I guess us farmers aren't really too aware of the risks of defaults on grain payments out there. I heard on the grapevine Agracorp/CBH only just managed to secure a line of credit for this harvest around 10 days ago. If time had elapsed any further they may have been unable to pay up at harvest as I'd suggest now that credit line would be inherently harder to get if it hadn't dried up altogether ...
Don't know about you John but even with cheap fertilizer on hand I won't be taking many risks next year. May scale back production aspirations simply to reduce exposure to risk and need to borrow. Fallow/Green manure weedy, frost drought risky paddocks? Crop the best country only. The next 12 months in particular could be frieghtening to be carrying too much debt through?
