Corn Exports Hold Strong Despite Tariffs

Despite tariffs having a less significant impact on exports, corn producers struggle with tariff-related increases on inputs, which complicates their bottom line.

NASHVILLE, Tenn. (RFD-TV) — Corn exports have not been as heavily impacted by trade tariffs as other commodity crops. However, according to Troy Schneider, a board member of the National Corn Growers Association (NGCA), corn growers still face similar challenges as they navigate the impact of tariffs.

“The tariffs have not affected our exports like they have other commodities,” Schneider said. “We’re seeing record exports of our corn going across the border into Mexico, into other countries, and that’s something we’re excited about.”

The NGCA leader says growers are struggling to keep up with rising input costs, such as those linked to tariffs on steel and fertilizer, impacting their bottom line.

“However, when you have those record high prices—you know, steel, you look at steel—okay, if I wanted to put a new irrigation well in right now, re-drill it, the casing alone would have…I wouldn’t want to guess what the percent-increase would be from five, six years ago, before COVID,” Schneider said. “And so, it’s just those input prices; yes, we are paying it. We’re paying it both ways, in every way.”

NGCA has recently formed a task force to address the growing needs of farmers in its sector, citing the exponential increase in input costs and the need to address these issues as the catalyst for the task force’s formation.

The USDA is set to issue a second ECAP payment and inform farmers that any application approved after September 25 will receive the payment in a single lump sum.

Related Stories
K-State’s Dr. Gregg Ibendahl breaks down the impacts of the Middle East ceasefire on energy markets and input costs, and what farmers should watch in the weeks ahead.
CME Group Executive Director of Ag Research Fred Seamon discusses the recent rise in farmer sentiment highlighted in the March Ag Economy Barometer report.
Coal-based ethanol could weaken long-term export demand for corn-based fuels.
New wage rules improve accuracy but may still raise labor costs.
Strong corn and China-driven demand support the pace of U.S. grain exports. RealAg Radio host Shaun Haney discusses Canada-China agricultural trade talks.
Seth Tucker of Tucker Farms, a first-generation Arkansas farmer, says rising input costs are forcing changes to his operation, including stepping away from rice this season.

LATEST STORIES BY THIS AUTHOR:

As we start the new year, let’s take a look at some of the legislative items from 2023 affecting agriculture that will continue to play out in the political area for months to come.
Both imports and exports are moving through the Panama Canal at a slower pace as the ag industry continues to deal with drought-related restrictions.
Recent developments in ag law and tax — that is the topic of today’s Firm to Farm blog post by RFD-TV-Agri-Legal Expert Roger McEowen.
The Cowboy Channel’s spectacular 55-foot float to include live performances by rising country music star Annie Bosko, escorted by a cavalcade of world-champion cowgirls
If you are thinking about making substantial gifts and/or doing so in a complicated fashion, make sure to get good professional advice beforehand. In his latest Firm to Farm blog post, RFD-TV Agri-Legal Expert Roger McEowen tackles the complex rules surrounding financial gifts, charitable donations and estate transfer.