Economists on Trade Deal with China: “If exports decline, our farmers decline”

Farm groups are eager for details of the Chinese trade deal.

One organization has been talking to farmers coast to coast and tells us exports are their top concern.

“20 percent of US farm revenue comes from exports, so if our exports decline, our farmers decline, and that’s really scary. Farmers are also price takers when it comes to input. So if we’re driving up the cost of fertilizer or steel or farm chemicals, farmers get squeezed, and that’s the big concern. We don’t want to see farmers go out of business. Farmers play an important role in terms of food security, in terms of keeping our rural communities afloat,” said Brian Kuehl.

Ag Secretary Brooke Rollins appeared before the House Ag Committee this week, talking about some of those concerns. During her four-plus-hour testimony, she doubled down on her commitment to remove obstacles for small farmers.

Related Stories
manage risk as milk price volatility increases.
Brazil logistics issues may support U.S. soybean demand.
Brooks York with AgriSompo addresses how current market conditions and risk management are impacted by volatility in the Middle East, and considerations for farmers in the spring planting season.
For agriculture, the meeting is seen as a potential turning point, with markets watching closely for any signals on trade, exports, and future purchasing commitments.
As farmers and ranchers navigate rising input costs, lawmakers are considering a roughly $15 billion aid package to help, which would be tied to the spending bill for the war with Iran.
Lower costs improve competitiveness, but demand remains uncertain.

LATEST STORIES BY THIS AUTHOR:

Iowa land values dropped 3% year-over-year. Sen. Chuck Grassley said this discomforting pattern is a harbinger of crisis for farmers, as seen in the 1980s.
Prepare for tighter cash flow, delayed capital buys, and policy-driven risk management this fall.
Jed Bower, the incoming president of the National Corn Growers Association, joined us for his sector’s perspective on the ongoing government shutdown.
Treasury Secretary Scott Bessent last week said an announcement would be made on Tuesday. However, that self-imposed deadline has now passed.
Delaware FarmHER Katie Evans turns “ugly” produce into delicious treats through her nationally recognized brand, The Frozen Farmer
George Baird, with the American Society of Farm Managers and Rural Appraisers (ASFMRA), joins us with updates on how this year’s rice harvest is shaping up.