DESPERATE LIVES ON LISTERIA LANE

listeria-blue_-bell_CDC estimates an annual average of fifteen hundred (1,591) people in the U.S. develop systemic infection caused by food contaminated with Listeria monocytogenes; there have been no cases attributed to drinking raw milk in the last twelve years.

Blue Bell stopped production and distribution of ice cream to 25 states in April 2015 after the discovery of listeria. Ten reported cases of listeria were linked to Blue Bell frozen treats and three of those sickened later died.

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In fact, Blue Bell knew it had a listeria problem two years earlier. The FDA released inspection reports showing that the company had found the bacteria in its Oklahoma plant, on surfaces such as floors and catwalks, on 17 occasions beginning in March 2013. Despite this, the FDA found, Blue Bell hadn’t followed up “to identify sanitation failures and possible food contamination,” taken proper steps to root out the problem, or informed the agency of its findings. FDA inspections of multiple plants, starting in March, found not only listeria but also condensation dripping from machinery into ice cream and ingredient tanks; poor storage and food-handling practices; and failures to clean equipment thoroughly.

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The most serious public health risk due to Listeria monocytogenes, comes from contaminated ready-to eat processed foods, particularly meats.

Make your own ice cream

guide-to-ice-cream-makers

3 egg yolks (pastured eggs from the farmers’ market)

1/2 cup Canadian maple  syrup

1 tablespoon vanilla extract

1 tablespoon arrowroot powder

3 cups of raw cow’s milk heavy cream (the secret ingredient, raw cream, requires a visit to the farm)

1/2 cup walnuts finely chopped

Beat egg yolks and blend remaining ingredients. Pour into ice cream maker per instructions.

DEATH OF RAW DAIRY

moonshine-stillTara: Finding a source of raw dairy products is akin to looking for ‘moonshine’ during prohibition. Texas is unique in the fact that the Texas Department of Health inspects and registers their licensed grade ‘A’ raw dairies. The customers’ dilemma is being forced to trek out to the countryside looking for these safe, clean, sanitary and state inspected ‘stills’ because it’s against the law to sell off-the-farm. Someday, the raw milk movement in California, led by Mark McAfee’s Organic Pastures http://www.organicpastures.com/home will raise all levels of consciousness to legalize retail raw dairy. Until Whole Foods Texas, imitates Whole Foods California, it’s the ‘speakeasy’ in the city or the ‘still’ in the country.

JLD_0005Anala Goat Company got our license in March 2003, Proverbs Farm, (goat) Alvin, Water Oak (goat) in Bryan and Stryk (cow) are the only dairies left on the Texas DSHS http://www.dshs.texas.gov/ 2014-2016 list. Unfortunately the two goat dairies Proverbs and Wateroak have called it quits.

I sold our farm in 2007 and most probably was put on the TX DSHS closed list on their 2008-2010 report. The current grade ‘A’ raw dairy list of 85, has 25 closed and 15 null (walking dead). Most of the fallen dairies are mom and pop goat’s milk producers who can’t remain viable or sustainable primarily because they need the Texas DSHS legitimization to assure themselves as well as their customers of a quality product.

However, the on-the-farm sales restriction makes it all but impossible for the dairy goat farmer to make any money. Anala grossed $200-300 a week selling only on our farm, 50 miles outside of Houston. Taking the milk, kefir and cheese to eight farmers’ markets inside Houston, brought home $4,000 a week.

organic pasturesSo, Tara, the answer to your question is NO! We no longer have any goats to milk and therefore no grade ‘A’ raw goat’s milk, kefir, feta and chevre to sell. Long removed from the Houston raw dairy scene by time and geography, I can’t even tell you where to find raw goats milk. My only suggestion is to contact Stacey Roussell of All We Need Farms in Needville. https://www.facebook.com/allweneedfarm and http://www.allweneedfarms.com/ A visit to her farm is a must for the model of a sustainable family farm.

Thank for asking, I never would have known how bad the situation was, until I took a look.

ProhibitionDSHS Current/Closed/Expired Raw Dairies Inspected March 2014 – March 2016 * sorted by City in ascending order

