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Ag economist says volatility to continue

An ag economist says whether it’s bigger crops than expected or things happening in Asia – market volatility is here to stay as harvest approaches.

“A lot of folks are forecasting very modest growth, up about 1 and a half metric tons of soybean imports in to China. You know, that pales in comparison when you think about from 2012 to 2013 we were up over 11 –Million metric tons of imports going in to China,” says Scott Brown, with the University of Missouri. Brown tells Brownfield South America has been very competitive to the U.S. in soybeans for this year and he thinks that’s going to continue as well.

So, Brownfield asked, what should farmers do? He says, “Watch the crop that goes in the bin and I would say pay attention to what’s happening in South America and China as well. I think that roller coaster is far from over. It certainly may give us some opportunities, at times, to price products but at the same time there’s certainly pressure on markets these days.”

Brown says farmers will need new demand opportunities for U.S. crops.

AUDIO:  Interview with Scott Brown: