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High rates, volatile prices create uncertainty for farmers

The president of a crop insurance company is concerned as farmers face mounting uncertainty.

Dalynn Hoch with RCIS says interest rates highlight the risk of farming.

“Most of us get our paycheck, we pay our expenses and we continue through life. As a farmer, we have to pay for all of our expenses upfront, before we even put a seed into the ground.”

To do that, she tells Brownfield most farmers need to take out operating loans.

“Interest rates are high right now. Commodity prices, we’ve seen how those have moved over time. And not only commodity prices, you also have your basis. So a farmer has to be concerned around what the basis is, what are they actually going to get when they take that (crop) into the elevator.”

Hoch says there’s also uncertainty around input costs as farmers make plans for the 2027 growing season.