And then it had in some clovers and some clovers and alfalfa.

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And that ended up being a really good grazing mix and a hay mix.

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So we ended up grazing and haying that for 2000, well, we had a nurse crop on 2018, but

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in 2019 we ended up haying and grazing that, 2020 all the way up until 2023.

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2023, knowing that after being in organic for that long, or being in hay ground for

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that long and passed its organic certification, I looked at it from a cash flow standpoint

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that maybe it was time to pull this out of perennials and cash in on the bank account,

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the savings account that I have accumulated with the perennials there by building the

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soil out, I should say.

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And so it seemed like the time to do that.

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So what we ended up doing that year is actually calving out on that piece.

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So we actually grazed off the first crop, grazed off the first crop and had her calved

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out there.

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Worked out great.

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The cow calves did well.

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It was just, since it was so close to the farm, just made a lot of sense.

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It worked out really well.

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And we ended up finishing up calving, or close to finishing up, but we moved the cattle off

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so then I could do a spring plowing.

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Spring plowing is sometimes tricky from what I've heard, but the conditions were right

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at the time.

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It was fairly dry and everything kind of looked good.

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So I went ahead and made my first pass through the field and somewhat regretted it because

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I didn't want to see those perennials be plowed up.

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But then I also knew why I was doing what I was doing.

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So I continued on and it was really nice.

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There was really great aggregates in the soil.

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I was really, really excited to see how this was going to turn out for a corn crop.

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I ended up going over to the field cultivator one time just to kind of level out the field

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and then went in with a planter and planted.

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It seeded really nice.

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The unfortunate thing that ended up happening was between roughly about May 10th to September

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20th in 2023, my farm or farm location there ended up with about three and three quarter

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inches of rain during that time.

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And so we did not get enough water or moisture in the soil to get it started.

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That late plow probably grazing off that first part and then being, it was also very hot

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and dry when I plowed.

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I think it got up to 90 degrees at that point.

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So it kind of baked the soil a little bit as well.

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So we ended up in a situation where we planted but didn't, we didn't have enough moisture

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to germinate the seeds.

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Over that time, that three and a three quarter inches, I think we had one rain that was a

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half inch and that came in July sometime.

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Otherwise, it was a tenth, two tenths at a time, not enough to connect the seed and the

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soil together.

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And so we ended up having just an awful stand out there.

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That awful stand, it was probably 20, 25% stand.

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And at that point, it was just not going to be a viable crop.

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Checked with crop insurance, make sure that I went through all the proper channels to

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make sure that that worked out, that we were all on the same page.

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And then at that point, I made the decision to leave a check strip and graze the rest

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of it off using cattle.

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That ended up working out pretty well to do so because they kept the weeds down in those

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acres.

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They processed through that corn and we really didn't end up taking anything off it besides

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what the cattle took off and gained.

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And then they processed all that excess forage and put it back in the soil.

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So that was kind of the lead up to the 2024 crop, which ended up being, like I said, we

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had a very, very dry winter.

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So going from a very dry summer to a very dry winter, I wasn't quite sure how things

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were going to look going into 2024.

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I ended up deciding to put that in wheat.

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We were lucky enough to get it in fairly early.

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I think it was April 7th is when I got it in this year.

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And it was right after we had some rain.

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I contemplated with the dry spring that we had, I contemplated planting it right around

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the 20th, 21st of March, but I chose not to because it just seemed too early to do so.

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And then luckily it rained for a couple of weeks, so we did have some moisture when I

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planted into it.

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Kind of prevented me from making a bad decision of planting too early, I guess.

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But then I was able to get it in on April 7th, which was really nice.

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I got it in and we got a nice little rain on it afterwards.

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So it took off from there.

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The field ended up taking off fairly well through the season.

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Due to the drought last year, we had a real bad bloom of Canadian thistle that popped

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up through the low spots.

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But the spring that we had, it ended up being a wetter spring than anticipated.

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That kind of perpetuated, which kind of perpetuated the problem in some of the areas.

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So the real wet spots on the farm ended up having a lot of Canadian thistle.

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So as we were going through the season, I wasn't quite sure how it was going to end

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up.

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We went out there and tried to do some walking to try to top some of those thistle heads

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off.

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That was the only really issue we had from a weed pressure standpoint.

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Yeah, and then other than that, we ended up, some of it just kind of got away from us because

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of the moisture and so we kind of let it go at that point.

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And yeah, ended up harvesting it this year and it turned out to be a fairly good crop

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for organic wheat.

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So we're happy with that.

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I think this is a really good example of, you were talking about how when the corn crop

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didn't work out, because you had livestock, it's almost like an insurance policy.

