Highcotton
Southern Chickens
- Mar 18, 2013
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I have read several posts like this one and it amazes me that no one has mentioned government intervention. All us backyard chicken raisers are computing our costs based in the real world. Those store bought WallyWorld eggs are not.
Consider --
* States compete for the likes of Tyson and Perdue. Need a fecal lagoon or a composting system? Here ya go Tyson, Perdue we'll cut ya check for the installation compliments of the state taxpayers.
* Need to double your CAFO facility to compete or meet a contract? Hey, here's a USDA grant or a zero interest loan to build it.
* These same outfits when they are dickering also get 5 or 10yr abatement's on their real estate taxes as well.
* Mr. WallyWorld needs a loss leader to get the folks in the stores. Eggs have traditionally been just that item. Drive it down to $.89-1.20/dz. Yeah we are losing .75c on every sale but our markup on OJ and sausage will fully make up for that.
* Finally your are competing against other consumers. Every time some one swipes a EBT card you are paying for the privilege on behalf of someone. That represents a portion of your tax bill as well.
The industrial producers are externalizing their costs on the back of the consumer. Sadly the consumer does not make the connection of what they paid for the eggs is not the full cost to them. That very same consumer also provided the grant money, the zero interest loan money, the increased real estate taxes they must pay and the EBT card.
In many ways the backyard chicken raiser is competing with himself thanks to sweet heart deals.
(I apologize if this seems too political, but it is a fair assessment.)
The workers for the jobs created are imported from Mexico and the taxpayers don't even get a low paying job.