News

Most farmers in good financial shape

An agricultural banker says most farmers will enter the growing season in good financial shape. 

Commodity prices are not ideal, and margins are tight, but ag banker Daniel Duthie with Bremer Bank tells Brownfield most farmers are in good financial shape. “We’ve had a couple, three good years ahead of this. I think most guys are sitting in pretty good shape coming into this year. As long as we don’t see a two or three-year downturn, then things would get a little tighter, but going into this year, I think most guys are set up to weather the storm.”

Duthie says many farmers are looking at operating loans right now. “Their operating needs have stayed pretty consistent and we’ve seen line utilization go up a little bit with the shrink in commodity prices, but I still think it’s a good year.”

Duthie says he’s also seeing more farmers holding off on major equipment or facility upgrades as they watch their bottom line.

Audio: Daniel Duthie from Bremer Bank discusses the financial picture for farmers as we enter the growing season with Brownfield’s Larry Lee at the WPS Farm Show.