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Potential market to form around ag input advice

A new CoBank report says farm supply cooperatives and independent ag retailers need to change their business model to compete in the future ag market.

The report’s author, leading CoBank grain and farm supply economist Kenneth Scott Zuckerberg, tells Brownfield ag retailers should focus on getting paid for their advice…

“The signposts are there,” Zuckerberg said. “There’s going to be, most likely, a lot less usage of certain agri-chemicals and fertilizers. If you’re (ag retailers) afraid to lose out on getting paid, then you should get paid for giving the good advice about what you should use [and] when.”

He said the emergence of an advisory market would allow growers to be more precise in the field and limit the need for labor.

“The ultimate benefit is lower cost,” he said. “Maximizing yield by optimizing inputs.”

Zuckerberg said farmers have a higher risk tolerance when the market is strong so ag retailers should be making changes now to capture the emerging market before the next downturn in the grain market which could be as early as next year.

Kenneth Scott Zuckerberg Interview

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