This last year was a fun time to be in ag, clear steady markets, rationale, well-reasoned trade policy and commitments to long term markets that allow farm operators to make plans that invest in their own success and communities. Labor was accessible, inputs were reasonably priced, the weather was a nonevent and really, no major technology or other break throughs changed the way things have always been done.
Would you like to buy ocean front property in Scottsdale? Clearly the paragraph above has never been uttered, not during the time of the moldboard plow, the internal combustion engine, the cab for tractor, GPS, genetic patents on seed, the internet, the chat GPT or the drones. Every year has its challenges, the question is are you reacting or planning? One person’s plotting and scheming is another person’s projections and risk analysis.
Water is a problem for ag in the future. We in the land of many rivers, indeed our state is bounded by two critical rivers of the United States (not to be confused with Waters of the United States which is a legal term that is redefined by each controlling congress and presidential administration to suit their own policy needs with an occasional wrench from the Supreme Court for funsies). Iowa has little law on water. We largely let who ever can grab it use it as they want need and desire.
These days may be numbered. Aquifers are not refilling like they once were, regardless of the root cause, it appears to be a true statement. Less available water will pinching off places that have to pump water to create water intense ag products (Looking at you western state grain farmers). Demand for drinking water that is safe without filter upon filtering system isn’t going away –(Looking at everyone from farmer to lawn waterer). How is your farm operation going to capture and control a vital input -water- when it becomes regulated and controlled?
Also of concern appears to be the very nutrient quality of the meat we produce. Studies indicate that cattle fed from highly supplemented grain production areas (meaning applied fertilizer vs. using minerals already in the soil profile) are displaying less nutrient values compared to cattle sourced from areas where either grazing (I.e. western ranges) or newly opened up areas (the rain forest). This may indicate that our soil stewardship has an impact not only on run off and water quality, but also the value of the meat product raised.
Is this an opportunity to value price your production to consumers who demand high nutrient meat? Maybe not just yet, but the day may come.
These are but two of the challenges. We have survived a laundry list of changes to ag, and we will adapt to these as well. The question is are your contracts, purchasers, controls and resources aligned with what is ahead, or are you still buying coal and horse harnesses in 1948 as your neighbor buys Farmall MS and LP gas. For the younger crowd, is your farm installing land lines to the barn or buying cell phones?
