According to the report generated by Ag Economy Barometer this week, the farmer’s sentiment has reduced by 100 points. The reason for that is the changed conditions of the marketplace. According to Jim Mintert, the recent rise in production cost is quite unusual. All this has upset farmers, and public.
Farmers seem concerned about the possible outcomes of harvest this year. As the input cost has risen, the farmers are worried about the worth of commodities in the coming years. The cost of diesel is another factor that worries them. A single gallon of diesel has reached the price of $6.00 this week.
One out of every five farmers were reported to face difficulty purchasing input for their seasonal crops. These inputs cover all the categories varying from fertilizers, and herbicides, to machinery parts.
Due to the lack of supply in the market, farmers were forced to modify their usual herbicides program. That filled farmers with anxiety because it could affect their crops.
The producers see the light of hope even in such a situation. They seem optimistic about the farmland values. According to the Index of Long-Term Farmland Expectations, the farmland value rose to 8 points in May 2022.