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News / Business

Corn crop ‘train wreck’ for farmers in Midwest

Heavy rains, trade tariffs create major challenges for them

By Mario Parker, Bloomberg
Published: June 14, 2019, 4:01pm

A smartphone could fit in the space between James McCune’s index finger and thumb as the Illinois farmer describes the height of crops stunted by incessant rain and unseasonably cool weather.

“Corn’s not supposed to be this tall” in mid-June, said McCune, who can trace his family’s farm roots as far back as 1857. “It’s supposed to be this tall,” as he gestures just below his waist.

Conditions and morale are so low in McCune’s area of northwestern Illinois, typically the second-biggest corn-producing state, that he organized a get-together Thursday evening at The Happy Spot, a restaurant and bar in Deer Grove, Whiteside County. About 125 farmers and others tied to the industry turned out for chicken and beer at the event, dubbed “prevent plant party,” in reference to acreage left unplanted this season.

“It’s going to be a train wreck,” McCune said.

The headwinds growers are facing are multiple. Record rain has flooded Midwest streets and snarled Mississippi River traffic, crucial to delivering supplies that farmers need and a major artery in helping them ship products. Stalled corn plantings forced the U.S. Department of Agriculture to cut its harvest estimates in its June report, only the fourth time since 2000 that the government has taken such action in that month’s data.

McCune and other farmers at The Happy Spot said the report still doesn’t fully capture how bad this year’s crop will be. Bryan Snetcher, a third-generation farmer from Shannon, Ill., said that while he was finally able to get his crop planted, it has been a hard slog.

Besides the rain, farmers have borne the brunt of President Donald Trump’s trade war with China. McCune and Snetcher are among farmers who support Trump’s moves, citing unfair trade practices by the Asian nation. The administration is preparing a second round of tariff-aid payments to farmers, as well as looking into freeing up funds for growers claiming what’s known as prevented plant insurance and who sow an eligible cover crop.

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