Peterson Farm

Greetings,

As many of you know, running a business in the current economic climate is a challenge. At the farm prices of inputs, especially fuel and feed, continue to rise at a rapid rate approaching 50% above last year. In order to remain sustainable, this has to be passed on in increased prices or, to some degree, increased volume. We are trying some things to increase volume which, hopefully, will help.

However, increased volume with lower profit margin has its limits. You probably heard the world’s largest integrator, Pilgrim’s Pride, closed a processing plant in Siler City and some others around the country. And they are not the only ones having problems because of the same two main items, fuel and feed. These giant corporations operate on volume with only a few cents per pound profit. And when a bump in the economy comes they are in the red. There is a point where volume verses profit margin becomes unsustainable.

On the other hand, we hear that small independent processors are doing a booming business. Part of the reason is they operate on higher profits. The other part is you, the consumers, are buying more locally and sustainably produced foods.

Some of the direct market farmers may be afraid to raise prices but you can be sure, if the present conditions persist for very long, many of them will be out of business. As we have mentioned before, part of sustainability is receiving enough for products that you can continue farming.

On another note, the 2007 Farm Bill is still stuck in the Senate. Last week, I watched part of the hearings on food safety. It was obvious the senators did not know enough about the issues involved to ask pertinent questions. Well, they can’t be experts on everything. They depend on information provided by industry ‘professionals’. These so called professionals are so far removed from the actual food production operations they can’t know the practical problems or solutions. It’s no wonder government programs fail to meet existing needs. Looks like there could be a better way to gather information so lawmakers would be better informed and make better decisions.

This week we are freshly supplied with all cuts of Pasture Finished Jersey Beef and Homegrown Pork. We will have turnip and mustard greens as well as kale.

Just so you will know, it will be around the first of May when we have Pastured Chicken.

We plan to be at the market extra days this weekend since it is Easter. We will be setup for business on Fri., Sat., and Monday from 9:00 until 3:00.

Hope to see you at the market!