Farming is an uncertain business and “penciling out” the year’s crop and profit margins at the dining room table always involves some guesswork when it comes to final input costs and revenue.
With tariffs making headlines, this fall and subsequent crop years may have additional uncertainty when it comes to the bottom line, as tariffs could impact input costs, market access and crop prices.
Cornell University professor and economist Wendong Zhang, who previously worked at Iowa State University, says the uncertainty is a challenge for farmers.
“Not only is there a tariff hike, but there is tariff volatility,” Zhang says. “It is uncertain on which countries a tariff will be applied, and how much, which is bad for farmers trying to plan.”
Julian Binfield is director of international programs for the University of Missouri’s Food and Agricultural Research Policy Institute. He says farmers have the chance to get more market access and reduced trade barriers from the trade negotiations.
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