American farmers have been struggling ever since President Donald Trump's trade wars with other countries. We are now facing billions of dollars in potential losses, as data shows from the U.S. Government statistics. Specifically crops such as corn is facing a huge downfall.
The Agricultural Department stated that farmers planted a bigger corn area than analysts estimated. This pegged crop yields that also exceeded expectations sparking the biggest drought since 2013. You might not have realized this dilemma while buying produce at local stores, however the decline represents a potential loss of almost $3.5 billion for U.S. farmers.
Manager of the research team at CoBank, a $138 billion lender to the agriculture industry, Tanner Ehmke stated "This is a huge disappointment for farmers that have already been struggling with a lot of uncertainty with this corn crop, trade wars and what have you. A lot of people were banking on the opportunity to sell at much higher prices."
Crashing corn prices are one of the main causes for the huge farm debt which is estimated to be around $437 billion dollars. Lower prices could add to grower stress, and also push Trump to announce further aids to farmers as he unfortunately seeks re-election next year. Although Trump may have been a main cause for this issue he has announced $28 billion worth of financial help.
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