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You were able to bring them in and get economic value out of that corn crop while bringing

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in their manure and adding fertility to it.

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I mean, I think that's a really, if you didn't have that livestock, if you hadn't put in

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fencing systems and that kind of thing, so you could graze it, you wouldn't have that

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option.

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It would have been a failure and you wouldn't have gotten that economic value.

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Plus you wouldn't have maybe been building that soil health up for the future a little

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bit.

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Yeah, it ended up working out.

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It worked out pretty good.

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Working with my crop insurance agent, making sure that I was going through those proper

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channels to do so, we were able to graze it.

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And so at that point, what was going to be kind of a weedy mess and sporadic corn crop,

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we were able to turn that into some value by running the cattle and maintaining it.

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With an organic system, you're limited on the tools that you have in the toolbox.

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You can't necessarily go out and spray weeds that are down and you don't necessarily want

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fallow ground sitting there.

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So having the cattle run over it was a great option.

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And then yeah, it was a good point you brought up with having the fencing.

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Particularly where I'm at, it's a very heavy corn and soybean region and a lot of the fences

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have been taken out over the years.

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And there's just not a lot of farmers that have the ability to run cattle.

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Even if they had cattle, they'd have to replace all the fences that they had.

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So I'm glad I started building in that infrastructure because it ends up giving me those options,

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as you said, as an insurance policy.

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And with those fields, it kind of makes them more dynamic at that point too.

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I'm not stuck in a route where I have to go corn or soybeans in my rotation or just row

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crops.

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I can mix in cattle on a hay crop.

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I can do an annual cover crop, an annual pasture, I should say.

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All of those things are options that I have by being able to do that.

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It's especially important with the climate that we're in because it'd be nice to get

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a normal year.

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But really over the last, I go back to 2018 when I started the organic transition, there

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really hasn't been a normal year from a historical context.

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On our home farm here in 2018, we had the river crested twice, which flooded over into

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our farm once in July, once in September.

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2019 was the year where majority of Lyon County was in prevent plant.

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I think only, I'm going to inverse these numbers here, but I can't remember if 60% of the crop

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was not planted or only 60% of it was planted, but of the corn crop.

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So most of it was in prevent plant that year because it ended up getting so, because of

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the moisture we had.

227
00:14:31,180 --> 00:14:36,620
2020 started out really wet, but then dried out and turned out to actually be what we

228
00:14:36,620 --> 00:14:42,020
would consider more of a normal year, I guess, because it was more of a normal cropping year

229
00:14:42,020 --> 00:14:43,020
that way.

230
00:14:43,020 --> 00:14:46,820
But then we had 2021, 22 and 23 where we saw drought.

231
00:14:46,820 --> 00:14:51,060
You might not have necessarily saw it to the same effect on the corn and soybean for corn

232
00:14:51,060 --> 00:14:57,300
and soybean farmers, but if you had hay or pasture or any of the other crops, you saw

233
00:14:57,300 --> 00:15:00,140
the effects of that drought that hit.

234
00:15:00,140 --> 00:15:05,360
So and then this year we had what was looking like a drought coming into the season and

235
00:15:05,360 --> 00:15:08,340
then turned out to be a fairly wet May and June.

236
00:15:08,340 --> 00:15:10,780
So and July for that matter as well.

237
00:15:10,780 --> 00:15:17,360
So it's just with kind of the erratic weather system that we've had, it gives you some resilience

238
00:15:17,360 --> 00:15:21,620
and some options when things don't go the way that you're anticipating.

239
00:15:21,620 --> 00:15:26,540
Talking about the fencing and how you were explaining earlier, so we can see literally

240
00:15:26,540 --> 00:15:31,280
from your farm, the ADM ethanol plant here, and that really had a big, I don't know when

241
00:15:31,280 --> 00:15:32,280
you said that one in.

242
00:15:32,280 --> 00:15:39,860
It was built in the mid 80s and what that did in this area really had a really big economic

243
00:15:39,860 --> 00:15:41,820
impact on corn farming.

244
00:15:41,820 --> 00:15:49,040
It used to be historically there, Lyon County here had a fairly low corn price because there

245
00:15:49,040 --> 00:15:53,460
wasn't a lot of options to move it out of here from an export standpoint.

246
00:15:53,460 --> 00:15:56,780
So it was definitely a value added at that point.

247
00:15:56,780 --> 00:16:03,060
Yeah, so having that there kind of did change the landscape a little bit because it seemed

248
00:16:03,060 --> 00:16:08,380
like a lot of the farmers in the area because of that basis improvement decided to get out

249
00:16:08,380 --> 00:16:13,340
of livestock, which you know is their prerogative and what they want to do and it made economic

250
00:16:13,340 --> 00:16:14,340
sense.

