Many aspects of the economy have been negatively affected by the COVID-19 pandemic. Kent Thiesse with MinnStar Bank says agriculture has not been immune.
“Most of our farm commodity prices have been on a downward spiral since early March since this whole situation started to unwind,” said Thiesse.
Thiesse says many in the Ag sector weren’t expecting a great year and the current situation won’t help.
“We entered the year facing some financial challenges already due to a couple of down years and low crop prices,” said Thiesse. “What looked like some tight margins coming into the year, for both crop and livestock farmers, have gone to negative margins.”
Thiesse says so far the supply chain hasn’t been negatively affected, but if any part of the distribution chain gets interrupted by a number of workers getting sick, things could go south in a hurry.