Farmers get Smart

Farmers are too good at what they do and that is hurting the bottom line in agriculture across America. "It's just oversupply. It just happened over a few years. We just gradually build wheat supplies higher and higher. Our exports are nothing to brag about but they are still there. The fact of the matter is that we are overproducing some wheat and it's going to take a few years to work through that problem." Commodity expert Clark Johnston says the same scenario is playing out in other crops. Like potatoes. "You can't blame the producers. That's what they love to do. If you go to a meeting where they teach producers how to get 10 more bushels to the acre, they get excited about it. They are taught to produce." Johnston says farmers need to look at different ways to market their crops. "For instance with wheat, we have just looked at the cash whereas now they have to look at future trends and it's going to be short little windows. You not to be able to say I always merchandise in February. Now you have to watch that market and when you see a .20 or .30 cent run up the market you will need to pull the trigger." Input costs, fertilizers and fuels are expenses where farmers can save. "That is one of the things that will help save some producers this year. As far as diesel fuel, it's getting that time of year now where we need to work off the top of our tanks.