1) Pereira Pastures Creamery 18024 N CR 2700 Abernathy, TX 79311 Current 08/31/2017
2) Proverbs Farm & Dairy 12403 County Rd 280 Alvin, TX 77511 Closed 08/31/2014
3) Hidden Valley Dairy 402 Old Justin Rd Argyle, TX 76226 Closed 08/31/2016
4) Ash Acres Dairy 5898 Dice Grove Rd Belton, TX 76513 Current 08/31/2016
5) |2| Acres 1584 VZ CR 4909 Ben Wheeler, TX 75754 Closed 08/31/2016
6) Trimble Dairy 9716 FM 1795 Big Sandy, TX 75755 Current 08/31/2016
7) Zenubi Creek Farm 11033 CR 574 Blue Ridge, TX 75424 Null 11/06/2014
8) All Swiss Enterprises LLC 1674 Cuba Rd Bridgeport, TX 76426 Current 08/31/2017
water-oak9) Wateroak Farm 8187 Wateroak Ln Bryan, TX 77808 Closed 08/31/2016
10) Ma Bella Dairy 22652 Cherokee Ln Bullard, TX 75757 Closed 08/31/2016
11) Triple F Farms 9416 W 855 Bullard, TX 75757 Closed 08/31/2014
12) Campbell’s Classic Dairy 1637 CR 312 Cleburne, TX 76031 Closed 08/31/2015
13) Sand Creek Farm 1552 CR 267 Cameron, TX 76520 Current 08/31/2016
14) Truckin’ Blues 258 PR3829 Clarksville, TX 75426 Null 11/06/2014
15) All-Natur-L 5722 CR 209 Cleburne, TX 76031 Current 08/31/2017
16) Little Dairy on the Prairie 316 CR 2293 Cleveland, TX 77327 Null 11/06/2014
17) Lonesome Doe Nubians 550 Dogwood Rd Cleveland, TX 77327 Null 11/06/2014
18) R & C Dairy 40 Crossroads Rd Collinsville, TX 76233 Current 08/31/2016
19) Calico Dairy 9950 League Line Rd Conroe, TX 77304 Current 08/31/2017
20) Hilltop Farm 1576 Hwy 19 S Crockett, TX 75835 Null 11/06/2014
21) Green Acres Goat Farm 6263 CR 602 Dayton, TX 77535 Null 11/06/2014
22) Diamond B Cattle Company 974 Hlavek Rd Decatur, TX 76234 Current 08/31/2016
inside-the-shop-with23) Veldhuizen Family Farm 425 PR 1169 Dublin, TX 76446 Current 08/31/2017 Picture: Daughter Chelsea inside cheese shop
24) Valenta Jersey Farm LLC 4652 CR 303 El Campo, TX 77437 Current 08/31/2016
25) Youngs Prairie Dairy 356 Youngs Prairie Rd Elgin, TX 78621 Current 08/31/2017
26) P & E Farms 765 RSCR 3410 Emory, TX 75440 Current 08/31/2016
27) Springville Farms 2296 W FM 2795 Emory, TX 75440 Current 08/31/2016
28) Latte Da Dairy 1304 Bridle Bit Rd Flower Mound, TX 75022 Current 08/31/2016
29) Dry Valley Dairy 100 Dry Valley Rd Forestburg, TX 76239 Current 08/31/2016
30) Yellow Rose Dairy (RR-COW) Rt 1 Forestburg, TX 76239 Closed 12/11/2015
31) Homestead Farms LLC 4160 Kelle Hicks Rd Fort Worth, TX 76244 Closed 10/07/2015
32) Little Dub Farm 4901 Kelly Rd Fort Worth, TX 76126 Closed 08/31/2015
33) Liere Dairy 417 Liere Ln Franklin, TX 77856 Closed 12/16/2014
34) Better Way Dairy 163 CR 297 Gainesville, TX 76240 Closed 08/31/2014

circle-owner farmMy Dad started this dairy in 1967 and we have continued the proud tradition and heritage of having a true “family farm”.  Now my wife, Michelle along with our youngest of three sons Kevin are helping make “Neu Tradition” a wonderful reality.
35) Circle N Family Dairy LLC 2074 CR 446 Gainesville, TX 76240 Current 08/31/2017 Picture: Tommy & Michelle Neu
36) Spring Creek Farms 5455 S I35 Gainesville, TX 76240 Current 08/31/2016
37) Dyer Dairy 7801 E Hwy 29 Georgetown, TX 78626 Current 08/31/2017
38) Rosey Ridge Farm 175 HCR 4415 Grandview, TX 76050 Expired 08/31/2014
39) Utterly Divine Dairy 8377 E FM 916 Grandview, TX 76050 Closed 12/11/2015
40) Clementine’s Dairy 2238 County Rd 1081 Greenville, TX 75401 Current 08/31/2016
41) True Fields I-10 S Service Road West Hallsville, TX 75650 Null 11/06/2014
42) Fair Meadow Farm 226 CR 3819 Hawkins, TX 75765 Closed 08/31/2014
43) Liberty Farms Dairy 287 CR 2495 Hico, TX 76457 Current 08/31/2017
44) D-S Steubing Dairy 2034 CR 532 Hondo, TX 78861 Current 08/31/2016
45) Phill Riggs 15 Joe Werner Way Huntsville, TX 77340 Null 11/06/2014
46) Gholson Farms Inc 402 N FM 369 Iowa Park, TX 76367 Closed 08/31/2015
47) Buttercup Farms 975 County Rd 4106 Jacksonville, TX 75766 Expired 08/31/2015
48) Trail Creek Dairy Trail Creek Dairy Rt 2 Box 59 Closed 12/11/2015
49) Full Quiver Farms 6238 FM 3396 Kemp, TX 75143 Current 08/31/2017
50) Twelve Gates 6330 Gander Slough Rd Kingsbury, TX 78638 Null 11/06/2014
51) Bradley Farm 1046 BCR 111 Lampasas, TX 76550 Closed 12/11/2015
52) Miller Farms 12730 FM 471 S La Coste, TX 78039 Current 08/31/2016
53) 101 Ranchita Dairy Goats LLC 7538 FM 609 La Grange, TX 78945 Closed 08/31/2015

