Control The Things You Can

Control The Things You Can

I’m KayDee Gilkey with the Northwest Farm and Ranch Report.

The fiscal cliff, the continual kicking of the debt can and the lack of a new Farm Bill; all headlines and big issues that ag producers can read about but other than contacting their congressional delegation with their opinions there isn’t much more a producer can do but watch.

It can be frustrating but rather than focusing on what you don’t have direct control over, Dr. Dave Kohl, globetrotting Emeritus ag econ professor from Virginia Tech, says examine those things that you do control or can change.

Kohl: “You know the Fiscal Cliff, I think the bigger issue will be our debt and debt limits is the 900 pound gorilla. But you know what I tell lots of ag producers, particularly the livestock side is manage the things you can manage and manage around some of these things that create noise. Because if you just got bogged down with what is happening in Washington D.C. you’d never do anything.”

Instead, Dr Kohl shares actions producers can take and manage.

Kohl: “But one of things I would say is keep your debts fairly conservative. If you have a good year, hold back some cash but then be proactive and have a business plan and execute it.”

Another one is having liquidity in your business helps so when opportunities present themselves and they fit your business and marketing plans, you can seize them.