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Kevin Hursh on Agriculture: Hursh Comment

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Cash rent and unseeded land

Posted in Uncategorized by Kevin Hursh
Aug 03 2010

What should happen with cash rents on land that couldn’t be seeded this spring? With millions of acres unseeded, the cash rent situation is a hot topic in some communities. Most cash rental agreements stipulate a payment per cultivated acre without any provision for a year when the land couldn’t be seeded. Legally, under most agreements, the rent is to be paid no matter what. A year like this one shows the need to have an agreement that takes all sorts of different scenarios into account. Beyond the legal status, some will argue that landlords have a moral imperative to help out renters. There will no doubt be instances where landlords do just that, especially if the renter has been farming the land for a long time or if the renter is a relative. In some cases, the landlord may provide a break this year in exchange for enhanced benefits in subsequent years. On unseeded land, the only income is the Unseeded Acreage Payment under crop insurance and the $30 in extra assistance announced by government. It doesn’t amount to much compared to the costs for weed control and getting land in shape to seed next year, let alone a cash rent payment. However, producers with a lot of unseeded land should qualify for varying amounts under the AgriStability program, so their situation may not end up as dire as it appears. I’m Kevin Hursh.

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Ag Resources

  • AgriBiz Communications
  • Agriculture Canada Drought Watch
  • Canadian Cherry Producers
  • Canadian Grain Commission
  • Canadian Western Agribition
  • Canaryseed Development Commission of Saskatchewan
  • Crop Production Week
  • Farm Credit Canada
  • Inland Terminal Association of Canada
  • Saskatchewan Agricultural Hall of Fame
  • Saskatchewan Institute of Agrologists
  • Saskatchewan Ministry of Agriculture
  • Saskatchewan Mustard Development Commission
  • The Western Producer
  • US Department of Agriculture
  • Weather Office
  • Western Beef Development

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