If there is one unfortunate thing the Southeast and the Midwest have in common, it is the delays in harvesting that have been caused by the overload of rain recently.Things have gotten so bad out there that some farmers are contemplating destroying whole fields to get to spots where some viable crops still remain. The effect on farmers expecting to be harvesting is made all too clear by Hartwell Huddleston’s quote in Becky Bohrer’s article on the situation for the Associated Press, ‘"We've had a lot of rainy years, but this one puts those to shame . . . a person's a farmer you start to think, 'Where am I going to sleep? How am I going to feed my children?'"
As Bohrer reports, the effect of late-season rains could ultimately prove devastating to farmers from the “hurricane-ravaged Gulf region” who are facing “disastrous back-to-back years.” Consumers may feel the effects of cotton, corn, and soybean crops staying in the ground this long too. Though, Chad Hart, an extension economist at Iowa State University, feels consumers would only see “slightly higher prices for products” that use those crops.
Bohrer reports that Midwest grain farmers do have a “saving grace” in that their crops (corn and soybeans) “were in relatively good shape.” As soon as farmers got a break in the weather this past week they hit the fields to salvage what they could.
The amount of rain in itself is not necessarily a problem, but it was when the rain fell, during peak harvest time, that is going to make the weather so costly this season. Agronomists at Louisiana State University and Mississippi State University estimate the two states combined will face loses of “more than $120 million on their cotton [.]”
“For all major row crops, Louisiana farmers stand to lose $275 million in revenue and Mississippi farmers, $371 million, according to the early estimates. This would further compound the losses many producers suffered last year due to hurricanes Gustav and Ike.”Kurt Guidry, author of the Louisiana State report believes the economic impact will be as though a hurricane did hit the region and this will cause serious financial stress for perhaps a majority of producers.
Financing for 2010 remains a concern, and as unpopular as it sounds right now, many producers may need government help unless private sources of financing step up.
To read Bohrer’s article for the AP click here.
Posted: 11/05/09
