News  Agriculture

Study: Inflation still taking a toll on the ag sector

Some experts predict we could even see a mild recession by the end of the year.

July 18, 2023 02:01 PM • 
Alex Heider
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While the U.S. economy continues to thrive, a report by CoBank shows inflation is still taking a toll on the agriculture sector. Some experts are even bracing for a mild recession by the end of the year.

Drought in the Midwest is having a strong impact on yields. CoBank shows despite higher retail prices for meat and poultry, packers and producers are having trouble boosting their margins. And while consumer demand for beef remains strong, retailers are dealing with tighter wholesale supplies.

The report shows feed and input costs are also slowing economic growth. But although domestic pork demand has been slow, analysts are optimistic about export volumes.

U.S. pork export values have been at some of the highest levels seen in recent years.

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