251
00:16:14,340 --> 00:16:21,180
But I still being a former dairy farmer and still having cattle, I think it is important

252
00:16:21,180 --> 00:16:25,620
to still have that livestock connection on a farming operation.

253
00:16:25,620 --> 00:16:27,100
Obviously that's always been the case.

254
00:16:27,100 --> 00:16:34,180
Domesticated animals have been included in farming since farming had started and there's

255
00:16:34,180 --> 00:16:40,340
a good relationship that happens between having the livestock and the soil.

256
00:16:40,340 --> 00:16:44,500
When you take those out of it, there's something missing at that point.

257
00:16:44,500 --> 00:16:48,480
Well the other thing that really struck me is we went a mile north of the farm here to

258
00:16:48,480 --> 00:16:53,380
another farm that you farm and I think you said it's 175 acres or 170 acres.

259
00:16:53,380 --> 00:16:58,260
You've been establishing some, looks like some summer annuals and some stuff there that

260
00:16:58,260 --> 00:16:59,260
you're grazing there.

261
00:16:59,260 --> 00:17:02,580
But one of the things you pointed out was the cow pies.

262
00:17:02,580 --> 00:17:04,860
I think this is a really important point that you pointed out.

263
00:17:04,860 --> 00:17:07,620
You said the cattle are bringing something back to this.

264
00:17:07,620 --> 00:17:14,740
I think that that's an important thing to look at is that when you are using the cattle,

265
00:17:14,740 --> 00:17:17,180
it's even different from maybe taking hay off.

266
00:17:17,180 --> 00:17:24,220
You are returning something back if you're doing a good grazing management system.

267
00:17:24,220 --> 00:17:25,220
Right.

268
00:17:25,220 --> 00:17:26,220
Yeah.

269
00:17:26,220 --> 00:17:32,060
With that field that we looked at, I planted a summer annual pasture is the way to look

270
00:17:32,060 --> 00:17:33,060
at it.

271
00:17:33,060 --> 00:17:36,060
It was a combination of wheat, oats, and barley.

272
00:17:36,060 --> 00:17:38,420
Just some crops that I raised on the farm here.

273
00:17:38,420 --> 00:17:41,780
Then I purchased some field peas.

274
00:17:41,780 --> 00:17:47,700
I think I had some common vetch and what was the last part of that, buckwheat.

275
00:17:47,700 --> 00:17:52,900
I mixed that in there with the intentions of grazing that.

276
00:17:52,900 --> 00:18:00,540
It might look a little funny to some individuals where the only economic value that I'd end

277
00:18:00,540 --> 00:18:04,860
up getting off of it this year would be running cattle over it.

278
00:18:04,860 --> 00:18:08,180
I'm looking at it from a long-term perspective.

279
00:18:08,180 --> 00:18:12,380
Next year I'm hoping that's going to be an organic corn crop.

280
00:18:12,380 --> 00:18:19,100
They're basically applying all of my minerals, or not my minerals, my fertilizer for next

281
00:18:19,100 --> 00:18:20,100
year.

282
00:18:20,100 --> 00:18:23,540
All the nutrients that I'll need for that crop, they're applying out there.

283
00:18:23,540 --> 00:18:31,260
Whereas I might not necessarily make as much money, I'm hoping to have a break even on

284
00:18:31,260 --> 00:18:33,300
that field this year.

285
00:18:33,300 --> 00:18:39,860
Next year I'll see the value of that when we pull the organic corn off of it because

286
00:18:39,860 --> 00:18:47,100
the amount of nutrients that I had to apply, I'm not having to buy any button inputs.

287
00:18:47,100 --> 00:18:49,840
That's the big advantage that I'm seeing.

288
00:18:49,840 --> 00:18:53,820
Even if the crop ends up only being 100 bushel of organic corn, that's still going to cash

289
00:18:53,820 --> 00:18:58,300
flow because of the low inputs that I have into it.

290
00:18:58,300 --> 00:19:00,860
I think that's the big thing that they add into it.

291
00:19:00,860 --> 00:19:05,380
Then too, I think from a fitness standpoint with cattle, I think it's good for them to

292
00:19:05,380 --> 00:19:10,220
be out moving around on the land.

293
00:19:10,220 --> 00:19:17,980
That's where they need to be, is out on the land versus in some sort of barn or in a yard

294
00:19:17,980 --> 00:19:19,740
or a lot.

295
00:19:19,740 --> 00:19:23,940
You just have to put up with the peer pressure of because the ethanol plant is right there,

296
00:19:23,940 --> 00:19:28,260
like you said, everybody's driving by hauling their corn to the ethanol plant.

