Farmer Attitudes Changing—Becoming More Negative
05/10/2024
The results of two recent surveys show that producer attitudes are changing to the negative. Both the Purdue University/CME Group Farmer Sentiment Survey and the 2024 Farmer Speaks Survey sponsored by J.L. Farmakis, Inc. indicate that farmers are adopting a more cautious approach to this year’s business strategy.
The Purdue University Farmer Sentiment Survey, found at https://www.purdue.edu/newsroom/releases/2024/Q2/farmer-sentiment-declines-to-lowest-level-since-june-2022-amid-weakened-financial-outlook.html revealed a “...steep decline in U.S. farmer sentiment… which fell 15 points from March to a reading of 99.” Both the Current Condition Index and the Future Expectations Index fell to their lowest levels since June 2022.
James Mintert, the barometer’s principal investigator and director of Purdue University’s Center for Commercial Agriculture said that the results, “…reflected broader concerns about financial performance and farmland values.” There were also, “…growing concerns about the upcoming year’s financial outlook, with fewer respondents expecting better or equal performance than last year.”
The Farmer Speaks Survey results were covered in the March/April 2024 edition of Agri Marketing magazine. The article can be found at https://www.agrimarketingdigital.com/agrimarketing/march-april-2024/flipbook/36/
The results show that farmers, “…are making fewer changes overall, driven by concerns about both short-term prospects and long-term finances.” They are reducing costs for fertilizer as much as possible, making fewer equipment purchases, sticking with their current crop protection products, and are looking at diversifying their seed purchases to buy from three or more seed companies. More than half are actively evaluating carbon credit options, and 29% are increasing their line of credit for 2024.
As advisors to agricultural producers, we should be aware of these changing attitudes and do all we can to ensure our clients are using sound analysis when making changes to their normal production strategies. We should also be encouragers, helping them stay positive during the challenges they face in these current market conditions.
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This article is the opinion and perspective of the author and the sources cited, and may or may not be consistent with those of other ASAC Members. Endorsement of specific items mentioned in the article is not an endorsement of the individual, the company or the organization from which it originates. ASAC as an organization does not advocate opinions or positions on issues.
Don Tyler
ASAC Board Member
Tyler & Associates
The results of two recent surveys show that producer attitudes are changing to the negative. Both the Purdue University/CME Group Farmer Sentiment Survey and the 2024 Farmer Speaks Survey sponsored by J.L. Farmakis, Inc. indicate that farmers are adopting a more cautious approach to this year’s business strategy.
The Purdue University Farmer Sentiment Survey, found at https://www.purdue.edu/newsroom/releases/2024/Q2/farmer-sentiment-declines-to-lowest-level-since-june-2022-amid-weakened-financial-outlook.html revealed a “...steep decline in U.S. farmer sentiment… which fell 15 points from March to a reading of 99.” Both the Current Condition Index and the Future Expectations Index fell to their lowest levels since June 2022.
James Mintert, the barometer’s principal investigator and director of Purdue University’s Center for Commercial Agriculture said that the results, “…reflected broader concerns about financial performance and farmland values.” There were also, “…growing concerns about the upcoming year’s financial outlook, with fewer respondents expecting better or equal performance than last year.”
The Farmer Speaks Survey results were covered in the March/April 2024 edition of Agri Marketing magazine. The article can be found at https://www.agrimarketingdigital.com/agrimarketing/march-april-2024/flipbook/36/
The results show that farmers, “…are making fewer changes overall, driven by concerns about both short-term prospects and long-term finances.” They are reducing costs for fertilizer as much as possible, making fewer equipment purchases, sticking with their current crop protection products, and are looking at diversifying their seed purchases to buy from three or more seed companies. More than half are actively evaluating carbon credit options, and 29% are increasing their line of credit for 2024.
As advisors to agricultural producers, we should be aware of these changing attitudes and do all we can to ensure our clients are using sound analysis when making changes to their normal production strategies. We should also be encouragers, helping them stay positive during the challenges they face in these current market conditions.
***********************************
This article is the opinion and perspective of the author and the sources cited, and may or may not be consistent with those of other ASAC Members. Endorsement of specific items mentioned in the article is not an endorsement of the individual, the company or the organization from which it originates. ASAC as an organization does not advocate opinions or positions on issues.
Don Tyler
ASAC Board Member
Tyler & Associates
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