Farm Business - General
The on-again, off-again reports regarding ICE raids is sowing confusion for those who rely on immigrant labor and causing labor shortages because employees aren’t showing up for work.
On the surface, strong livestock prices and government payments are painting a rosy picture for the farm sector. A closer look at input costs, commodity prices and interest rates says otherwise.
Fertilizer prices have been on a steady climb, despite grain prices continuing to lag. Josh Linville with Stone X points to the driving force: Global production is lagging behind demand.
The move would increase biomass-based diesel requirements, from 3.35 billion gallons in 2025 to 5.61 billion gallons in 2026, supporting American row-crop growers in the process.
“The 1980s farm crisis didn’t just damage balance sheets. It’s changed the interest of being involved in agriculture. That gap is being realized today in board rooms, field offices, agronomy teams and more,” said Aaron Locker, Managing Director, Kincannon & Reed.
“The carbon markets are maturing. The next phase is product-based carbon programs,” says Thad England, director of U.S. strategic accounts with Groundwork BioAg.
“For now, we don’t believe there’s going to be much in the effect in terms of fertilizer production from either country, though it would be a little silly to not consider it,” says Josh Linville from StoneX.
If the next generation isn’t coming back, it’s not the end. But it is time for a new plan.
Sen. Chuck Grassley (R-IA) says one of the challenges the U.S. is dealing with is trying to negotiate agreements with 18 of its biggest trading partners simultaneously. Grassley would like to see a dialed-back strategy used instead.
How do you know when it’s time to start transitioning your operation to the next generation? Rena Striegel, president of Transition Point Business Partners, says to aim for a decade.