297
00:19:28,260 --> 00:19:31,380
That's probably one of the most trafficked areas in the county.

298
00:19:31,380 --> 00:19:36,860
You're like, what's Alan doing now?

299
00:19:36,860 --> 00:19:40,460
That's something you have to deal with a little bit.

300
00:19:40,460 --> 00:19:46,660
Yeah, I've noticed from a few neighbors that they'll say something about... They usually

301
00:19:46,660 --> 00:19:48,940
have... It's the Minnesota nice thing.

302
00:19:48,940 --> 00:19:51,860
They'll say something, when something goes right, they'll say, well, that worked out

303
00:19:51,860 --> 00:19:54,220
pretty good or that was kind of neat to see.

304
00:19:54,220 --> 00:20:02,700
I know people see it, which is a double-edged sword at that point where, yeah, it's good

305
00:20:02,700 --> 00:20:07,460
for... To see something a little variety out there, but then also when something fails,

306
00:20:07,460 --> 00:20:10,620
it fails spectacularly.

307
00:20:10,620 --> 00:20:15,940
The joke I have is every farmer in four counties drives by my farm at some point, it seems

308
00:20:15,940 --> 00:20:18,580
like, because of my location.

309
00:20:18,580 --> 00:20:22,460
Whether they know it's me or not, they still see what's going on out there.

310
00:20:22,460 --> 00:20:26,980
That was a tough one last year with the organic corn failure.

311
00:20:26,980 --> 00:20:32,700
Just having that look the way it did and knowing that I was grazing it, knowing that I had

312
00:20:32,700 --> 00:20:35,380
a plan, I understood what I was doing.

313
00:20:35,380 --> 00:20:43,760
I understood it made economic sense on my end, but from the casual passerby seeing that,

314
00:20:43,760 --> 00:20:45,900
it didn't look appealing.

315
00:20:45,900 --> 00:20:49,540
That was the same thing that happened this year with the wheat.

316
00:20:49,540 --> 00:20:54,660
I had the thistle bloom that ended up in those wet areas.

317
00:20:54,660 --> 00:20:59,460
I knew it didn't look good, but I knew how good the rest of the crop looked.

318
00:20:59,460 --> 00:21:04,380
I knew what the numbers were on it, that yes, I don't want to have those thistles.

319
00:21:04,380 --> 00:21:08,580
Yes, I want to try to do what I can about it, but on the other end, from an economic

320
00:21:08,580 --> 00:21:13,580
standpoint, it was going to make sense and it's part of my farming operation.

321
00:21:13,580 --> 00:21:19,660
I think that brings up another really good point that you brought up, which was your

322
00:21:19,660 --> 00:21:23,220
off-farm job as you teach, is it ag finance?

323
00:21:23,220 --> 00:21:24,220
Ag business.

324
00:21:24,220 --> 00:21:27,660
Ag business at Southwest Minnesota State University.

325
00:21:27,660 --> 00:21:32,420
You're used to looking at finances and thinking in terms of numbers and that kind of thing.

326
00:21:32,420 --> 00:21:37,420
One of the points that you made was it's a little bit frustrating that building soil

327
00:21:37,420 --> 00:21:43,740
organic matter is not one of those things that really shows up on a balance sheet.

328
00:21:43,740 --> 00:21:49,740
That's really hard to tabulate and say, okay, maybe I'm not getting a top crop this year,

329
00:21:49,740 --> 00:21:54,380
but I'm still, because I'm integrating livestock into the system and kind of building that

330
00:21:54,380 --> 00:22:01,100
soil health, I am over time kind of building up the financial resiliency of the soil here.

331
00:22:01,100 --> 00:22:03,900
It sounds like that's something that you think about a lot.

332
00:22:03,900 --> 00:22:10,300
Yeah, and I was fairly lucky with my dad.

333
00:22:10,300 --> 00:22:14,760
He may not have understood kind of the things that I was trying to transition on the farm

334
00:22:14,760 --> 00:22:21,580
and do, but he always gave me enough rope to hang myself, I guess.

335
00:22:21,580 --> 00:22:26,860
He might not have understood it, but he let me go through it and sometimes it worked out,

336
00:22:26,860 --> 00:22:27,860
sometimes it didn't.

337
00:22:27,860 --> 00:22:33,740
At his funeral a couple years ago, it was kind of a nice thing that one of the seed

338
00:22:33,740 --> 00:22:39,780
salesmen mentioned to me at the funeral is that my dad, when the last time he had talked

339
00:22:39,780 --> 00:22:45,740
with him about buying seed, could stop talking about how profitable one of my fields ended

340
00:22:45,740 --> 00:22:46,740
up being a few years ago.

