News / USA

Outlook Positive for Farmers as Commodity Prices Remain High

Outlook Positive for Farmers as Commodity Prices Remain High
Outlook Positive for Farmers as Commodity Prices Remain High

Multimedia

Kane Farabaugh

Farmers across the United States are heading to the fields to plant crops at a time when commodity prices are rising as global demand surges.  Many farmers are hopeful this year's crop could be one of the best on record.

Farmer Monty Whipple is several weeks behind schedule.  Rain and cold temperatures delayed plans to start planting in the middle of April.  But Whipple is making progress, thanks to a heat wave in the Midwest state of Illinois.

"If we get all this corn planted here in the next week or so, I'm not too concerned about it," Whipple explained.

Whipple is planting corn at a time when demand for his product is strong.  While demand is up, so is the cost of doing business.

"All commodity prices are high," he added.  "Cotton is exceptionally high.  Commodities such as oil obviously, exceptionally high, all the talk about high fuel costs and gasoline costs and so on."

Farming is a family tradition for Whipple.  He tends to fields once harvested by his father and uncle.  The farmer says when they lived off the land the demand for their goods was primarily domestic.  But in a global economy, the business of farming has changed.

"It's no longer a U.S. economy, or U.S. demand," Whipple noted.  "It's a worldwide demand, and as we've seen over and over again, partially because of our own doing by buying Chinese products, by buying products made in Vietnam and India - foreign countries - Korea, we're making their middle class, so called, more affluent."

That new, affluent middle class Whipple refers to is fueling the demand for his crop.

"For the last three years, world consumption has outpaced world production," noted Matthew Pierce who watches commodity prices for GrainAnalyst.com.  "We now need to take a look at the changing diet of the world, specifically China and India once again, and look at how are we going to gain more acres either in the United States, Brazil or Argentina.  Those are the only three countries that can truly produce and produce at a consistent rate where the world can count on it."

Pierce says until that acreage is identified, demand for corn, wheat, and soybeans from U.S. farmers should remain high.  And that translates into more money when it comes time to sell the commodities, particularly this year.

"Farmers domestically in the United States should see one of the banner years they've had in their entire career," added Pierce.  "We have strong basis, we have incredible demand, and we have acreage right now that offers nothing but upside incentive for the farmers."

As Monty Whipple looks to the future, when his crops head to market, he is mindful of the past.  He says he isn't taking the high prices for granted.

"The first thing that goes through your mind when you are out planting is, you know, am I doing the best job I can to get the most out of this crop," said Whipple.  "I mean every year is different.  Just because you had a great year last year, there are so many unknowns every year in farming."

What is known is that corn, soybean, and wheat prices are high.  But the great unknown every farmer faces - and in some cases can dread - is the weather, and whether or not there is an abundant crop to harvest in the fall.

You May Like

Video Claims to Show Shia Forces in Iraq Executing Sunni Boy

While not yet independently confirmed, brutal killing already has gotten attention of Islamic State followers on social media More

After Six Years, Little Change for Niger Delta's Former Militants

Nigerians who laid down arms in exchange for government amnesty subsidies fear program may end with upcoming presidential elections More

Vietnam Pushes for More Educated Drivers to Curb Road Deaths

Transportation officials hope that making a greater effort to get drivers to learn the rules of the road will reduce fatal crashes More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
NASA Spacecraft Approaches a Dwarf Planeti
X
George Putic
March 04, 2015 8:51 PM
NASA’s Dawn spacecraft will make history on Friday, March 6, when it becomes the first man-made object to orbit a dwarf planet named Ceres. It is located in the asteroid belt between Mars and Jupiter, almost 500 million kilometers from Earth. Among other objectives, Dawn will try to examine two mysterious bright white spots detected on the planet’s surface. VOA’s George Putic has more.
Video

Video NASA Spacecraft Approaches a Dwarf Planet

NASA’s Dawn spacecraft will make history on Friday, March 6, when it becomes the first man-made object to orbit a dwarf planet named Ceres. It is located in the asteroid belt between Mars and Jupiter, almost 500 million kilometers from Earth. Among other objectives, Dawn will try to examine two mysterious bright white spots detected on the planet’s surface. VOA’s George Putic has more.
Video

