Continued low commodity prices and no more trade aid a frightening prospect
The prospect of continued low commodity prices and no more trade aid concerns many in agriculture.
Rod Hebrink, CEO of Farm Credit cooperative Compeer Financial, says MFP payments the past two years have made a huge difference.
“For many farmers, that was essentially the income that they had for the year. So (MFP) did offset the losses caused by the trade disruptions and the reduction in commodity price levels.”
He tells Brownfield Ag Secretary Perdue’s suggestion that farmers should not count on another payment in 2020 doesn’t mean it won’t happen.
“And I’m sure it will depend somewhat on price levels throughout the year, and whether we see the Chinese coming back into the marketplace as significantly as projected.”
Hebrink says commodity prices probably won’t recover until actual Chinese purchases are documented and verified.