Alberta farmer express

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VEGREVILLE SCORES BIG WITH TWO NEW ELEVATORS

THE DRONE REVOLUTION JUST GETTING STARTED Agriculture is on the cusp of a brand new era, says expert » PG 2

Grain company boss predicts competition for grain will intensify » PG 3

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Western Canada’s All Breeds Bull Sale Source IN THIS ISSUESEE PAGE 65 Publications Mail Agreement # 40069240

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COVER CROPS: The potential is huge, but so is the learning curve Those looking for a one-size-fitsall solution will be disappointed BY GLENN CHEATER AF STAFF

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ooking over at the emptied room that had been packed with attentive farmers a few minutes earlier, cover crops guru Kevin Elmy could only shake his head. “If I had given a talk here five years ago, maybe the front row might have been filled — maybe,” the Saskatchewan farmer said after his FarmTech presentation,

see COVER CROPS } page 7

Inputs and iron:

Relentless price hikes squeeze producers

When crop prices soared, so did costs — and they stayed high even as farm revenues fell back to earth BY JENNIFER BLAIR AF staff

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ecord-high grain and oilseed prices are a speck in the rear-view mirror, but they’ve left a legacy of higher costs. “When we see higher grain prices, we can expect to pay higher inputs,” said Scott Keller, a mixed grain farmer near New Norway. “All the companies selling crop inputs look at farmers’ margins and then basically increase their prices to see what the market will bear. They gobble up a good chunk of that extra profit when we see those higher grain prices. “We can pretty much bank on that happening every time we see an increase in commodity prices.” From 2013 to 2016, barley prices fell six per cent, wheat went down 15 per cent, and canola dropped 18 per cent, according to provincial statistics. During the same period some inputs also fell (urea by 11 per cent and wheat and barley seed by three and five per cent respectively) while others rose (an 11-51-0 fertilizer blend is up by 10 per cent and Roundup Ready canola seed costs eight per cent more).

INPUTS AND IRON } page 6

When farm revenue goes up, farm equipment and input companies are quick to raise prices, says Scott Keller. But when it comes to those costs, what goes up rarely comes down, he notes.  PHOTO: SUPPLIED

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more and possibly lots more } PAGE 20

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