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Farmers will continue to face a down farm economy in 2019

Purdue University Extension Director Jason Henderson says farmers will continue to face a down farm economy in 2019.

“When you look at ag cycles, it’s always trade and monetary policy interest rates that drive big cycles and right now in agriculture we’re at the end of a boom cycle,” he says. “The outlook going forward and the prospects are really going to be driven by trade.”

Henderson tells Brownfield many farmers are anticipating continued low commodity prices.

“What they can do about it is make sure they get focused on their costs but also figuring out where they can get some profit opportunities next year,” he says. “For example, in 2018 we had strong prices earlier in the spring so farmers who entered the market and sold ahead probably did pretty well.”

His advice for farmers is to know production costs, come in with a plan to repay loans next year, and consider guaranteed loans.

Henderson spoke to Brownfield at the Indiana Farm Bureau State Convention.

Audio: Jason Henderson, Purdue University