whiskey prohibition

54) The Jersey Barnyard 3117 Hwy 159 La Grange, TX 78945 Current 08/31/2017
55) Keechi Creek Dairy LLC 316 6057 CR 106 Leona, TX 75850 Current 08/31/2017
56) Crystal Creek Farms 810 S Frontage Rd Lorena, TX 76655 Closed 10/05/2015
57) Flatlander Dairy (RR-COW) Rt 2 Box 99B Lubbock, TX 79415 Closed 12/11/2015
header58) Cole’s Creamery 2065 RR 1723 Mason, TX 76856 Current 08/31/2016
59) Rose of Sharon Acres 3907 CR 1202 N Maud, TX 75567 Null 11/06/2014
60) Mill-King Genetics 0 1410 Coyote Ln McGregor, TX 76657 Current 08/31/2016
61) Edens Lilly 5579 Rancho Tuluca Rd Mercedes, TX 78570 Current 08/31/2016
62) Happy Feet Farm 2701 CR 140 Midland, TX 79707 Null 11/06/2014
63) Coursey Family Farm 6424 S FM 113 Millsap, TX 76066 Current 08/31/2016
64) Lindley Organic Farm 3452 FM 49 Mineola, TX 75773 Closed 08/31/2014
65) The Waldo Way LLC 395 County Rd 2482 Mineola, TX 75773 Current 08/31/2017
66) Four E Dairy Inc 784 County Road 251 Moulton, TX 77975 Current 08/31/2016
67) Ragels Ziegenhof 2850 Bunker St New Braunfels, TX 78130 Null 11/06/2014
68) K-Bar Dairy 237 CR 3389 Paradise, TX 76073 Current 08/31/2017
69) Lavon Farms 3721 N Jupiter Rd Plano, TX 75074 Current 08/31/2017
71) Mountain Spring Dairy General Delivery Rockwall, TX 75087 Closed 12/11/2015
72) Elkmeadows Dairy Goats 317 Willowbrook Ln Royse City, TX 75189 Null 11/06/2014
73) Able Oaks Ranch Rusk, TX 75785 Null 11/06/2014
74) El Camino De Las Cabras 13466 Door Key Rd San Angelo, TX 76904 Current 08/31/2016
75) Healthy Way Dairy 15525 Cedar Santa Fe, TX 77517 Current 08/31/2016
BOB STRYK76) Stryk Jersey Farm 629 Krenek Stryk Rd Schulenburg, TX 78956 Current 08/31/2017 Picture: Bob Stryk the cheese-maker
77) Raw Jesus Foods LLC 12061 FM 466 Seguin, TX 78155 Current 08/31/2017
78) Doeland Dairy 107 Wagon Wheel Dr Spring Branch, TX 78070 Current 08/31/2016
79) Acrea Hills Farm LLC 977 CR 150 Stephenville, TX 76401 Closed 08/31/2016
80) Gramen Farm 20158 Bauer Hockley Rd Tomball, TX 77377 Current 08/31/2016
81) Tule Creek Nubians Dairy 1750 CR 16 Tulia, TX 79088 Null 08/04/2015
82) Cream Top Dairy LLC 2423 Sister Grove Rd Van Alstyne, TX 75495 Current 08/31/2016
83) Triple S Dairy LLC 240 Windmill Ln Waco, TX 76705 Current 08/31/2016
84) World Hunger Relief Inc 483303 356 Spring Lake Rd Waco, TX 76705 Current 08/31/2016
85) Stockton 5 Dairy 113 McKinzie Ln Weatherford, TX 76087 Closed 08/31/2015
86) Restless Prairie Farm 383 Soaring Eagle Trail Wichita Falls, TX 76310 Current 01/06/2015
87) Pure Milk Farms 22456 Vincent Rd Winnie, TX 77665 Closed 08/31/2014

THE BIG ZIMBABWEOSKI

zim-trillion

Where are the wheelbarrows? Every time in world economic history, when the government begins printing money exponentially the banknotes face value goes from one to a million, to a billion and in the case of the Big Zimbabweoski a trillion. Why have we not yet seen Americans waddling behind their Home Depot wheelbarrow full of dollars into Wal-Mart to buy groceries.

 saupload_weimar-republic-chart-of-inflation-large_early_late  zim-hyper  venezuela  us-fiat-currency

Weimar

Zimbabwe

Venezuela

United States

The coming apocalypse, you know the one where Hillary stands between us and the apocalypse or she is the bridge to the apocalypse. Whether we call it the Apocalypse Soon or the Big Zimbabweoski, there should be people pushing wheelbarrows of worthless greenbacks. Germany’s Weimar Republic did the job in four years 1919-1923, we’ve been cranking out the ‘moolah’ since Nixon took us off the gold standard in August 1971. In the brief four generation history of money JFK realized that the ‘jig’ was up and tried to bypass the Fed with his EO #11.110.

jfk-in-officeJFK started printing his own money issued by the US Treasury, like Abe Lincoln’s ‘greenbacks’ during the Civil War. Five months after JFK was shot the Kennedy dollars were recalled, leaving the printing presses to the Fed. The Fed was limited to a 4/1 ratio of paper to gold. LBJ got the bright idea of spending 100 million a day in Vietnam which was peanuts compared to his $22 trillion (in today’s dollars) Great Society.

nixon-shock-smWhen, Tricky Dick took six more years to end the war the Fed was already maxed out on the $32/oz equals $128 of fiat, wheelbarrow money. The “Nixon Shock” closed the gold window, ended the Bretton Woods Agreement and opened the door to Zimbabwe land.

However, we have to go to the next generation 1982-2004, the Millennials, the 3rd Turning, the Unravelling and Alan Greenspan the “Great Unraveller.”

If You Can’t Do, Exponentiate

alan-greenspan2mona-lisa

Greenspan, the Mona Lisa of Central banks, responded to the flash crash of 1987, the Dot.Com bust of 2001 and the housing bubble by printing an additional 3.5 trillion paperbacks on the Nixon legacy of 1.5 trillion. Leaving the Fed in 2006 with, “Not to worry we can always print more money.” Which brings us to the 4th Turning, the Crisis 2005-2026 and the seven-year reign of Helicopter Ben Bernanke.

Never let a crisis go to waste

ben-kraut

Bernanke took the Lehman Brothers baton and ran with it, putting his 4 trillion of paper onto the 4 trillion that Greenspan left. He got the handle, “Helicopter Ben” because in the 21st century you don’t need wheelbarrows to haul the fiat money door-to-door, you digitize it. However, when the 4 trillion went directly to the bourgeoisie 1% and zilch to the rest of us, Ben suggested dropping the printed material from the sky on the proletariat 99%.

bernake-wheelbarrow

No helicopters and no wheelbarrows came under Ben. It’s up Janet Yellen to burst the Big Zimbabweoski.

 

OCCUPY FARMERS’ MARKETS

Milk March

When our sale of raw goat’s milk depended on Yuppie couples driving out to our farm fifty miles southwest of Houston the “invisible hand” of desperation slapped me upside the head with my MBA diploma. Granted, I was not an honor, or even a near honor graduate of Case Western Reserve’s Weatherhead school of business but Anala Goat Company’s on-the-farm sales of $200/week versus a $500/week feed bill foretold, a future going-out-of-business sale. Maybe with a catchy tagline e.g. “Had Milk.”

