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Profit margins tight as farmers face another uncertain season

A pair of farmers say ongoing market volatility is leaving little room for error for this year’s growing season.

South-central Nebraska farmer Randy Uhrmacher margins continue to be under pressure. “The bleeding may have slowed down a little bit with crop prices going up some, but they’re still not at profitable levels.”

He says diesel fuel costs have been especially frustrating this year. “We started filling tanks this winter and got some of it at a decent price, but we didn’t get enough of it done and it’s almost $1.50 increase from load of fuel to the next.”

Kansas farmer Scott Gigstad says broader instability is making it harder to manage risk. “I think there is a little uncertainty on where markets could go. There is a lot of uncertainty in the world right now and I think everybody is on edge watching where they spend dollars.”

Both farmers say they continue to look for ways to improve bottom lines, but their options are limited due to the high costs of inputs.