Trade truce with China a win for America’s soybean farmers?

Trade truce with China a win for America’s soybean farmers?


DOWN 165.>>>LAST WEEK OUR OWN JEFF FLOCK SHOWED US HOW FARMERS HAD TO STORE SOYBEANS, MILLIONS OF BUSHELS OF THEM, YOU CAN SEE THEM RIGHT THERE, BECAUSE THEY COULDN’T SELL THEM TO CHINA. WELL NOW, WE HAVE A TRADE TRUCE WITH CHINA. SO CAN THEY SELL THEM? COME ON IN AUSTIN RINKER. AUSTIN, WE HAVE A TRADE TRUCE, CAN YOU SELL THE SOYBEANS TO CHINA?>>IT IS ENCOURAGING TO SEE TALKS BETWEEN CHINA AND THE U.S. HOPEFULLY WE SEE TRADERS COME INTO THE MARKET. HOPEFULLY WE GET BACK INTO THE CHINESE MARKET. STUART: DO YOU BELIEVE YOU CAN NOW SELL THOSE SOYBEANS, YOUR SOYBEANS TO CHINA WITHOUT A 25% TARIFF IMPOSED ON THEM BY CHINA? DO YOU THINK YOU CAN DO IT NOW?>>I DON’T THINK WE CAN DO IT NOW. WE’LL HAVE TO SEE CHINA PULL THAT OFF, GET THEIR TRADERS BACK IN THE MARKET HERE. EXPORTS HAVE BEEN WAY OFF. HOPEFULLY WE GET BACK INTO THE MARKET TO GET SALES GOING AGAIN. STUART: HAS IT HURT YOUR BUSINESS?>>ABSOLUTELY. SINCE JULY WE’VE REALLY SEEN PRICES GO OFF WHERE THEY HAVE BEEN, ALMOST DOWN 20%. BEANS IN BRAZIL ARE WORTH A PREMIUM ON THE MARKET. WE HAD A BUMPER CROP, GROWING STOCKS AND WE NEED MARKETS TO FEED. STUART: HAVE YOU ACTUALLY LOST, YOU HAVE A BUMPER CROP. PRICES ARE WAY DOWN. HAVE YOU ACTUALLY LOST MONEY?>>OH, WE WERE FORTUNATE, PROFITABILITY IN SOYBEANS, WE HAD SOME REALLY GOOD OPPORTUNITIES TO FORWARD SELL SOYBEANS AT PROFITABLE LEVELS. WE FORWARD SOLD MORE BEANS THAN WHAT WE TYPICALLY DO. AS WE GO INTO 2019 AND GETTING CROP PLANTED AND PLANNED FOR NEXT YEAR, THAT IS WHERE IT COMES A MAJOR CONCERN AS WE PLAN FOR 2019 AND BEYOND. STUART: I DON’T KNOW YOUR POLITICS BUT HAVE YOU STUCK WITH PRESIDENT TRUMP DURING THIS DIFFICULT TIME FOR YOUR BUSINESS?>>I THINK FARMERS JUST REALLY CONCERNED ABOUT PROFITABILITY AND HOW THINGS GO FORWARD. YOU KNOW ALL COMES BACK TO THE FARM LEVEL, HOW WE STAY PROFITABLE AND THAT IS A MAJOR CONCERN FOR FARMERS BEING PROFITABLE IN THE FARM ECONOMY. WE’RE DOWN ABOUT 50% IN REAL FARM INCOME SINCE 2013. SOYBEANS HAVE BEEN KIND OF CARRYING THE FARM FOR A LOT OF FARMERS THE LAST SEVERAL YEARS. STUART: OKAY. AUSTIN RINKER, FORTH GENERATION FARMER, SOYBEANS AND CORN. WE APPRECIATE YOU BEING ON THE SHOW.