Shelby, the CPA Systems Analyst brains of the outfit, had already poured money, not milk, into building the dairy, buying the goats, dogs, cows, the land and equipment in order to obtain a Grade ‘A’ Raw Dairy License. In addition to rigorous monthly testing of our product, the Texas Department of Health limited sales to on-the-farm only. The delivery of raw dairy to retail stores, farmers’ markets, or even door-to-door was subject to all kinds of bad things like revoking our license.

salt march

Over a double stack order of nachos and fajitas, I asked myself, “what would Gandhi do?” He said, mirror my ‘Salt March to the Sea’ by occupying the Houston Farmers’ Market. I learned at Case Western to look to Harvard Business School case studies for further guidance. Of course, I found zippo raw goat’s milk case studies but Gandhi’s protest of England’s Salt Tax led me to the Boston Tea Party’s, “taxation without representation” caper.

I admit, even as an architect, it was a challenge to connect salt and tea tax revolts to barriers to entry of off the farm sales of raw milk. After all, our neighbors trucked that nasty arugula and okra to the market, waving their ‘organic’ cred banners.

My third data point was the 1920 Prohibition Act.

Prohibition in the United States was a nationwide constitutional ban on the production, importation, transportation and sale of alcoholic beverages that remained in place from 1920 to 1933.

The sale of raw dairy has been Prohibited since 1912 to the present day. California never eliminated raw dairy from retail stores. Texas, Oregon and five other states allow on-the-farm sales only. I joined the Weston Price Foundation, listed analagoatcompany.com on their website www.realmilk.com and setup my 10 x 10 tent on Saturdays at the Houston Farmers’ Market.

WHY PAY THIS GUY $15 FOR A GALLON OF MILK?

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Why pay this guy $15 for a gallon of milk when you can go to Wal-Mart and grab a Great Value jug for just $2.89? Truth is you need his raw – not pasteurized, not homogenized – goat’s milk more than he needs your money.

My Houston Farmers’ Market buddie, Bob Stryk http://texascheese.com/ and I were the two Raw Milk vendors at the market, until a knucklehead board member turned us in to the Texas Department of Health. Even though we were both visited monthly by Vince, the State inspector, our grade “A’ raw dairy license was limited to on-the-farm sales. My farm to market trip was fifty miles up the Southwest freeway. Bob’s sixty head of Jerseys grazed on his 310-acre farm 8 miles past Schulenburg, a 100 miles west out I-10.

BOB STRYKAfter our eviction, I bailed and shortly thereafter moved to China, while Bob relied on ‘drops’ at friendly driveways in Katy and Sugarland. At the market we charged $10/gal. Today, Stryk’s at the farm price was listed at $7.50/gal. That’s fresh raw Jersey cow milk, not pasteurized, not homogenized, pure not-adulterated, 100% digestible nutrient dense butter, cream, yogurt, milk and cheese.

organic pasturesThe raw milk movement (the largest form of  civil disobedience in America) is led by Mark McAfee of Organic Pastures in Fresno, California. Raw milk can be purchased legally on the farm and more importantly in stores. Organic Pastures’s raw milk, butter, kefir, cheddar, cream, and yogurt is available in over 200 stores in the Bay area alone, including Whole Foods. Brace yourselves, the fresh grass-fed 100% organic milk goes for $12.00/gal.     

Why pay the guy at the top $15for a gallon of milk? He’s selling raw goat’s milk the closest thing to mothers’ milk – any species of mammal, save Flipper the  dolphin, can thrive and survive on goat’s milk – but works harder than Stryk and McAfee. Their cows have four teats pumping out 8-10 gallons a day versus two teats and one gallon for the goat.

 

A RETURN TO THE GOAT STANDARD

3Pettis - Breakfast at Trevas for websiteEarly in my goat farming career I bought 6,000+ pounds of goats from a scalper named Floyd Thompson in neighboring Higgins, TX. – At the age of twelve, Will Rogers ran away from his Oklahoma home to Higgins to learn how to be a cowboy. – I agreed to pay 80 cents a pound for Floyd’s 68 rag-tag collection. We drove truck and trailer to the grain silo for an empty weigh-in and returned an hour later for the loaded tally. Wrote a $5,000 check from Shelby’s account and started my two-month saga to resell those puppies for at least 85 cents a pound.

For my first attempt I set-up shop on the highway outside Booker complete with a chain-hook scale. Three hours later $20 bucks for one lousy 20lb. goat sold to a Mexican slaughterhouse worker. Next try was a six pack at the Dodge City livestock auction for a whopping 75 cents a pound. A week later it was the same story at El Reno, the auction west of Oklahoma City, where scalper Floyd had purchased most of the sorry critters weeks before.

Before embarking on another furtive sales venture my goat buddy from up-the-road in Slapout, OK – called Slapout because when the general store was out of stock their response was, “sorry we’re slap out.” – Danny Nord, claimed that slaughter goat buyers wanted ‘wethers’ or neutered ‘billies.’ Taking out his pocket knife he performed the surgery on ten ‘billies’ who post op, laid around the pen with sorrowful facial expressions. Four subsequently failed to survive the experience. Dead goats brought zero cents thereby adding to my cost of goods sold.

mills

It was then suggested that I try selling the remaining stock at the sheep & goat auctions in Texas. Goldthwaite was the closest, seven hours straight south of Follett. Friday afternoon the deed was done, 75 cents for the motley ones and 85 cents for those showing Boer blood influence. When I got home to total all the damage I had sold my collection of hand me down goats for an average of 70 cents on the dollar. Of course the diesel fuel, chicken fried steak and cheeseburger lunches were not included. However, sale barn, livestock auction cuisine beats the truck stop any day.

koreshYou would think that like Adam Smith, the father of Economics who gathered his wisdom of the law of supply and demand at the Glasgow, Scotland sheep auction, I had learned my lesson. But after Shelby and I relocated the Anala Goat Company to Kendleton, TX, 50 miles southwest of Houston I became incentivized by the West African need for $1.25/lb. billy goats. Mrs. Kettler and her husband had over 200 Nubian goats on two acres in Waco, TX. They were a legend in Texas dairy goatdom for selling $7/gal. raw goat’s milk to David Koresh and his Branch Davidians. The ATF put an end to Mrs. Kettler’s number one customer and to top it off Mr. K, who did all the milking by hand, died.

