News

Focus on risk management ahead of spring planting

An ag economist with University of Missouri Extension says farmers should consider risk management strategies as they make planting decisions for spring.

Ben Brown tells Brownfield “we just have more options now than we do later in the year. I would encourage farmers to really work on that and think about strategies for cash flow management.”

Brown says planting corn, soybeans and wheat will likely cover cash costs like seed, fertilizer, chemicals and labor, but…

“The problem is we’re probably not going to cover total costs like land rent and equipment.”

He says rice and cotton aren’t likely to cover cash costs without government support and because of that, he’s expecting acreage for these crops to decline.

Brown says strategy matters and it will shape a farmer’s bottom line for the year.