Compeer CEO encourages farmers to prepare for black swans
The CEO of a farm credit cooperative urges farmers to plan for the unexpected when marketing grain.
Rod Hebrink with Compeer Financial tells Brownfield he expects volatility throughout 2022.
“Black swans are the unexpected events that occur, and you look at the horizon and everything that’s going on in the world (and) there’s a possibility for it. That doesn’t mean that they’ll happen, but that’s part of what producers need to plan for is the uncertainty in building their operating plans for 2022 and beyond.”
He says supply and demand will influence prices.
“But we’ve also got some things globally that could create a lot of volatility in the market. You look at Russia and Ukraine, or conflicts with China, any one of those things around the globe, those geopolitical issues that could pop up could create a lot of volatility.”
Hebrink says those aren’t factors farmers are used to calculating into their marketing plans, but they need to be.