Video Young Muslims Radicalized Online

Young Muslims are being radicalized ‘in their bedrooms’ through direct contact with Islamic State or ISIL fighters via the Internet, according to terror experts. There are growing concerns that authorities and Internet providers are not doing enough to counter online extremism - which analysts say is spread by a prolific network of online supporters around the world. Henry Ridgwell reports from London.
Video

Video African Americans Recall 1960's Fight For Voting Rights

U.S. President Barack Obama and thousands of people will gather in the small southern U.S. city of Selma, Alabama, Saturday, March 7th to commemorate the 50th anniversary of a historic voting rights march that became known as “Bloody Sunday." VOA’s Chris Simkins traveled to Alabama and introduces us to some of the foot soldiers of the voting rights struggles of the 1960’s.
Video

Video Positive Messaging Transforms Ethiopia's Image

Ethiopia was once known for famine and droughts. Now, headlines more often point to its fast-growing economy and its emergence as a regional peacemaker. How has Addis Ababa changed the narrative? VOA's Marthe van der Wolf reports.
Video

Video Cyber War Rages Between Iran, US

A newly published report indicates Iran and the United States have increased their cyber attacks on each other, even as their top diplomats are working toward an agreement to guarantee Iran does not develop a nuclear weapon and to free Iran from international sanctions. The development is part of a growing global trend. VOA’s Al Pessin reports from London.
Video

Video Answers Elude Families of MH370 Passengers

For the families on board Malaysia Airlines flight MH370, an airline official’s statement nearly one year ago that the plane had lost contact with air traffic control at 2:40 AM is the only thing that remains confirmed. William Ide reports.
Video

Video Land Disputes Arise Amid Uganda Oil Boom

Ugandan police say there has been a sharp increase in land disputes, with 10 new cases being reported each day. The claims come amid an oil boom as investors appear to be cashing in by selling parcels of land to multiple buyers. Meanwhile, the people who have been living on the land for decades are chased away, sometimes with a heavy hand. VOA's Serginho Roosblad reports.
Video

Video In Russia, Many Doubt Opposition Leader's Killer Will Be Found

The funeral has been held in Moscow for Boris Nemtsov, the opposition leader who was assassinated late Friday just meters from the Kremlin. Nemtsov joins a growing list of outspoken critics of Russia under the leadership of President Vladimir Putin who are believed to have been murdered for their work. VOA’s Daniel Schearf reports from Moscow.
Video

Video Simulated Astronauts Get Taste of Mars, in Hawaii

For generations, people have dreamed of traveling to Mars to explore Earth's closest planetary neighbor. VOA's Mike O'Sullivan reports that while space agencies like NASA are planning manned missions to the planet, some volunteers in Hawaii are learning how humans will cope with months in isolation on a Mars base.
Video

Video Destruction of Iraq Artifacts Shocks Archaeologists

The city of Mosul was once one of the most culturally rich and religiously diverse cities in Iraq. That tradition is under attack by members of the Islamic State who have made Mosul their capital city. The Mosul Museum is the latest target of the group’s campaign of terror and destruction, and is of grave concern to archaeologists around the world. VOA’s Kane Farabaugh reports.
Video

Video Smartphones May Help in Diagnosing HIV

Diagnosing infections such as HIV requires expensive clinical tests, making the procedure too costly for many poor patients or those living in remote areas. But a new technology called lab-on-a-chip may make the tests more accessible to many. VOA’s George Putic reports.
Video

Video Afghan Refugees Complain of Harassment in Pakistan

Afghan officials have expressed concern over reports of a crackdown on Afghan refugees in Pakistan following the Peshawar school attack in December. Reports of mass arrests and police harassment coupled with fear of an uncertain future are making life difficult for a population that fled its homeland to escape war. VOA’s Ayesha Tanzeem reports from Islamabad.

All About America

Circumventing Censorship

An Internet Primer for Healthy Web Habits

As surveillance and censoring technologies advance, so, too, do new tools for your computer or mobile device that help protect your privacy and break through Internet censorship.
More