The opportunity to purchase 40 of the best Nubian breeding stock billies for only a dollar a pound, was too much to resist. Borrowing another $5,000 check from Shelby, I loaded those bad boys up in Waco and drove straight back to the Nigerian chop shop in Houston. Woe is me the deal was off, that $1.25/lb. was good for the Christmas rush, and no longer applicable in January especially since Africans don’t celebrate the Super-Bowl.

Dairy goats in general are docile. Does for sure, Bucks not so for sure but Nubian Bucks are the noisiest, rowdiest, most obnoxious breed known to man. Now, Anala Inc. had forty of them in our backyard. Accidents, described as self-punishment in Louise Hay’s book Heal Your Body came to mind when I fed Shelby’s English Mastiff in the barn stall and all forty bad boys rushed in. The Mastiff sunk his two bicuspids into my thigh muttering under his fangs, “that’s for squandered five grand on ill-gotten ventures.”

teeth checkBecause Allah, like God, protects children, drunks and architects, I was spared from complete failure by my Palestinian goat vendor in Katy, who needed two-tooth billies for the Eid al-Fitr festival celebrated by Muslims around the world, marking the end of the holy month of Ramadan. Alhamdulillah, in 2002 Eid was in February. Eid al-Fitr in Arabic literally means “festival of breaking the fast” and back then it meant saving my ass.

After, the Houston Islamic community had opened every Nubian’s mouth to verify that they were two-toothed yearlings they accepted 39 of the four legged devils. One, the prettiest, had a limp and went home with me. Later, swept up in the biblical sense I branded the dappled fawn colored boy buck, Joseph “coat of many colors.” Although, the Palestinian paid me the over a barrel price of $1/lb. I eventually sold Joseph for $500.

josephYou see, Juan Valdez – he looked like a Juan Valdez, only taller – came out to our farm as the Goat Marketing Rep of the Texas Department of Agriculture and inquired about the handsome “coat of many colors” Joseph. “Did you get that buck from Mrs. Kettler?”

Yes, I did.

“That’s great cause she raises the best Nubians in Texas.”

I wondered if the Muslims thought they tasted good too?

At the end of my 400 days and 400 nights of selling goats door to door, I was convinced that a dollar a pound was a good price for any goat as long as it was still alive. Shelby, the CPA Systems Analyst brains of the analagoatcompany.com begged to differ and sent me and Rudy, my polka-dancing Czech-American goat buddy neighbor, off to San Angelo to deliver a dozen or so of our full blood Black Boer goats for $11,000 COD.

ali the turkThe COD part turned out to be a bad check but Rudy and I got to tour the Producers Livestock Auction, where every Tuesday 4,000 goats and 6,000 sheep are auctioned off.  Ali the Turk is the big buyer of sheep and goats in Texas. On Mondays, he’s in Junction, Tuesday he’s front and center in San Angelo, he ends his work week buying for the East Coast ethnic market on Fridays in Goldthwaite. He has his purchased sheep and goats loaded on four level cattle trucks for deliver to New Holland, Pennsylvania.

There are three million goats, six million sheep and 100 million cows in America and 80% of those live in Texas. Save for a couple hundred thousand in Dallas and Houston, the hardcore caprine eaters live in the New York, New Jersey area. Ali either sells direct to a slaughter house or is forced to re-auction them off in New Holland. As Adam Smith and I learned livestock auctions are the  Real World of price discovery.

US dollar Value 3-value-of-the-dollarNo longer in the goat business per se I’m still interested in economics and especially the value of my fixed income dollar. I was on a jet plane to Rio on August 15, 1971 when the flight was grounded in Panama because Nixon closed the ‘Gold Window.’ At the time I thought that was cute. My 1955 Social Studies teacher claimed the dollar was only worth 35 cents, in 1971 it was 25 cents and after Greenspan and Bernanke less than a nickel. I thought the great Satan Greenspan was having an Adam Smith moment when he recently touted the 1913 (when a dollar was a dollar) economy and a return to the gold standard.

I don’t know how much a goat was worth in 1913 or 1971 but in 2001, I know all too well. As of Wed Aug 10, 2016 according to the USDA Market News, an 80lb. wether – A bellwether is literally the lead sheep or goat wether that wears a bell – got $2.22 – $2.42 a pound or almost $200 at the San Angelo, Producers Livestock Auction.

The New Holland Sales Stables in New Holland, Pennsylvania is one of the most important livestock auctions in the country, due to its proximity to the northeast urban population. Twelve percent of all goats slaughtered in the United States will pass through this sale ring at New Holland, and 1.6% of all federally inspected sheep slaughtered in the United States pass through here. For sheep and goats, the New Holland market has national significance due to its proximity to the northeast region of the United States, where the greatest demand for sheep and goat products is located. Although 80% of all sheep are raised in the west and processed by four major packers, the prices set at New Holland are the benchmark that others look at. Because of the high prices at Eastertime, lambs from as far away as New Mexico will arrive in New Holland by the truckload for the Easter lamb sale. Auctions are an important way in which agricultural commodities are marketed; for small farmers, the auction is both a direct outlet for selling their products as well as the measure that sets prices for products sold privately.
The New Holland Sales Stables in New Holland, Pennsylvania is one of the most important livestock auctions in the country, due to its proximity to the northeast urban population. Twelve percent of all goats slaughtered in the United States will pass through this sale ring at New Holland, and 1.6% of all federally inspected sheep slaughtered in the United States pass through here. For sheep and goats, the New Holland market has national significance due to its proximity to the northeast region of the United States, where the greatest demand for sheep and goat products is located. Although 80% of all sheep are raised in the west and processed by four major packers, the prices set at New Holland are the benchmark that others look at. Because of the high prices at Easter time, lambs from as far away as New Mexico will arrive in New Holland by the truckload for the Easter lamb sale. Auctions are an important way in which agricultural commodities are marketed; for small farmers, the auction is both a direct outlet for selling their products as well as the measure that sets prices for products sold privately.

