The agricultural industry is challenging for farmers. From changing consumer tastes and demands for higher quality products to climate change and erosion issues, to name but a few, farmers must be aware of the various issues impacting their crop production and transform where necessary.
Unparalleled supply chain issues began during the pandemic, and they continue to challenge the supply and demand food chain. These nine trends are poised to impact farmers in 2022 and potentially impact crop production yields in the coming year.
1. More acres—2021 was a strong year for crop prices, mainly corn and wheat. 2022 will see farmers planting even more acres. Wheat, cotton and oats are predicted to be in high demand for the coming year, with soybeans following behind. However, farmers must contend with the high seed costs and uncertain weather risks impacting production. These unknowns can make it difficult to predict the amount of crop insurance that farmers may need. However, the current product demand is proving reasonable for projecting 2022 insurance needs.
2. Regenerative agriculture—Big food clients are asking farmers to thwart climate change by containing carbon through conservation practices, such as reduced tillage and the use of cover crops. The Biden administration may offer financial incentives to farmers who store carbon on their land.
3. Plant-based proteins—Meat-alternative products continue to grow as a viable protein source, eating away at traditional meat, eggs and milk sales.
4. Indoor farming— Many farm startups continue to receive support for the indoor production of produce such as lettuce and tomatoes. Many indoor farms use sensors and protected environments to grow vegetables in small spaces. These indoor farms give farmers an opportunity for controlled growth.
5. Accurate yield predictions—New technologies can allow farmers to quickly and accurately predict yields before harvesting their crops. With more accurate yields, farmers can find buyers for their harvest, eliminating food waste and growing profits. In addition, yield monitoring can guide the following year’s variety selection and yield.
6. Data integration—Data management software can give farmers information about yields, input costs, soil type, and weather conditions to make real-time growing adjustments, such as altering their planting depth based on available moisture.
7. Water management—Farmers may need to increase their use of water management tools and technology to better handle extreme weather events such as heavy rainfalls and droughts that continue to affect farmland and crops.
8. Accurate nitrogen application—Growing concerns about greenhouse gas nitrous oxide release and spray drift are being addressed with intelligent systems that enable farmers to meet their nitrogen needs without overapplying fertilizer. This more accurate application can decrease costs, prevent fertilizer or chemical drift and contamination, and increase profits.
9. Localized weather data—Farmers can use in-field sensors for instantaneous and accurate readings of wind, rainfall and temperature. This precise weather data can be combined with data management software to guide farmers with spraying, irrigating and harvesting windows.
Kingsley Blasco Insurance, Inc. has served the Pennsylvania area for more than 20 years with its agribusiness, crop and farm insurance. Call us today at 888-404-7679 for more trending farm information.