“The first step in solving any problem is recognizing there is one — America is not the greatest country in the world anymore.”
So ends the well-known, often-quoted monologue by Jeff Daniels in the 2012 HBO series “The Newsroom.” Daniels’ character intends to shock with his abrasive delivery. And he succeeds.
But his words also gave many of us pause. And even though those words were spoken as part of a fictional television show, they reflect a certain arrogance that could be limiting opportunity for U.S. businesses, particularly farmers.
Many people scoff at such self-loathing coming out of Hollywood. But you can’t make improvements without reflection. The brutal truth is we are no longer the ones feeding the world. Though we still grow enough corn, soybeans and wheat to do so, our crops simply don’t enjoy the global demand they once did.
Playbook too old
The trade war, tariffs and Brazil’s increasing farmland are not the reason we are losing the export game. The reality is that we’re working from the same playbook that we cracked open a few decades ago. The old plays don’t work for us given our production costs and land values. We simply can’t compete on a low-price playing field. Our sales value lies in quality and sustainability. (As tired as farmers are of hearing that last word, we have a good story to tell.) So, what plays go in our revised book?
It’s time as an industry for us to make a couple of big adjustments:
- diversify our global export game
- shore up domestic demand
For now, China is buying again. Does anybody else wonder how long that might last? While China is buying, let’s work on opening or expanding markets in other countries, as well as investing in developing countries, where the population and the economy are growing.
Leaders of our checkoffs are working on a few of those. How can you support those efforts? On the product side of things, what value-added products can we export? Biofuels, perhaps?
Alternative fuels will help at home. Let’s not spend time and resources arguing over solar panels. The profitable and sustainable path for farmers and our country is fuel based on corn and soybeans. It’s time to find common ground and promote the national advantages of local energy production that’s not reliant on fossil fuels.
On your own farm, consider where you can increase efficiency and add business opportunities to complement your operation. If you farm within 50 miles of an encroaching urban neighborhood, maybe you can entertain those folks on your farm, or provide them with produce like pumpkins.
Are you away from the melee? Good for you. Maybe you have an opportunity to diversify your farm enterprises, or maybe now is the time to drop that far-flung rented ground.
Is your next generation ready to join the operation? What revenue opportunity arises from that additional labor and added depth on your leadership team?
What do your neighbors need? Custom harvesting? Tiling? Trucking? You and yours are the people who can figure out what works for your business.
Markets not freebies
The one thing we don’t do is lie down. Open and new markets, not government checks, are the answers we’re looking for as an industry. That has been the one unifying message from farm country to political leaders this fall.
We know the ag economy is cyclical. We know our political leaders are fickle. Building resilience and flexibility into our industry and operations is how we overcome the whims of Washington and compete with export contenders, while being fully aware of our strengths and our weaknesses.
As it stands, we’re not the greatest ag economy in the world — but we can be again.