341
00:22:46,740 --> 00:22:53,220
Where I had organic barley on the field, ended up yielding 90 bushel barley and we ended

342
00:22:53,220 --> 00:22:54,940
up running cattle over the top of it.

343
00:22:54,940 --> 00:23:00,300
We ended up planting just at the right time, had a really nice cover crop on it and we

344
00:23:00,300 --> 00:23:04,940
ended up grazing cattle on it for about a month after we were feed.

345
00:23:04,940 --> 00:23:09,120
My inputs were virtually nothing because I kept my own seed back and there was no fertilizer

346
00:23:09,120 --> 00:23:11,580
besides running the cattle on top of it.

347
00:23:11,580 --> 00:23:16,780
He never said it to me, but he must have said it to other people.

348
00:23:16,780 --> 00:23:18,980
He couldn't believe it.

349
00:23:18,980 --> 00:23:23,020
That was probably the most profitable land or profitable field that we had on all of

350
00:23:23,020 --> 00:23:29,540
our farms and I couldn't believe it how well it worked with how little inputs.

351
00:23:29,540 --> 00:23:34,900
Now it wasn't always that way, not every field, but it was nice to have those things happen.

352
00:23:34,900 --> 00:23:40,940
Getting back to what you were saying, the unfortunate thing I think I see now is that

353
00:23:40,940 --> 00:23:45,260
there's not enough of that older generation that's willing to let that younger generation

354
00:23:45,260 --> 00:23:49,720
take those chances and do those things.

355
00:23:49,720 --> 00:23:55,780
You know, we had farm income in 2022 was great and 23 was really good as well.

356
00:23:55,780 --> 00:24:00,540
We're going to have a downturn in overall income in 2024 with the prices the way that

357
00:24:00,540 --> 00:24:02,780
they've shifted.

358
00:24:02,780 --> 00:24:07,660
That shift is going to put us back into a situation, unless something happens, is going

359
00:24:07,660 --> 00:24:13,540
to put us into a situation where margins are going to get thin again for operators.

360
00:24:13,540 --> 00:24:19,940
We saw that after the 2012, 11, 12 run up in commodity prices.

361
00:24:19,940 --> 00:24:27,700
We had a step down through 13 and 14 through really 2020 were really tough on farmers,

362
00:24:27,700 --> 00:24:29,380
very thin margins.

363
00:24:29,380 --> 00:24:34,660
And so really taking those chances were something that a lot of them didn't want to do because

364
00:24:34,660 --> 00:24:39,860
again why would you put yourself in a situation where you could have a loss and if there's

365
00:24:39,860 --> 00:24:42,380
not a lot of room to move around.

366
00:24:42,380 --> 00:24:51,060
And then additionally if you're, you know, a lot of farmers have to utilize credit to

367
00:24:51,060 --> 00:24:52,860
make their farming operations work.

368
00:24:52,860 --> 00:24:59,100
When it comes from a lender's standpoint, not saying that they're against any of the

369
00:24:59,100 --> 00:25:03,820
soil health or any of that by any means, but the one thing is on a balance sheet you're

370
00:25:03,820 --> 00:25:08,020
never going to find a line item that says soil organic matter.

371
00:25:08,020 --> 00:25:09,020
That's not going to matter.

372
00:25:09,020 --> 00:25:13,340
It might show up through your practices from being more profitable, but there's no line

373
00:25:13,340 --> 00:25:14,340
on that.

374
00:25:14,340 --> 00:25:16,500
And it's something that you have to build up over time.

375
00:25:16,500 --> 00:25:21,620
And so you need to have a little leeway in the front end so that way you can make things

376
00:25:21,620 --> 00:25:22,620
going.

377
00:25:22,620 --> 00:25:24,300
You need to have that catalyst going forward.

378
00:25:24,300 --> 00:25:28,420
That's kind of the unfortunate thing is that a lot of farmers don't have that option of

379
00:25:28,420 --> 00:25:31,860
being able to get, or young farmers don't have that option to get things started that

380
00:25:31,860 --> 00:25:32,860
way.

381
00:25:32,860 --> 00:25:36,060
If you can start on a small field and just do something different and just give it a

382
00:25:36,060 --> 00:25:37,540
try to see where it goes.

383
00:25:37,540 --> 00:25:40,340
I mean, that's kind of where it starts.

384
00:25:40,340 --> 00:25:42,820
But you have to have the ability to be able to do that.

385
00:25:42,820 --> 00:25:48,460
And if you can't start somewhere, you're never going to be able to get started anywhere.

386
00:25:48,460 --> 00:25:53,660
One of the things you brought up repeatedly was how you've had to deal with, there was

387
00:25:53,660 --> 00:25:55,140
a couple years of drought.

