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KENTUCKY WEATHER

University of Kentucky economist discusses ag challenges

University of Kentucky economist discusses ag challenges


By Blake Jackson

Kentucky agriculture is facing a number of challenges in the wake of a strong run in recent years. However, there remains cautious optimism about the future, according to University of Kentucky Agricultural Economist Will Snell.

Snell said that 2023 is signaling a bit of a pullback from the good years that Kentucky agriculture has experienced in recent years. He noted that crop and livestock projections are traditionally based on "normal weather conditions," which has become a challenge in recent times. However, Snell added that genetics in corn and soybeans can help to mitigate the impact of weather conditions.

Despite the challenges, Snell said that farmer cash receipts in 2022 came in at $8.3 billion. He expects cash receipts to be around $8.1 billion for this year and around eight billion in 2024.

Snell also noted that there are a number of factors to consider when evaluating the outlook for Kentucky agriculture, including geo-political uncertainty. He said that the war in Ukraine, tensions with Russia, and instability in the Middle East are all adding volatility to the markets.

Poultry remains the top commodity for cash receipts in Kentucky, with cattle prices seeing a significant rise. Equine sales have declined slightly from 2022 but have largely retained gains found after the pandemic period.

 

Photo Credit: university-of-kentucky

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Categories: Kentucky, Education

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