As we start our six part series focused on Northwest Farm Credit Services quarterly Market Snapshot on local commodities, we start with dairy and cattle. Bill Perry, Vice President at NWFCS said the 12-month outlook on cattle suggests slightly profitable returns.
“The national herd size is moderating, which is providing tailwinds to producer profitability. Instability around COVID-19 continues to weigh on restaurant demand for high value cuts.”
When it comes to the dairy sector, Perry said slightly profitable returns are forecast for the upcoming year, but he admitted volatility is likely to continue.
“The Coronavirus Food Assistance Program provided direct payments to producers and the Farmers to Families Food Box Program purchased dairy products, which supported milk prices, mainly Class III. Similar assistance is expected in 2021.”
Join us Tuesday as we turn our attention to the cherry and wine and vineyard sectors.
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