6 |
Supply:
Continued from Page 5
“There’s a lot of price uncertainty of
course, but in my opinion crop prices will
remain high,” Wysocki said. “Maybe not $12
(per bushel of soft white wheat at Portland),
but still up there. With drought in Kansas, war
in Ukraine, world wheat prices should stay
high, but you need supply to sell.”
Turning to the eff ect of infl ation and sup-
ply chain disruption on local farmers and
ranchers, Wysocki said, “Fuel price hikes
aff ect a lot of expenses. You have to pay more
to haul grain and for fi eld work. It aff ects the
availability of agricultural chemicals, fertil-
izer and pesticides. Supplies are short and
cost more. Glyphosate (Round-Up herbicide)
cost is up and supply down. (Farm chemical
companies) will sell to their big, regular cus-
tomers fi rst. If you shop around all the time,
then you might not be able to buy any. Other
herbicides, same situation.”
He also said equipment maintenance this
past winter was more diffi cult than usual due
the supply chain problems.
“Parts are a problem,” Wysocki said.
“Combine repair needed to be done early,
before the Midwest soaked up all the spare
parts. Distribution and freight cost more, even
when supplies are available.”
Older producers have gone through tough
times and know how to tighten their belts, he
said, but this might be the fi rst time younger
farmers have faced challenges like this.
“Infl ation might aff ect interest rates. If
you need to borrow capital to buy land, or for
an operating loan, it could cost you more, or
you’re simply priced out,” he said.
Kevin Scheibner, 51, a who grows wheat
and runs a cow-calf operation in upper Wild-
horse Creek near Athena, echoed Wysocki’s
comments on the eff ects of infl ation.
“Seed costs and any petroleum-based prod-
ucts have gone through the roof,” Scheibner
said. “But we make adjustments and carry on.
American farmers face whatever the world
throws at us, and keep moving forward.”
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