From dairy farmers with nowhere to send their milk and cattle ranchers reeling from plummeting beef prices, the impact of the coronavirus is rippling through farm country. Corn, cotton and soybean futures have tumbled, ethanol plants have been idled, and some fruit and vegetable farmers are finding their best option is leaving produce in the field.
Price forecasts for most agricultural products are bleak. In the past month, dairy prices have dropped 26% to 36%, corn futures have dropped by 14%, soybean futures are down 8% and cotton futures have plummeted 31%. Hog futures are down by 31%. A surge in demand for beef emptied grocery store meat aisles, but there is no lack of supply. Despite a rise in retail prices in some areas, the prices paid to cattle ranchers have fallen 25%.
Dairy producers were optimistic at the start of 2020 that it would be a turnaround year, with milk prices on the rise and feed costs holding steady.… Continue readingRead More »