Record input prices overshadow corn and soybean prices
A central Indiana farmer says record input prices are overshadowing favorable corn and soybean prices.
Mike Beard tells Brownfield his farm’s projected cash flow for 2022 is similar to last year.
“I’ll tell you I have an empty pocketbook. Everybody told us to go out and buy inputs early and we tried with what was available, but those were two-three times as expensive as they were last year,” he says. “When I got done figuring out my proposed cash flow for 2022 it doesn’t look a bit better than last year, and I’ve got nice prices to plug in with around $6 for corn and $13-$14 for soybeans. Those should be highly successful profit-wise, but it doesn’t look like it this year because ag inputs are significant.”
He says risk management strategies will be important this year.
“You just never know what’s going to happen in agriculture. We could have a black swan event. Last year we had a whole gaggle of black swan events so how do you protect yourself from that,” he says. “We’ll have to take a look at risk management options. It’s bothersome what might happen that we can’t foresee.”
Beard grows corn and soybeans in Clinton County.