The Soapbox

Shenhoo

Joined: 01/04/2001 Posts: 35238
Likes: 51417


Hehe. A little of both. And in disclosure, my farm is now 1800 miles away


and I get a share of the crop whenever my brother-in-law manages to get one in the ground and into the bin.

The major grain markets were flailing before this due to inventories. In my observation, grain markets run a relatively long cycle, maybe 15 years. We are in the 4th or 5th year of tough prices. Net farm income is, I think at or near, a 12 year low so farmers were already hurting.

The Chinese tariffs (they buy 1/3 of all our bean crop) really are a killer on top. There's no where for all these beans to go. Literally nowhere. It will hurt prices for a couple of years probably. On top of this, farmers face increased prices for fuel and labor and costs of living plus interest rates have crept up.

Honestly, if Trump did NOT adopt a farmer bread and circus program, I think we could be nearing a farm crisis again, not as bad as in the 1980's or late 1990's, but enough to lose marginal producers and move the entire commodity ag scheme further from the family farm and even more corporate.

Adding to grain producers' woes is record high meat on storage, so meat producers won't be buying addtional meat. Their meat is hit hard also by export tariffs.

Always glad to help a Hokie with ag questions:) LOL!

(In response to this post by Tuckahokie)

Posted: 07/24/2018 at 4:27PM



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