Fox Business
Expand
Browse All Video
Watch Live

You're watching...

Impact of the Drought on Farmers

Details

  • Description

    Armstrong Farms President Jay Armstrong on the impact of the drought on his farm.

  • Duration 5:16
  • Date

Clips

Also in this playlist...

Commodities

Auto-advance: ON

Auto-advance
View All

Transcript

This transcript is automatically generated

Well now you've heard the grisly details of the government report on crops and we know this we'll -- our wallets corn and we ultimately impact the price of all kinds of food.

Ranging from hamburgers -- bread eggs steak and more make no mistake this means your grocery bill will go up and -- -- lot.

So what's it like to actually have to deal of this disaster every day date in and day out we turn to corn soybean and wheat farmer from case.

Well thanks for inviting me so tell me you know how was this strap going to impact you personally.

Well I think the first thing you start doing is that you start thinking about all the things that you -- Thinking about purchasing in and dreaming about owning.

Equipment and -- -- things and suddenly those kind of things are just you know they're off the table.

And that affects rule out rule economists.

-- images staff.

Has of from equipment dealers to all kinds of support.

Support -- companies that that help assist farmers.

And so that will be the first saying that the will have an effect.

And -- you know then you start -- kinda going into IA you know call that.

A well what the F mode.

And so you have these crops out there they don't have like corn for instance you don't have the grain on them.

So what can you do -- that and if you own cattle he'll start thinking about.

Putting it up for sciele age at least trying to get something for it because.

We had a terrible hay season this year as well hate prices are just skyrocketed.

And so you don't -- just try to improvise -- best she -- Yeah how financially devastating as this for -- mean did you by any sort of crop insurance.

Well yeah and that's 1 good thing -- am glad you brought that up.

You know -- in my lifetime Melissa started farming and 75 I remember the the the hundred degree days 1980.

I remember that he had droughts of 88 that was a nationwide drought.

And of course this one will now be in the memory bank says -- The year should -- just it took a leave of absence.

I'm probably looking make it now that I'm past the pollination stage.

Maybe 13 of -- corn crop.

Beans are -- are holding on that.

They have -- -- little different than corn corn has about a three or four day time period to pollinate and if if it doesn't pollinate that spot like it has been.

I mean you're out of luck but would -- they continue to flower.

And if we would get a rain I still think I -- get half of the union salads six to ten day forecast no -- -- in the -- -- You know I was interested to read that you would that you -- genetically modified seized at that improved the plants tolerance to drought -- that help but all in this case or was this one.

Just so devastating and we will we hear the worst drought in 25 years -- -- -- you can modify seems to withstand that.

I know I think everything has a as a tipping point but I did plant.

Some.

Some new genetics this year GMO crops.

That are known for their tolerance.

You know the problem with that is is that -- -- former ever likes to start out the year thinking well I'm gonna have a disaster this year celestial plan all the drought resistant varieties yeah you know you have different kinds of fertility of soils.

And so -- you plant you buy some -- source hybrids that need brain that because they yield high and then you'll by a certain percentage of your acres.

That.

You know can a variety second take the draft -- and so you know that way you'll have a little -- they do look greener and better and I can tell -- if this was 1988.

With the varieties we had back the end of this would all be over everything would be brown -- Free most of -- it to the viewers out there though.

What does this mean for them when they go to the store is they're going to be -- -- how much more expensive is -- going to be an -- what's the chain reaction I mean you know cattle feed on.

Corn and grain right I mean what's the reaction -- the chain reaction down the road on price said.

-- it it has a kind of a domino effect so up.

You have the cap calf guy that grows a calf.

To sell to a cattle feeder.

That cattle feeder today I am told is a losing a 150 to two dollars 200 dollars ahead.

Because the price of corn has gotten so high.

So he quits buying Peter -- And now what's that cap calf guy supposed to do at at the same time that that is -- dynamic is in place.

Driving.

Basically you know telling the market telling we don't want so many cattle -- because we can't get money.

Then there's also the cereal grains like wheat.

Right and I in the sit and I've said that you know we can be -- every cattle feeder has a nutritionist.

And they know how to feed weekend so normally -- Which goes store brands and -- pastas and cakes and crackers is used for human consumption.

But when corn gets higher than week we starts going through the animals yeah.

Are right.

TO.

Load More