Farm Credit Mid-America CEO talks about opportunities for 2020
The president and CEO of Farm Credit Mid-America says many growers are well positioned for this year as they control costs, look at profitability for each individual field, and adapt their operation to the new normal of this economic cycle.
Bill Johnson suggest that growers create two business plans for the short-term and long-term.
“One of the things we’ve seen in past economic cycles is that so much focus on the short-term can lead to long-term opportunities being missed along the way,” he says. “We’re encouraging our customers to put two business plans together— one that focuses on the short-term and is really focusing on survival and risk management and the second is to look at when we come out of the cycle and how is it going to change your operation and what can you do today to prepare for opportunities that may come in the future.”
He says growers should also look at their risk management plan.
“To make sure that crop insurance is in place and has been structured in a way that’s best for their operation,” He says. “The second piece of that is continuing to focus on financial accounting- tracking costs and making sure they have the information they need to best run their operation and the third part is marketing and if they can go ahead and lock in some profitability, the sooner that happens the better.”
Brownfield interviewed Johnson during the 2020 Commodity Classic in San Antonio.
Audio: Bill Johnson, Farm Credit Mid-America