Back to School and Back to the Fields
August is back to school, back to the heat and, for us farmers, back to the fields.
Many of our commodities in Louisiana are being harvested right now, including corn, beans and rice, as well as planting for sugarcane. While COVID is also back, farmers still can’t take a break, especially right now.
One thing that’s different from last year to this year is the ag economy. We’re seeing better prices, in general, for most farm commodities. China’s been in the market buying our products and, due to some bad weather in South America, as well as the Phase One trade deal, we’re seeing American products head overseas once again.
That said, it’s still been a tough year for many farmers. Late July and early August has also been relatively dry, especially compared to this spring. If you didn’t get to plant, those better prices don’t help. A lot of soybeans had to be replanted and that negates a lot of those better prices.
The better commodity prices are also coinciding with inflation at the grocery store. I want everyone to know the two aren’t necessarily related. Most of the cost end-users see is due to higher transportation and shipping costs. For instance, the higher price for lumber means that packaging and the wood used to make shipping pallets also cost more, which is passed on to the consumer.
Farmers won’t see a dime of that. That’s what I want everyone to know, that we suffer from inflation just the same as anyone else. Even when we sell directly to consumers, for example, we still have to send cows to slaughter, so we have to pay for gas. Plus, when there’s delays from labor shortages, we have to wait for our beef to be processed as well.
Infrastructure is also being talked about a lot right now. Hopefully, we’ll see the right moves forward at both the national and state levels. Brazil is a great example of what happens when infrastructure isn’t developed or neglected—long lines at the ports can reduce grain quality even before it gets to where it’s going. We’re the best in the world in part because our international customers can rely on timely deliveries thanks to our dependable roads, bridges, rivers and ports. We need to renew and repair that infrastructure to keep our economy going.
Harvest time is a special time—it’s the reward for a year of hard work. Hard work that is fulfilling, knowing we’re bringing the commodities that keep the whole world going. Even in better years, it takes its toll, whether we’re dealing with rough weather, delays or especially the mental strain of not knowing what comes next.
I want to take a minute to also acknowledge the hard work our Louisiana Farm Bureau Marketing Department does this time of year. They are busy trying to find the best prices for farmers, while also finding places for all that grain to go.