388
00:25:55,140 --> 00:26:00,980
Now we had this weird, super wet early part of the season this year where things kind

389
00:26:00,980 --> 00:26:01,980
of flipped.

390
00:26:01,980 --> 00:26:05,580
And one of the things you pointed out, which I think is a good point, that after a couple

391
00:26:05,580 --> 00:26:09,860
years of drought, you can tell people all you want that cover crops are a good idea.

392
00:26:09,860 --> 00:26:14,500
Boy, they have kind of a bad reputation right now because people just couldn't get them

393
00:26:14,500 --> 00:26:17,300
established and they didn't go well.

394
00:26:17,300 --> 00:26:21,260
So one of the things you brought up was you would point out an example of where there

395
00:26:21,260 --> 00:26:24,260
was some issues with a piece of land that you were working with.

396
00:26:24,260 --> 00:26:30,580
And you'd say, boy, if I could get more perennials established here, I think that that would really

397
00:26:30,580 --> 00:26:34,860
help me be more resilient on this piece of land and kind of be more flexible.

398
00:26:34,860 --> 00:26:39,660
It sounds like that that's really the whole perennialization is something that you really

399
00:26:39,660 --> 00:26:42,940
think about and maybe are leaning more toward.

400
00:26:42,940 --> 00:26:46,420
I don't want to put words in your mouth, but you're leaning more towards on the farm in

401
00:26:46,420 --> 00:26:47,420
general.

402
00:26:47,420 --> 00:26:50,300
Yeah, it's something I've thought about for a long time.

403
00:26:50,300 --> 00:26:58,000
And just trying to make that cash flow, again, is kind of the difficult one.

404
00:26:58,000 --> 00:26:59,580
Just where I'm located.

405
00:26:59,580 --> 00:27:04,100
And a lot of that goes back to the cost of land.

406
00:27:04,100 --> 00:27:10,620
So in our area, we've had some land sales that were $14,000, $15,000 an acre.

407
00:27:10,620 --> 00:27:13,060
So land values are very high.

408
00:27:13,060 --> 00:27:14,540
Cash rent has been really high.

409
00:27:14,540 --> 00:27:19,980
I assume with commodity prices where they're at right now, they're going to come down.

410
00:27:19,980 --> 00:27:25,500
I am lucky I'm farming some family land, so that makes it easier.

411
00:27:25,500 --> 00:27:29,340
But I still have to come up with cash rent.

412
00:27:29,340 --> 00:27:35,900
And when you make that conversion over to perennials, there's an investment.

413
00:27:35,900 --> 00:27:41,740
There's the investment of that first year of whether you put a nurse crop on it or if

414
00:27:41,740 --> 00:27:46,380
you're trying to take some hay off of it, it is not going to cash flow in that first

415
00:27:46,380 --> 00:27:47,380
year.

416
00:27:47,380 --> 00:27:52,220
So I've got one field this year that I've started in a perennial grass mix.

417
00:27:52,220 --> 00:27:55,860
It does have some legumes, some elf elf in there.

418
00:27:55,860 --> 00:28:00,340
But this year, from an economic standpoint, I'm not going to be pulling off a lot from

419
00:28:00,340 --> 00:28:01,340
it.

420
00:28:01,340 --> 00:28:03,860
It's going to be a sink on the cash flow.

421
00:28:03,860 --> 00:28:10,380
Lucky the other fields are hopefully going to be covering that, like the organic wheat

422
00:28:10,380 --> 00:28:12,900
will help out to offset some of that.

423
00:28:12,900 --> 00:28:15,380
And that's kind of how I approach this.

424
00:28:15,380 --> 00:28:19,340
But going really back into those perennials, I look at some of the problems that I had

425
00:28:19,340 --> 00:28:25,000
and a lot of them could have been solved from that, especially with adding more grasses

426
00:28:25,000 --> 00:28:26,580
to the mix.

427
00:28:26,580 --> 00:28:32,300
I have some alfalfa fields as well that were not supposed to be strictly alfalfa fields.

428
00:28:32,300 --> 00:28:38,460
Planting them in those droughts created a situation where the alfalfa took and the grasses

429
00:28:38,460 --> 00:28:39,460
didn't.

430
00:28:39,460 --> 00:28:44,860
And so the alfalfa with its deep roots was able to tap onto some moisture and the grasses

431
00:28:44,860 --> 00:28:46,740
ended up withering and dying.

432
00:28:46,740 --> 00:28:53,500
And so these stands of alfalfa that I have were supposed to be a very diverse mix with

433
00:28:53,500 --> 00:28:54,500
grasses.

434
00:28:54,500 --> 00:28:55,900
But that didn't come to be.

