Farm Business Management Data and Practices in the North James Area

The farmer today is in an unfavorable position economically. The costs of farming have increased steadily over the past several years, while farm product prices have declined. According to statistics published by the Federal Crop and Livestock Reporting Service, South Dakota farmers in 1956 paid 115 percent of 1947-49 prices for goods and services received, while receiving approximately 75 percent of 1947-49 prices for farm products. Because of this “cost-price squeeze,” the farm operator must continually adjust his management practices to changing conditions if he is to maintain or increase his income and level of living. This requires a careful and thorough analysis of each year’s operations, in order to locate the areas of low efficiency and make changes which will increase returns. In attempting to locate areas of inefficiency, it is advantageous to a farmer if he can compare his farm operations with those of other farms of a similar type. The farmer also needs information concerning the costs and returns which might be expected on enterprises other than those on his own farm. This information can be used for setting up alternative budgets for his farm. It is the purpose of this study to obtain data on organization, costs, and returns for farms in the North James Area of eastern South Dakota, to be used by farm operators in this area for purposes of comparison and information. The data can also be used by those contemplating farming in the area, as a guide to the costs and returns which might be expected