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Beginning farmers say access to land, capital remains biggest challenge

A pair producers say that access to capital to acquire farmland has been their biggest barrier entering the industry.

Lydia O’Brien and her husband own a small cow/calf operation in the Nebraska Sandhills and says land prices are not affordable for someone getting into ranching. “We’re running into what most young producers do. We just don’t have the capital to expand. Looking forward, my husband I would love to by more land to expand the operation and so right now, we’re trying to build that capital up.”

The former ag teacher says supportive cattle prices have allowed them to make some investments. “We’ve been able to buy a few pieces of our own equipment. But at the same time, our parents help out with most of the expenses right now. It’s a balancing act because we need to spend some for taxes ever year but at the same time our parents have been rally good at helping us build that (capital) up.”

Chris Popkin began farming about 10 years ago and says he used a USDA program to secure a low-interest rate loan for his first land purchase. “I’m still paying on it. I get a reminder every year for it. I think it’s close to a 40 year loan. It really helped me get started before I had even 10 years under my belt.”  

But, he says, paying back that loan will take time and needs to maximize his marketing strategy better. “Next time when beans start to get up to $11, $12 or $13, I should reward the market more than I did. Every time it went up a $1 or $2 I thought it would go to $15 or $16 and I need to stop thinking about it that way.”

Both producers say their parents played a key role in helping them get started by letting them rent land instead of buying large parcels.

Lydia O’Brien:

Chris Popkin: