Agriculture is in a down cycle. Virginia Tech Professor Emeritus Dr. David Kohl told the North Dakota Bankers Association the biggest challenge is geopolitical risk. “Sanctions and tariffs don’t hit the general economy as much, it hits the farm economy because $1 in every $5 in net farm income comes from the export market.” Kohl cited Canada’s decision to impose 100 percent tariffs on electric vehicles which resulted in a shutdown of canola exports to China. Both presidential candidates, Donald Trump and Kamala Harris, have adopted a protectionist approach to trade. Kohl said that is happening worldwide. “For example, the leader of India is very protectionist-oriented. Europe is also moving toward that stance.” During the Ag Credit Conference in Fargo, Kohl also discussed land values and the demographic trends in agriculture. Listen to the interview.
