The 17th Senate District is the most agriculturally-dependent Senate District in Wisconsin. The farm economy encompasses more than just our farms; it includes our feed suppliers, equipment dealers, veterinarians, and more. Even many of our main street businesses are dependent on the farm economy. For this reason, I wanted to provide you with an update on what I am hearing about the state of the farm economy.
Unfortunately, in many sectors of the farm economy there is not great news to report. Commodity prices are down and supply is up. Farmers and the agribusiness community are nervous about the unknowns.
The prices that farmers are receiving for their corn and soybeans are down significantly from previous years. According to the United States Department of Agriculture (USDA), the average price received by farmers for corn during September 2024 in Wisconsin was $3.70/bushel, down 27% from the September 2023 price. Soybean prices were also down significantly. According to the USDA, the average price received by farmers for soybeans during September 2024 in Wisconsin was $10.20/bushel, down 26% from the September 2023 price.
While milk prices are up in 2024 compared to 2023, dairy farmers are still recovering from a few years of lower prices. In addition, hog and beef cattle prices continue to be about even compared to last year.
I am also hearing that the supply of corn and soybeans is high. According to the USDA, Wisconsin corn production is forecast at 535 million bushels for 2024, down about 3% from 2023, but still near record highs. Soybean production is forecast at 112 million bushels for 2024, up about 7% from 2023 and the third highest ever.
People are also nervous and worried about the unknown. How long will commodity prices continue to fall? Will a federal Farm Bill get passed and if so, when? What will interest rates be going forward? How much higher will inflation go? What will demand for crops look like in the future? How will exports be impacted by national and international events? These are all great questions that I am paying attention to as well.
It is important to point out that the state of the farm economy impacts more than just our hardworking farmers. For example, implement dealers are tied into the farm economy. When farmers don’t have money, it is difficult to buy new equipment.
In addition, many of our main street businesses are also dependent on the farm economy in order to succeed. When farmers suffer, so do the main streets in our rural communities. If farmers have money, they spend it.
Our farmers are some of the hardest working, resourceful people I know. Most of our farmers have experienced the ups and downs of the economic cycle and are resilient. They have been through this before. The farm economy is very important in the 17th Senate District and we should all want it to succeed.
As always, if you need assistance with any state-related matters, please call our team at the State Capitol — 608-266-0703 — or email me — Sen.Marklein@legis.wisconsin.gov. My team is ready, and willing, to help navigate your state government, clear obstacles, and receive your input.
— Sen. Howard Marklein
represents Wisconsin’s 17th Senate District.
