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Monday, December 28, 2015

Mid-Valley InBusiness Outlook: 2016 could be good for ag

Mid-Valley InBusiness Outlook: 2016 could be good for ag: The good: Drought took its toll on mid-valley farmers in 2015, knocking grass seed yields down by as much as 25 to 50 percent depending on field location and soil type.

With a record December rainfall, the good news is that perhaps drought will not again be a factor.

In step with rapidly declining international oil prices, mid-valley farmers should enjoy lower input prices for necessities such as fertilizer.

Producers continue to diversify with grass seed acres being converted to filbert orchards due to an expected international marketing opportunity.

The bad: Producers are looking at lower commodity prices and livestock prices have dropped significantly as the number of cows available nationwide has rebounded much faster than anticipated.