If Ali was forced to sell his goats at the New Holland sale barn in Pennsylvania on Mon Aug 15, 2016 he would receive a whopping $3.15 – $3.25/lb. or $250  for an unsubsidized, brush grazed, ruminant friend of the environment.

sheep goatsA Return to the Goat Standard says that inflation from a dollar a pound in 2001 to $3.00/lb. 15 years later in 2016 is close to 8% per year. Another way, the current price of our 80lb. wether in 2001 dollars is $2.18 the law of supply and demand at work.

Corn was $2.00/bushel for ever until the Ethanol subsidy goosed it up to $7.00/bushel in 2012 with the subsidy curtailed we’re back to $3.70 in 2016, which is still 40 cents a bushel higher than the 2001 price. The big big problem for the corn  producers is their need for $5.37/bushel just to break even.

The cattle price when I was in high school was 20 cents a pound but then a dollar was only worth 35 cents. Cows in Nixon’s 25 cent dollar era went for $0.28/lb. Cattlemen aren’t doing too well these days at $1.32/lb. for the less than a nickel Federal Reserve economy translates to $0.22/lb. in Nixon dollars and $0.15/lb. in my high school years.  Unlike goats, cows like alfalfa, feedlot corn and expensive anti-biotics to stay alive long enough to get to the auction. A mid-west farmer puts the cows and corn fiasco this way:

“Come on you guys just look around. I take a road trip every few years across America. Sometimes I cross the northern part of the country. Sometimes south. A few years (2008-11) ago I saw corn in every 3 cornered 3-acre patch of ground for a thousand miles. This year (Feb 2016) I saw cattle in every 3 cornered 3-acre patch. I no longer raise corn or cattle because I grew weary of mine and your predilection to produce ourselves into bankruptcy. If we could get the government out of agriculture, we would probably be ok. Get rid of all subsidies and I do mean all! Then we can let the market settle itself. Forget ethanol and CRP programs. We really don’t need them. The government does. Maybe the next regime will get out of our way…? Until then I will continue digging ditches.”

A Return to the Goat Standard or the Gold Standard as Greenspan calls it, is the only way to stop the Federal Reserve, Obama, Hillary etal. from taking our currency to infinity and beyond. Here is Nixon’s Gold Window fairy tale.

Gold should be $10,000/oz. to conform to amount of digital money that has been pumped into the world economy. It has been suggested that the US Treasury offer $5,000/oz. for gold to bring Nixon’s temporary solution to an end. If not Ali will be forced to pay $625/lb. for an 80 pound wether in San Angelo, Texas. A $50,000 goat sounds like a fair price to me but then what do I know.

 

FARMERS THE ‘REALITY’ ECONOMISTS

greenspan bbg interview

“If we went back on the gold standard and we adhered to the actual structure of the gold standard as it existed prior to 1913, we’d be fine.  Remember that the period 1870 to 1913 was one of the most aggressive periods economically that we’ve had in the United States, and that was a golden period of the gold standard.  Between 1870 and 1912, a period of forty-two years, industrial production in the United States rose by 682%.

“The only time the American farmer made money was from the end of the Civil War to WWI.”

The United States actually did not return to a gold standard until 1879. However, by 1870, most of the rubble of the Civil War, including the floating “greenback” dollar, had been cleared up. However, the American farmer no longer had to compete with slavery and started receiving ‘hard currency’ for his production.

san angelo 1939Adam Smith, the forefather of all economists including Alan Greenspan, wrote in his 1776 Econ 101 text book, Wealth of Nations, that

“Agriculture, the Produce of the Land, is the SOLE or the PRINCIPAL Source of the Revenue and Wealth of every Country.”

Smith further states the four factors that destroy and degrade “agriculture, the sole source of wealth and revenue of every nation.”

  • Soil Husbandry: “the neglect of cultivation and improvement”
  • Subsidies & Tariffs: “the fall in the real price of any part of the rude produce of land”
  • Farmer Inputs: “the rise in the real price of manufactures”
  • Devalued Dollar: “the declension of the real wealth of the society”

All four tend to “lower the real rent of land, to reduce the real wealth of the landlord, to diminish his power of purchasing either the labor, or the produce of the labor of other people.”

The defrocked Central Banker, Alan Greenspan, whose easy-money policies of the Fed during his 1987-2006 tenure that have been suggested by some to be a leading cause of the subprime mortgage crisis, wants us to go back to the gold standard NOW!

MONETARY FEUDALISM

feudalism_then_nowAspirational career options for an ENFP on the Myers-Briggs personality test, were architect at the top and farmer at the bottom. After thirty years of very limited success trying to make my fame and fortune as an architect I gave farming a shot. My ten year goat farmer experience taught me how to survive and thrive as a member of the 98.5% Everyone Else proletariat.

My second wife and mother were both Aquarians, someone born between January 20 and February 19th. “Aquarians know too much about everything, which is a blessing and a curse.” They are like the teacher that knows all the right answers and everybody else are the students each with different levels of understanding. Fortunately for America, Abraham Lincoln was an Aquarian and held fast to his belief, that government of the people, by the people, for the people, shall not perish from the earth.”

BLOOM WHERE“Bloom where you are planted,” was my Aquarian wife’s mantra, her truth, her philosophy of life. It was one of the first cross stitch patterns she completed. She had it framed and intentionally hanging on the wall in our bathroom, as a daily reminder. I didn’t pay much attention or think much of it until we bought nine hectares of land, with a barn, in the countryside, 50 miles southwest of Houston. The acreage 150 years ago belonged to a plantation that was sold to the slaves that had been freed by that earlier Aquarian, Abraham Lincoln.

Shelby, my ENTJ Aquarian wife and livestock farming visionary, chose this location because it was the cheapest real estate in the Metropolitan Houston area.  ‘Race’ was the major cause for the low cost of land, Shelby and I, were the only white people in this poor farming community, surrounded on all sides by 3rd generation Czech  farms and businesses. Except for the Post Office, all grocery stores, gas stations, or anything you wanted to buy stores, were in the adjacent villages of Needville, East Bernard and Wharton. We didn’t care, we were there to raise dairy goats, not show horses. We were there to, bloom where Shelby planted us and blooming meant joining the 3% income crowd.  In 2001 that number was $150,000 ($200,000 in 2016 dollars).

