Colorado appears to be ground zero when it comes to the economic difficulties facing dairy farms.
At least six Colorado dairies have sought bankruptcy protection this year, reports The Denver Post. And, more are expected to follow.
The state’s largest agricultural lender, New Frontier Bank, of Greeley, Colo., failed earlier this year and was taken over by the Federal Deposit Insurance Corporation. In August, the FDIC began auctioning off the 418 farm loans left on the books of New Frontier. That created anxiety among many of the farmers who loans were involved, fearing that investors would buy the notes and seek to liquidate them quickly. It’s yet to be seen how the whole process will play out.
For more, read “6 Colo. dairies in bankruptcy; more to come” from The Denver Post.
And, read “Double whammy in Colorado” which was posted last May by the Dairy Herd Management staff.
Source: The Denver Post and Dairy Herd Management staff reports