2022 Fall Farm Outlook

2022 Fall Farm Outlook Lincoln Daily News Oct 2022 Page 7 In recent weeks the occurrences of the Coronavirus have diminished to single digits in most communities including Logan County. The state of Illinois has continued easing restrictions, and many will say that the pandemic threat has now been eradicated. The pandemic had trickle down effects that impacted all sectors of the economy. During that time, the supply chain was disrupted due to embargoes on imports, lack of labor for processing, and lack of transportation for everything from toilet paper to fall harvested crops. Prices soared on everything and the Consumer Price Index went up in double digit rates and Cost of Living followed closely behind. On the farm, producers found they had crops but limited resources for delivering those crops to processors. As the pains of the pandemic began to subside, producers saw some excellent prices in 2021. Corn in central Illinois averaged $6.50 per bushel and soybeans were $14.05. It is well known that supply and demand is a cyclical system where that supply increases and demand decreases. In the ag sector, supply was there but not deliverable. Therefore the demand increased and the price increased. As issues leveled out and the country went back to work, the supply was delivered, lessening the demand and causing decreases in cash value. In addition to the pandemic, the Russia and Ukraine conflict reduced exports from that region. The demand for more exports of grains from other countries increased and Is the farming economy improving post pandemic? CONTINUED --