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southern MN | More opportunity out there now than there was several years ago, but it can be scary I’ll agree with that.
2027 could be rough or could be rewarding. I’d guess that would make a lot of smart farmers a bit conservative on purchases, which would be a problem to the ag supply businesses.
Farming is always a cycle of highs and lows. If you aren’t factoring that into your business plan than you are destined to fail I would think?
JD has pretty much built in a very high premium technology price on their equipment. Can you even run a new round baler of theirs on a different colored tractor any more for example? Everything is high tech, satellite or cell connected. It appears everything they make is closed for any normal repairs, dealer work only it’s all locked down in software licenses.
The other few major manufacturers aren’t far behind, but they offer some flexibility and cross compatibility yet. Better value in harder times.
It’s been said here and else where for years most farmers have more iron than they need to run their farms, ‘just in case.’
Corn and beans up today, ag commodities tend to follow other commodities that are trending way up. We can’t control the weather it’s rough if the weather is against you. We can control our input costs somewhat, if we don’t we likely aren’t good managers?
When times get a bit conservative I’m sure it is troubling to the highest dollar, most restrictive machinery manufaturer.
Certainly there have been far worse years than 2026 for farming in the past 45 years? What does 2027 hold? Might be better could be worse, that’s something to consider. It should make the farm outlook a little more conservative, and just like farmers, machinery companies need to plan for a business cycle as we have every decade or two.
Paul
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Worst farm economy since the 80s
