WHAT’S THE BEST WAY FOR FARMERS TO REMAIN PROFITABLE IN A TOUGH MARKET?
Rock-bottom prices. Massive surpluses. Trade wars. Floods.
Over the last few years, the combined force of these factors and more has been putting incredible pressure on Midwestern family farmers. Even some growers with generations of know-how behind them and a deep love for the ag way of life have begun to wonder if it’s all worth it anymore.
Some have already decided to make a quiet exit, while others bravely carry on, hoping to outlast the hard times, while every day they sink further into debt.
It’s not their fault. They’re still great operators – just as good at running their farm as they’ve always been. But the game has changed on them, and yesterday’s strategies are no longer leading to profitability. Growers are adding operating note after operating note, and lenders are starting to clamp down.
Not long ago, when corn was $7 and beans were $17, as a row crop farmer, you could make a great living by carrying on a lot of the same approaches of the previous generation. You had to know what you were doing, but you could make some mistakes here and there without impacting your bottom line too much.
We’re in a whole different universe now. 2018 marked over four years since the bottom fell out in commodities. With corn prices under $3.50 year after year and no relief in sight, every little edge matters, in every area of your operation.
A lot of advisors are pushing software and technology as the answer, but software is only as good as the knowledge and experience of the people using it. What’s needed is a comprehensive approach to farm management.
By maximizing your profitability in the field, the office, and the market, and creating synergy among all three, you can put your operation in the strongest possible position. You’ll weather this long downcycle better, and when prices do rise again, the rewards you reap will be that much greater.
Growers Axis® provides the expertise and support family farmers need to make it through these hard times and come out stronger on the other side. Our expert advisors all have lifelong ties to the ag world and decades of experience solving the toughest challenges and getting unmatched results in agronomy, business, and grain marketing.