435
00:28:55,900 --> 00:29:00,980
That's prevented me from being able to graze them effectively because it's either having

436
00:29:00,980 --> 00:29:06,020
to be late season or very mature alfalfa, otherwise I'm going to have issues with bloat.

437
00:29:06,020 --> 00:29:11,780
And yes, I know there's ways to mitigate that, but at the end of the day, it doesn't necessarily

438
00:29:11,780 --> 00:29:14,700
mitigate all of the issues you have with that.

439
00:29:14,700 --> 00:29:19,900
But with the grasses, what that does is it gives me the option from a hay standpoint

440
00:29:19,900 --> 00:29:23,900
and then also running the livestock.

441
00:29:23,900 --> 00:29:28,940
My first love, and I'd like to be the main, the primary enterprise on the farm is going

442
00:29:28,940 --> 00:29:29,940
to be the livestock.

443
00:29:29,940 --> 00:29:35,320
And with the sheep that we brought in, with the cattle, if I could run everything with

444
00:29:35,320 --> 00:29:40,580
cattle and sheep or whatever other livestock and really take down the grain end of it,

445
00:29:40,580 --> 00:29:41,980
I'd much prefer that.

446
00:29:41,980 --> 00:29:45,860
But I have to be able to make that cash flow from a year to year basis.

447
00:29:45,860 --> 00:29:49,980
And so that's where those perennials, trying to fit in, figure out where those perennials

448
00:29:49,980 --> 00:29:50,980
come in.

449
00:29:50,980 --> 00:29:54,660
If it rains too much, it's not a big deal with perennials because they're just going

450
00:29:54,660 --> 00:29:56,660
to suck up all the moisture.

451
00:29:56,660 --> 00:29:58,860
If you can't get out there to cut hay, not a big deal.

452
00:29:58,860 --> 00:30:00,100
You can go out and graze it.

453
00:30:00,100 --> 00:30:04,900
If it gets too dry, yes, that's unfortunate, but it's going to be dry anywhere.

454
00:30:04,900 --> 00:30:09,660
And then there's risk mitigation tools that are available if it gets too dry on grazing

455
00:30:09,660 --> 00:30:10,660
land.

456
00:30:10,660 --> 00:30:13,060
So you can utilize those too.

457
00:30:13,060 --> 00:30:14,780
It just gives you so many more options.

458
00:30:14,780 --> 00:30:20,300
And then also with the cover crops, I really do like adding in all of these cover crops.

459
00:30:20,300 --> 00:30:22,100
I like adding in these different plants.

460
00:30:22,100 --> 00:30:26,380
But if you're not going to get enough moisture to get growth out of them, and you're running

461
00:30:26,380 --> 00:30:31,180
those tractors and the equipment over the fields over and over again, there's a cost

462
00:30:31,180 --> 00:30:32,620
to that.

463
00:30:32,620 --> 00:30:39,060
And labor costs for repair costs on equipment aren't going down.

464
00:30:39,060 --> 00:30:41,160
The cost of equipment isn't going down.

465
00:30:41,160 --> 00:30:45,860
So if you can go into a perennial system, you can also limit a lot of that as well.

466
00:30:45,860 --> 00:30:50,700
From what I'm understanding from others I've talked to, quality of life might actually

467
00:30:50,700 --> 00:30:52,100
improve a little bit as well.

468
00:30:52,100 --> 00:30:56,260
There might be some free time instead of sitting on the seat of a tractor trying to get a cover

469
00:30:56,260 --> 00:30:59,940
crop in and making sure you have feed for cattle down the road.

470
00:30:59,940 --> 00:31:01,600
It's growing naturally that way.

471
00:31:01,600 --> 00:31:03,260
You're harvesting energy from the sun.

472
00:31:03,260 --> 00:31:09,660
I can't get over a little bit the irony that you are farming literally in the shadow of

473
00:31:09,660 --> 00:31:15,820
an ethanol plant, a major ethanol plant, which not to beat up on ethanol, but it has, you

474
00:31:15,820 --> 00:31:20,740
know, played a major role in livestock being removed from the land in counties like Lyon

475
00:31:20,740 --> 00:31:26,380
County here, you know, where we're just, when an ethanol plant comes in, it's a big market

476
00:31:26,380 --> 00:31:27,380
for corn.

477
00:31:27,380 --> 00:31:34,260
And so there is, the fences come out, livestock leaves the area and we don't see the integrated

478
00:31:34,260 --> 00:31:36,660
livestock crop farms anymore.

479
00:31:36,660 --> 00:31:40,860
You are kind of going, there's, you know, farmers all over who are going against the

480
00:31:40,860 --> 00:31:42,860
grain and trying to do things differently.

