How Will Farmers Be Impacted by the 2020 Recession?
In the last few years, shifting ecological and economic conditions have caused severe strains for the US agricultural industry. Today, the coronavirus pandemic appears to be pushing the US economy towards an inevitable recession. How might this affect US farmers, a demographic that’s already struggling to adapt to a rapidly changing economic landscape?
If you own a small farm, this question is likely at the top of your list of concerns right now. And no wonder! You’ve probably also asked yourself: are there any small farm loan options out there that can keep my business protected?
Well wonder no more! In this article, we’ll help you to answer both of those questions.
How Might a Recession Affect US Farmers?
As the coronavirus pandemic continues to escalate, huge numbers of businesses have been forced to temporarily close their doors. This has produced a seismic shift in the economy that many experts fear may lead to a global recession. What are the likely impacts that this outcome would have on US farmers?
The most crucial ripple effect that’s likely to occur is a significantly (albeit temporarily) reduced demand for certain agricultural products. Ethanol and meat consumption, for example, will be reduced as consumers limit their spending and continue to remain in lockdown. This could send a shockwave through the farming and agricultural community that’ll be felt throughout the rest of the year.
That said, there are key markets in Asia – specifically China – that reportedly are beginning to have the virus under control. This fact, coupled with the new trade deal, may conceivably provide some economic support for US farmers through 2020.
Keep Your Business Protected With a Small Farm Loan
These are uncertain and unprecedented times that we’re living through. Understandably, many farmers have begun to fear that their businesses will be swept away by an impending recession. But the fact is that the actions we take today will determine our ability to weather the storm that’s coming.
Small farm loans are one of the best ways to financially prepare for the difficult months (or years) ahead. At MSF Agriculture, we’ll help you to understand the specific economic hazards that you might face during a recession. From there, our lenders will find you a loan and a payment plan that works for your business and budget.
Start Shopping for Small Farm Loans Today!
At MSF Agriculture, we’re intimately familiar with the concerns that are currently weighing on farmers everywhere. We’re passionate about the industry, and it’s our goal to provide you with solutions that will keep your business thriving. We encourage you to contact our office today to learn more about our small farm loan options!