Hilary-QueenToday, you need a $250,000 annual income to escape the maddening Everyone Else club. Wherever we are planted from Bangladesh to Boston, three percent is the magic number to be a player, but as in Las Vegas, the house odds guarantee that only two percent make it to financial independence. Half of those two per-centers never had to sweat it as they were born rich. George ‘W’ and Trump got their two per-cent creds at birth, while Obama and Hillary chose the Elected Officials route to Financial Independence.

I literally, slept in the barn, with fifty goats for a month until Shelby found a forty-foot park trailer in the “Thrifty-Nickel,” that we called home in our first “down on the farm,” year.  Although we planted ourselves in October 2000 we didn’t start to blossom until six years, later. That was a very long, long time and at least, a half million, pre Bush-O-Bama dollar investment. Only, an all-knowing Aquarian could find the funds, patience and resources to endure such a long growing season, two years longer than honest Abe took to free the slaves.

Shelby had carried with her, “Five Acres to Independence,” since high school, after university, she added “Your Money or Your Life” as her guide to financial independence.

Shelby and Abe are no longer with us and I have re-potted myself two, three and four times since ending my farming career to enjoy the expat lifestyle in Antalya, Turkey where “everyday is truly a holiday and every meal a banquet.” Unfortunately, I am still dependent on my PGBC pension and SSA income to continue endow my life of Riley retirement.

Seeds of discontent, aka worry, started sprouting when I began gambling on Binary Options to supplement my endangered entitlements income source. The good news, after three years of practice and six months for real, I’m at break-even status. The bad news, the more I learn about money the scarier it gets. Five and a half days a week five trillion dollars changes hands in the world currency market. That doesn’t include my daily $1 wager at  https://marketsworld.com/ because binary options are derivatives, bets on what the real money traders are betting.

untouchablesMy real worry is that the Central Bankers today’s Monarchs and the Bankers, the Landed Gentry of yore, don’t have a clue on what to do about the global economic situation. Remember when Alan Greenspan said that:

“his whole intellectual edifice had been destroyed?”

As an architect I tried to get the Corporate Elite to hire The Austin Company to design, engineer and construct their production facilities. This came to be an ever increasing challenge as manufacturing – Austin’s 100 year-old bread and butter market – moved overseas. China took the company’s bread and butter away and following bankruptcy and my pension was salvaged by the PGBC. Our Central Bankers, Bankers, Top Bureaucrats and even our Top Professional financial analysis say that the PGBC and SSA are broke. However, the scariest scary is our Elected Officials telling us, “not to worry about it.”

In 1984 New Zealand WENT COLD-TURKEY ON ALL FARM SUBSIDIES

new zealand

New Zealand is reputed to have the most open agricultural markets in the world after radical reforms started in 1984 by the Fourth Labour Government stopped all subsidies.

“In 1984 New Zealand’s Labor government took the dramatic step of ending all farm subsidies, which then consisted of 30 separate production payments and export incentives. This was a truly striking policy action, because New Zealand’s economy is roughly five times more dependent on farming than is the U.S. economy, measured by either output or employment. Subsidies in New Zealand accounted for more than 30 percent of the value of production before reform, somewhat higher than U.S. subsidies today. And New Zealand farming was marred by the same problems caused by U.S. subsidies, including overproduction, environmental degradation and inflated land prices.”

rank country overall change rank country overall change
1 Hong Kong 88.6 -1.0 4 Switzerland 81.0 +0.5
2 Singapore 87.8 -1.6 5 Australia 80.3 -1.1
3 New Zealand 81.6 -0.5  

New Zealand is in third place on the Wall  Street Journal’s Economic Freedom list. Since, Hong Kong and Singapore are city-states not agrarian power houses, the Kiwi’s are the top of the line. Oh, the United States? America is in 12th place and dropping.

As New Zealand is a large agricultural exporter, continued subsidies by other countries are a long-standing bone of contention, with New Zealand being a founding member of the 20-member Cairns Group fighting to improve market access for exported agricultural goods.

What happened after they cut the chord, nothing but good. 6% annual increase in productivity and agriculture as a percentage of GDP went from 14 to 21%. Notice Australia is number five on the WSJ chart and number two of OEDC countries regarding agricultural subsidies.

the-growth-of-western-australias-grain-industry-could-be-boosted-b_95_81435_0_14100598_1000-620x350The report shows Australia has a producer support estimate of 3 per cent, making it the second lowest in the OECD, and the third lowest in the report. The OECD average is 19 per cent and of the 47 countries in the report the average is 17 per cent.

Today, data from the Organization for Economic Cooperation and Development show that farm subsidies in New Zealand represent just 1 percent of the value of farm production, which compares to 11 percent in the United States. That 11 percent is times the $900,000,000,000 US Ag-Market, the world’s largest.36 New Zealand’s main farm organization argues that the nation’s experience “thoroughly debunked the myth that the farming sector cannot prosper without government subsidies.”37 That myth needs to be debunked in the United States as well.

keefe

Six Reasons to Repeal Farm Subsidies

1. Farm Subsidies Redistribute Wealth: the 90% poor farmer gets poorer while the 10% rich farmer gets richer.

2. Farm Subsidies Damage the Economy: In 2006 the Congressional Budget Office (CBO) found that all the studies they reviewed showed that both the U.S. and global economies would gain from the repeal of subsidies and trade barriers.  

recipients3. Farm Programs Are Prone to Scandal: Perhaps the biggest scandal is that congressional agriculture committees are loaded with members who are active farmers and farmland owners. Those members have a direct financial stake whenever Congress votes to increase subsidies, which is an obvious conflict of interest.

