WASHINGTON (RFD-TV) — As harvest moves forward across the country, farmers are facing mounting challenges tied to record crop yields, slowing export demand, and rising transportation and storage costs.
According to American Farm Bureau Federation (AFBF) economist Bernt Nelson, the combination of strong production and large carryover stocks continues to put pressure on commodity prices, creating uncertainty for growers looking to market their grain. He joined us on Thursday’s Market Day Report to discuss what these factors mean for U.S. agriculture as harvest continues.
In his interview with RFD-TV News, Nelson said many producers are now weighing their storage options, as bins fill up quickly after back-to-back bumper crops. The tight storage situation, coupled with expensive freight rates, is forcing some to consider alternative marketing strategies or off-farm storage—both of which can eat into profits.
While abundant supply typically benefits consumers, Nelson notes that it is contributing to softer price trends in many markets, leaving farmers hoping for stronger demand signals in the months ahead.
Strong crush demand and rising ethanol production are pressuring feedstocks, as traders monitor storage risks and supply chain uncertainty and await the upcoming January WASDE report.
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