There are lots of factors to consider when evaluating where Kentucky agriculture stands today as well as looking into the future. The release of an annual report offers some reflections and predictions.
University of Kentucky Agricultural Economist Will Snell said 2023 signals a bit of a pullback from a good run for Kentucky agriculture the last few years. And the farm economist said there remains cautious optimism about 2024. Snell noted crop and livestock projections are traditionally based on “normal weather conditions”, a challenge he says these days. Snell added genetics in corn and soybeans can help.
“You talk to most of these grain farmers across the state and they say well we had some really dry periods through the summer and we thought it was gonna impact yields, but they’ve been very surprised. We’re not gonna have record yields this year but it’s gonna be some pretty phenomenal yields,” said Snell.
Snell said farmer cash receipts in 2022 came in at $8.3 billion. It’s expected to be about $8.1 billion for this year and around eight billion in 2024.
The veteran farm economist admitted there are lots of factors to consider including geo-political uncertainty.
“You know, what’s happening in Ukraine, what’s happening with Russia with relationships with China. Now we got all the tension in the Middle East. All these things disrupt markets and Ag doesn’t escape that so that’s adding a lot of volatility to our markets these days,” said Snell.
Poultry remains the top commodity for cash receipts with cattle prices seeing a significant rise. Equine sales have declined slightly from 2022, but have largely retained gains found after the pandemic period.
Here's more with Will Snell:
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