481
00:31:42,860 --> 00:31:48,780
You're doing it in the shadow of an ethanol plant, which is a big player in the trend

482
00:31:48,780 --> 00:31:51,300
the other way where everything goes into row crops.

483
00:31:51,300 --> 00:31:54,660
I mean, do you ever think about the irony of that a little bit of how you're kind of,

484
00:31:54,660 --> 00:31:56,380
you're really going against the grain?

485
00:31:56,380 --> 00:31:57,380
Oh yes.

486
00:31:57,380 --> 00:32:03,100
And in 2022 when there was $7 corn and I was out baling hay, absolutely.

487
00:32:03,100 --> 00:32:08,460
I would, as I turned the tractor around and see the ethanol plant on the, as I'm driving

488
00:32:08,460 --> 00:32:11,340
by, I'm questioning what am I doing out here?

489
00:32:11,340 --> 00:32:16,900
I could be grazing corn and I do raise corn as well.

490
00:32:16,900 --> 00:32:22,600
So and then most of my corn goes to the ethanol plant there that because my, I try to brace

491
00:32:22,600 --> 00:32:26,420
my livestock as more of a grass based system.

492
00:32:26,420 --> 00:32:29,060
I'm not feeding any corn to my livestock.

493
00:32:29,060 --> 00:32:32,300
So the corn that I do raise does go to the ethanol plant.

494
00:32:32,300 --> 00:32:37,680
I look at it from a diversity standpoint that, you know, it's good to have those options

495
00:32:37,680 --> 00:32:42,580
out there for individuals, but I think the key there is the diversity.

496
00:32:42,580 --> 00:32:49,620
Yes, ethanol is a part of agriculture, but this other part of agriculture, the grazing,

497
00:32:49,620 --> 00:32:53,000
the livestock end of it, that should also be a part of it as well.

498
00:32:53,000 --> 00:32:56,140
We need to, you know, just have a balance between the two.

499
00:32:56,140 --> 00:33:03,120
So but yes, that $7 corn made me just kind of grind my teeth together.

500
00:33:03,120 --> 00:33:04,180
What was I thinking?

501
00:33:04,180 --> 00:33:10,540
Now I think the local price right now is at $3.95, which again, I teach a commodities

502
00:33:10,540 --> 00:33:16,580
class at SMSU and commodities class, we were looking over basis.

503
00:33:16,580 --> 00:33:18,800
The ethanol plant has risen the basis here.

504
00:33:18,800 --> 00:33:21,340
We have a stronger basis than a lot of the local communities.

505
00:33:21,340 --> 00:33:26,940
If you get 20, 30 miles away from here, the corn price could be 30 or 40 cents lower based

506
00:33:26,940 --> 00:33:27,940
on that.

507
00:33:27,940 --> 00:33:32,860
So it does have a, it does have an economic bearing on the area, which in a positive way

508
00:33:32,860 --> 00:33:34,540
for grain farmers.

509
00:33:34,540 --> 00:33:37,820
But again, just need to be able to strike a balance on it.

510
00:33:37,820 --> 00:33:42,540
I can stomach baling hay a little bit better when it's, when I see the $3.95 as the price

511
00:33:42,540 --> 00:33:56,180
versus a north of $7.

512
00:33:56,180 --> 00:34:01,460
For more on building soil health profitably and reintegrating livestock onto the land,

513
00:34:01,460 --> 00:34:08,260
see the podcast page for Ear to the Ground episode 357 at landstewardshipproject.org.

514
00:34:08,260 --> 00:34:12,980
If you have comments or suggestions about this podcast, contact Brian DeVore at bdevor

515
00:34:12,980 --> 00:34:20,020
at landstewardshipproject.org or you can call 612-816-9342.

516
00:34:20,020 --> 00:34:24,240
It helps us greatly if you can give Ear to the Ground a rating on whatever podcast platform

517
00:34:24,240 --> 00:34:25,380
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518
00:34:25,380 --> 00:34:28,300
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519
00:34:28,300 --> 00:34:33,780
If you like what you hear, tell at least one person about LSP's Ear to the Ground.

520
00:34:33,780 --> 00:34:38,540
Thanks to Laura Borgendel, Western Minnesota musician, for Ear to the Ground's theme music.

521
00:34:38,540 --> 00:34:43,300
And a special thank you to all of Land Stewardship Project's members who make initiatives such

522
00:34:43,300 --> 00:34:45,240
as this podcast possible.

523
00:34:45,240 --> 00:34:52,300
If you're not a member, visit landstewardshipproject.org to learn how you can support LSP.

524
00:34:52,300 --> 00:34:53,300
Thanks for listening.

525
00:34:53,300 --> 00:35:00,300
And we'll see you next time.

