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Crud.. I sold too much 2025 Corn.. should I cover?
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JonSCKs
Posted 8/7/2025 19:24 (#11324249 - in reply to #11324008)
Subject: Economic fallout..


srfarms1990 - 8/7/2025 15:29

Those charity countries will still accept your sorghum and the co-op's sorghum.

I'm sure Ray Jenkins can help with the logistics if your serious about wanting to help your fellow man?

Bonpas


Rough math.. 400 million bushel crop.. roughly a dollar dive in basis.. from 20 over to 80 under.. probably a bit strong but we can attribute part of lower sorghum exports to Dec Corn futures.. so I’ll round at a dollar impact from USAID cancelation..

400 million bushel crop x $1.00 x turnover impact of 7 = $2.8 billion x 15% tax rate = $420 million in lost Federal taxes.

Its a Keynesian arguement.. I’m more of a Freidman kind of guy.. but we use these Keynesian arguments all the time for Ag payments.. nobody spends a welfare check better than a farmer.

So how much Tax dollars were truely saved when you figure the cost to the Ag Economy.. as well as a case can be made that this aid investment primes the pump for future demand.

Did the cuts even pay for themselves?  That would be a stretch but.. a legitimate question.

 





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