TERRE HAUTE, Ind. (WTHI)-- In the last four months, soybeans have taken the agricultural industry by storm.
"It's like holy cow! You wake up every morning, you grab your phone, and you look at the overnight markets, and wow, they're up again," said Brad Burbrink, partner of BE-N-AG Family Farm in Terre Haute.
Burbrink grows both corn and soybeans. Since harvest season, both crop prices have seen a spike. The cost of soybeans has surged by nearly five dollars! What was once $9.46 is now $13.61 per bushel. That price increase comes from the historically low stock we currently have.
Michael Langemeier, the Associate Director for the Center for Commercial Agriculture at Purdue University, explained that there was no way for farmers to predict such a surge.
"We did not anticipate export demand growing by 30%, and again, that's largely China." "They had some real problems with a major disease over in China, and they had to liquidate a lot of their sow herd, and they are trying to rebuild their hog inventory," said Langemeier.
Although this is excellent news for crop farmers, like Burbrink, they might not see all of the benefits.
"Unfortunately, we sold a lot of our grains either during harvest with the rise of the market before last growing season, but with saying that, we are able to, with with the grain we do have left, get the opportunity to sell at these levels that we were not at all expecting," said Burbrink.
There are various ways farmers can market their crops. Some farmers who decided to wait to sell their crops can take full advantage of the price hike now.
Agricultural experts predict these higher prices will stay around until at least the end of June.