Worse Before It Gets Better: Farmers express doubts about an industry turnaround this year

A lot of farmers and ranchers are looking for a rebound this year. One agronomist says he is hearing from many producers who do not know how much longer they will be in business.

“The biggest thing is, what are we going to plant to try to not only make money, but just to stay in business for another year? Because commodity prices are pretty tough right now, the acre shifts are jumping all over the place. I mean, we’re seeing cotton down a little bit, and beans and corn maybe up a little bit. But honestly, most of the guys are saying, ‘You know what, I’m just going to plant what I normally plant, to some degree, and do what I know how to do,” said Zack Webb.

Webb says he has heard a lot of talk about the current shakeups in Washington, D.C., and he tells all his clients to be patient and let the process play out.

“I think most of these guys realize that this first year is going to be tough, whether it’s tariffs or whatever, or a reduction in spending and things like that,” he said. “But I think they also realize that it’s going to take us a year or two to get to where we need to be and to fix some problems that we’ve had.”

At the end of the day, Webb says it will likely get worse before it gets better.

Related Stories
Surging energy markets are quickly becoming a cost story for U.S. agriculture as crude oil climbs on supply fears tied to the Middle East conflict.
Strike risk adds volatility to already tight markets.
Technology-driven lending decisions may shape the future availability of farm credit.
Fertilizer investigation may impact input costs and margins.

LATEST STORIES BY THIS AUTHOR:

Jake Charleston, with Specialty Risk Insurance, joins us now for an industry update and advice for cattle producers as they consider options for managing the risks of a murky market.
The National Milk Producers Federation will launch a new advocacy campaign to secure a final vote, urging House lawmakers to approve the bill as soon as they return from the Thanksgiving recess.
AFBF Vice President of Public Policy and Economic Analysis, Dr. John Newton, explains the factors contributing to the growing financial strain in the ag sector and the urgent need for swift economic support.
Tyson’s Nebraska plant closure and falling Cattle on Feed numbers send cattle markets tumbling. Analysts warn of tighter supplies, weak margins, and rising global competition.
Texas Ag Commissioner Sid Miller warns horse owners after EHV-1 cases linked to the Waco WPRA Finals. Horses linked to recent Waco events should be isolated and closely monitored, as early action is critical to stopping the spread of EHV-1.
One trader said the products entering the U.S. are primarily grind and trim, noting that the volume and type of beef, on its own, should not cause a major disruption. However, he says fund traders are reacting heavily to headlines rather than market realities.
Agriculture Shows
Hosted by Scott “The Cow Guy” Shellady and RFD News Markets Specialist Tony St. James, Commodity Talk delivers expert insight into the day’s ag commodity markets just before the CME opens. Only on RFD-TV and Rural Radio SiriusXM Channel 147.
A look at the news, weather and commodities headlines that drove agriculture markets in the past week.
Everything profits from prairie. Soil, air, water — and all kinds of life! Learn how you can improve your land with prairie restoration, cover crops and prairie strips, while growing your bottom line.
From soil to harvest. Top Crop is an all-new series about four of the best farmers in the world—Dan Luepkes, of Oregan, Illinois; Cory Atley, of Cedarville, Ohio; Shelby Fite, of Jackson Center, Ohio; Russell Hedrick, of Hickory, North Carolina—reveals what it takes for them to make a profitable crop. It all starts with good soil, patience, and a strong planter setup.