Yeah, that trade war with China is really working out for the American people…
In another blow to the nation’s agriculture sector, a new report by the American Farm Bureau (AFB) that shows farm bankruptcies are surging.
Due to soaring debt levels, cratering farm income, plummeting commodity prices, and inventories with nowhere to be shipped, U.S. farmers are declaring bankruptcy. In the 12 months ending in September, there have been 580 Chapter 12 farm bankruptcies, up 24 percent year-on-year.
From the report:
“Total bankruptcies filed by state vary significantly, from no bankruptcies in some states to more than 20 filings in others. Bankruptcy filings were the highest in Wisconsin at 48 filings, followed by 37 filings in Georgia, Nebraska, and Kansas. Iowa, Kansas, Maryland, Minnesota, Nebraska, New Hampshire, South Dakota, Wisconsin, and West Virginia all experienced Chapter 12 bankruptcy filings at or above 10-year highs.”
It turns out the billions in bailouts to American farms did not work out well.
Farmers are only hoping that the U.S. and China can really agree on the first phase of a comprehensive trade agreement that sees Beijing purchase up to $50 billion in agricultural products, including soybeans and wheat.
What makes this worse for President Donald Trump is that these bankruptcies are taking place in key election battlegrounds. With bankruptcies expected to rise over the next several quarters, you just know Democrats will try to exploit this to their advantage.
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