Veteran agriculture economist Abner Womack is bullish on agriculture. New data released last week by the Food and Agriculture Policy Research Institute, which Womack co-founded, looks at agriculture leading up to 2014 and for a decade following 2014.
“And there is just a major difference between what agriculture looks like before that point and after,” said Womack, during an interview with Brownfield Ag News last week.
Notably, Womack says data shows heavier grain stocks and lower prices in the future, which is good news for livestock producers, and not so good for crop farmers.
“Am I bullish on it? I would be a little bit cautious on the land side, going in front of me because that margin is really tightening on returns and it will put pressure on land prices and it will put pressure on rent, and they’ll come together,” said Womack. “But those are likely to be tighter in front of us, in those areas, than they have in the past.”
The agriculture baseline outlook, released publicly last week, is also presented by FAPRI to congressional agriculture committee staffers.