NASHVILLE, Tenn. (RFD-TV) — Low prices and high costs do not make idling a real option for most farm and ranch operations, argues Dr. Joe Outlaw of Texas A&M’s Agricultural & Food Policy Center in an interview with Southern Ag Today.
So, “If Crop Returns are so Bad, Why Do Farmers Keep Planting?”
Shutting down guarantees zero cash flow to service debt, payroll, and family living, while ceding global market share to competitors who would quickly ramp up output.
Switching crops is not a simple fix either: many crops now pencil similarly thin or negative, multiyear rotations protect soil health and weed control, and equipment and storage are often crop-specific.
Outlaw adds that farmers are uniquely optimistic—planting with the expectation that weather, basis, and prices can improve by harvest—and that the profession is an identity, not just a job.
The upshot: producers keep planting to preserve business continuity, agronomic systems, and future market position, even when spreadsheets look grim. That’s also why Congress and administrations have long supported agriculture when risks beyond farmers’ control overwhelm margins.
Farm-Level Takeaway: Planting sustains cash flow, rotations, and market share—even in lean years.
Tony St. James, RFD-TV Markets Expert
The meaning of a “double-fraction” clause and the impact on future oil and gas conveyances—that is the topic of today’s blog post by RFD-TV Agril-Legal expert Roger McEowen.
October 13, 2023 03:28 AM
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Recently, a bank in Texas got confused on the financing rules governing agricultural crops and lost its security interest as a result. Ag financing and priority rules among competing security interests—that is the topic of today’s post.
October 02, 2023 02:42 PM
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To mark the end of National Chicken Month, we take a look at how the U.S. poultry industry is making a slow and steady recovery following the widespread outbreak of High-Path Avian Flu (HPAI) in 2022 that devastated commercial flocks across the country.
September 29, 2023 02:44 PM
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Seven out of the eight major fertilizers saw recent price decreases. However, one key type of fertilizer bucked the overall trend with an 11-percent rise.
September 21, 2023 11:02 AM
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Dr. Tim Boring with the Michigan Department of Agriculture shed light on the current challenges and opportunities impacting farmers across the State in a conversation with RFD-TV’s own Tammi Arender at the NASDA Annual Meeting this week in Wyoming.
September 13, 2023 02:07 PM
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Researchers at Florida Atlantic University’s
Harbor Branch Oceanographic Institute found human sewage, not fertilizer, is mainly responsible for dangerous nitrogen levels in Florida’s Indian River Lagoon.