As farmers prepare to harvest what may be a record-large soybean crop, their largest export customer has yet to make a buy. Without a deal with China, North Dakota farmers may not get a bid for their
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soybeans. According to North Dakota Soybean Council Chair Jim Thompson, the local cash market is pushing growers to store their beans. “Yes, there are smaller elevators that, if you don’t have a basis or a futures contract with them, they will not be accepting beans off the field,” said Thompson. “Others are working with producers to do some sort of a price later (contract) with a fee for storage. I know there are elevators around me, up here, that are planning for flat storage, but it is a reality that there are producers that are going to have to hold those beans somehow, some way.” North Dakota Soybean Growers Association President Justin Sherlock says the trade dispute with China needs to end. “Maybe it’s getting an interim trade deal with a country like China so we have somewhere to just physically move and sell those soybeans because that’s the immediate concern as we head into harvest.” The financial challenges are significant, and there’s chatter in Washington, D.C. about additional assistance for farmers. Sherlock said farmers want the export markets restored first. “We just need to get rid of the crop right now, then we can figure out where we’re at financially as we go into the winter months and loan renewal season.” The full interview with Thompson and Sherlock can be found online.