4. Farm Subsidies Damage U.S. Trade Relations: The World Trade Organization estimates that even a one-third drop in all tariffs around the world would boost global output by $686 billion, including $164 billion for the United States. Worse developing and under-developed countries cannot compete fairly with industrialized nations dump their corn, cotton, soy and wheat.

5. Farm Programs Damage the Environment: Farming, like any industry, can cause negative environmental effects, but it is misguided for federal policies to exacerbate those problems.

6. Agriculture Would Thrive without Subsidies: If farm subsidies were ended, and agriculture markets deregulated and open to entrepreneurs, farming would change just as it did in New Zealand.

policy-makers-quotes-2“What we have hear is a failure to communicate.” Bernie has called for a Political Revolution but he only got us to the gates. Hillary is the guardian of the gates. Think of Trump as a nonsensical talking Trojan horse who can crash the party of the elites. Bernie will be on the inside, Hillary will be on the outside doing what she does best, nothing. Bernie can be the kinder-gentler-wiser LBJ Senate leader humbly allowing Trump to take credit for the Revolution of 2016.

 

LET THE BUFFALO ROAM GOD DAMN IT!

buffaloLET’S get back to our grass roots before there is no longer grass or roots to get back to. When our wise ancestors reduced the indigenous buffalo from 30 million in 1800 to just 30, that’s three-zero, in 1900 they destroyed the Eco-system of American agriculture. Not one blessed thing has been done since then to restore, resurrect or rebuild our agrarian soil. Well, there was one thing, Ronnie Reagan did sign into law The Conservation Reserve Program (CRP) in 1985.

CRP is the largest private-lands conservation program in the United States. Thanks to voluntary participation by farmers and land owners, CRP has improved water quality, reduced soil erosion, and increased habitat for endangered and threatened species. For success stories, click here.

hunterFor many years, enrollment in the Conservation Reserve Program (CRP) was 30 million to 36 million acres, but Congress lowered that total in the 2014 farm bill to 24 million acres. 

“There is a lot of interest in this program that is untapped simply because we have a cap,” Vilsack said Wednesday in an interview.

Vilsack said at the time that farmers were dealing with significantly higher commodity prices, and lawmakers believed producers were more likely to keep land in production rather than remove it and put it in the CRP. The farm bill also was touted as a way to cut $23 billion in spending, and the reserve program was among those programs targeted to save money.

pheasant-by-streamDan Hansen, an Audubon County, IA. corn, soybean and livestock farmer, said he decided to stop growing crops on 45 acres of his lower-producing land and is considering enrolling an additional 80 acres — together the land would total about 20 percent of his acreage. The CRP is paying him nearly $300 an acre, a more stable return than how much he could have generated by farming with today’s volatile commodity prices.

Hansen also is saving money on labor and input costs he doesn’t have to pay to farm those lower-yielding acres.

Yield-per-acre is farming lingo for how much money can you make per acre of farm land.  Adam Smith called it the rent of the land, the individual farmer, the man on the spot, was best suited to get the most out of the land. Karl Marx, didn’t want to let the farmer do his own thing for fear he would rape the soil to produce as much as possible today and not worry about tomorrow.

The Rent: Today Illinois farm land goes for $425/acre the farmer produces 180 bushels on that acre and then sells it for $6 a bushel $6 x 180 = $1,080 less $542 for all that good fertilizer, pesticides, machinery, etc. he’s at $538 minus the $425 rent leaves him at the end of the harvest with $113 per acre profit. The minimum CRP payment is $150/acre or in Dan Hansen, the Audubon County, IA. corn, soybean and livestock farmer’s case $300/acre.

That $6.00/bushel was the 2013 price as of April 30, 2016 it’s down to $3.58 x 180 = $644.40 less $542 for all that good fertilizer, pesticides, machinery, etc. he’s at $102.40 then when the rent of $425 comes due he is –$322.60 in the hole. At this rate Dan Hansen, our Audubon County, IA. corn, soybean and livestock farmer would be wise to convert the remaining 80% of his land to CRP but alas alack there is that Cap on CRP acreage down from 36 million acres in 1985 to 24 million today.

ag subsidiesWhat is so absolutely idiotic, absurd and beyond any economic rationality is the $30 billion/year farm subsidy legislation. The FED’s pay corporate farmers – those who own more than 1,000 acres – to destroy the land with row crops, herbicides, pesticides, chemical fertilizers, patented seeds and any non-organic farming practice known to Monsanto. Corn’s draw-down of subsidy loot is a double dipper, first as corn and second as ethanol.

cornuse2011Corn doesn’t do man or animal any good. We feed corn to chickens, pigs and cows because they live in factories. We turn corn into fructose  to make people fat. We use more fossil fuel to produce a gallon of ethanol than it does to produce a gallon of fossil fuel. That 14% Corn export amount is achieved with the subsidies and trade agreements like NAFTA.

Can we live without subsidies?

“In 1984 New Zealand’s Labor government took the dramatic step of ending all farm subsidies, which then consisted of 30 separate production payments and export incentives. This was a truly striking policy action, because New Zealand’s economy is roughly five times more dependent on farming than is the U.S. economy, measured by either output or employment. Subsidies in New Zealand accounted for more than 30 percent of the value of production before reform, somewhat higher than U.S. subsidies today.

new zealandSince 1984, the value of farm output in New Zealand has soared 40 percent in constant dollar terms since the mid-1980s. Agriculture’s share of New Zealand’s economic output has risen slightly, from a pre-reform 14 percent to 17 percent today. Since subsidies were removed, productivity in the industry has averaged 6 percent growth annually, compared with just 1 percent before reform.

If New Zealand Can, We Can, and Should

Aren’t CRP payments subsidies? No they are infrastructure investments – a 100 years of industrialized agriculture has degraded our soil and water. Instead of bailing out the banks we are buying out the farmers from counter-productive use of the land. Pasture land covers the soil year round, grows with the rainfall, not irrigation and is maintained and fertilized by birds, bees and livestock. New Zealand offered their farmers an exit payment, only 1% chose to leave the land.

Return the prairies to the prairie and let the buffalo roam, God Damn It!