CENTRAL CITY, NEB. (RFD NEWS) — Heavy rain is keeping many Nebraska farmers out of the fields as fall harvest gets underway, adding another challenge to a season already marked by high fuel and input costs.
Nebraska Farm Bureau President Mark McHargue joined us on Thursday’s Market Day Report to discuss conditions across the state, harvest progress, livestock markets and the Farm Bill.
Rain Delays Harvest Across Nebraska
In his interview with RFD News, McHargue said wet conditions have brought harvest to a standstill in his area.
“There is not any harvest happening right now at our farm, in our area — just a tremendous amount of rain,” McHargue said, noting that his operation has harvested only a limited amount so far.
“We have half a semi-hopper full of popcorn,” McHargue said. “That’s as far as we are.”
Despite the delays, McHargue said crops in his area generally still have the potential for decent yields. He said disease caused significant problems last year and remains a concern this season, although conditions do not appear to be as severe so far.
“We don’t know how much the weather is going to kind of take that top side off,” he said. “But the general crops right in my area look like they still have the ability to be fairly decent.”
Fuel Costs Add to Input Pressure
High diesel prices are another concern for Nebraska producers.
“That is the topic that I hear right now, and it’s kind of a function of high fuel prices,” McHargue said. “But that’s on top of just generally high input prices for the year.”
He said the combination feels like another added expense after an already costly production season.
Nebraska has also implemented a diesel tax measure affecting fuel used for agriculture, which McHargue described as a positive development, though details are still being worked out.
“That’s a good small solution, but we’ll take it,” he said.
Profitability Remains a Concern
McHargue said he expects grain transportation to move forward once harvest gets underway, but profitability will remain a major issue for producers.
“The big conversation is just profitability,” McHargue said.
He said farmers are already looking ahead to next year’s production costs and continuing to evaluate how to manage expenses.
“We feel like we have had to sharpen our pencil multiple times, and it just feels like we’re going to have to do that again,” McHargue said.
He added that producers have not yet had the opportunity to hedge some of their upcoming input costs.
“It’s getting a little tiresome year after year, that’s for sure,” he said.
Cattle Producers Question Beef Imports
McHargue also discussed concerns he is hearing from Nebraska cattle producers following recent announcements regarding beef imports.
He said producers are frustrated by the policy discussion, particularly when it comes to balancing domestic beef production and imports.
“I think pushback is being kind,” McHargue said. “I think they’re just angry.”
He said cattle producers understand the need for certain beef trimmings used in the domestic market, but said the way the issue has been communicated has been difficult for producers to accept.
“We understand that we need lean trimmings. We get all that,” McHargue said. “It’s just the way it’s messaged is kind of a tough pill to swallow.”
Farm Bill Still Moving Through Congress
The Senate Agriculture Committee has approved its version of the Farm Bill, but the legislation still faces additional steps before a full Senate vote.
McHargue said Nebraska Farm Bureau members are continuing to push for action.
He specifically pointed to differences between the House and Senate versions, including provisions involving reference prices, as well as the Senate’s inclusion of year-round E15.
“E15 was in the Senate. We appreciate that,” McHargue said.
He said producers are watching several remaining issues while urging lawmakers to continue moving the legislation forward.
“To not get a Farm Bill through this much time again, that’s frustrating,” McHargue said.
