WILLIAMSPORT, OHIO (RFD-TV) — Pressure is mounting on U.S. soybean farmers as harvest gets underway. With Brazil — and now Argentina — stepping in to capture more of the Chinese market, concerns are growing in what has already been a frustrating season.
American Soybean Association (ASA) Vice President Scott Metzger joined us on Monday’s Market Day Report from his very own combine to share the soy sector’s sentiment and market outlook as harvesting continues.
Metzger discussed the decline in soybean prices and the impact of Argentina’s recent decision to reduce its soybean export taxes, which allowed the country to sell 20 shiploads to China.
“If we can be competitive with beans, we can get’em moved — like they did with Argentina,” Metzger said. “Those could’ve easily been our beans going over there. It goes to show that if that opportunity is there, China would be willing to buy.”
He also discussed the ASA’s call for the Trump administration to secure a trade deal with China, the risks associated with not reaching an agreement soon, and what that would mean for U.S. farmers.
Farming in Ohio himself, Metzger provided an update on harvest progress in his region, shared his outlook for the crop moving forward, and addressed concerns about storage capacity if China stays off the buying table when it comes to U.S. commodities.
Economists are also closely watching how policy decisions in Washington could influence markets moving forward. Analysts say deferred futures for corn, soybeans, and wheat suggest markets are operating near break-even levels, not at prices that would encourage expanded production.
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