While most U.S. pork packing plants are operating, they are not running at full capacity and hogs will to continue to back up in the system through the end of the year. Nate Franzen, who is the president of the ag banking division of the First Dakota National Bank, is advising farmers to control what is controllable during this tenuous financial time. “Whenever we’re in a black swan event like this one, I look to equity preservation and maintain that working capital.” In this uncertain marketplace, answers can be hard to come by. “Some times we can be so overwhelmed with the information coming at us, we can be paralyzed and that is a really dangerous situation.” In a Pork Checkoff-sponsored webinar, Franzen emphasized the importance of communication between farmers and their lenders.
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