Glauber admitted that last year things looked much brighter. Commodities were near record highs, exports and income were expected to be at record levels as well, in fact there was even concern that there would not be enough crops to meet global demands. Since last year’s conference commodities have fallen 40-50% and there is much uncertainty due to the global economic problems.
He expects that the forecast for 2009 is $20 million under the $95.5 from 2008. Most of this is due to the competition from other countries growing wheat and corn crops. However, soybean production will be at the same level.
It is expected that acreage will decrease by 5.2 million in 2009 because there seems to be a lack of contracting opportunities. Soybeans prices are increasingly favorable over corn, but corn crops are needed to meet the goal of 10.5 billion gallons of ethanol.
Regardless of current conditions, there are many opportunities to operate a successful farm. There are many innovated concepts, such as wind turbines, that are expected to increase. However, if conventional farming is your dream, now is the time to get a farm loan and purchase land.
Rates are at record lows, and the economic slump is expected to pan out within the next couple years. If you are interested in obtaining a farm loan or would like more information about farm loans contact Farm Plus today. Call 866-929-5585 or visit online regarding farm loans.
Tags: economic outlook, usda