The U.S. continues benefiting from solid economic growth, low unemployment, and moderating inflation, and the overall economy will likely continue on that trajectory next year. However, the rural economic outlook is more uncertain. According to a comprehensive year-ahead outlook report from CoBank’s Knowledge Exchange, the high level of policy uncertainty facing rural industries adds to their already long list of headwinds. “Open access to export markets and labor availability are critically important for agricultural producers and processors,” says Rob Fox, director of CoBank’s Knowledge Exchange.
“Depending on how policy plays out, those two areas could be big challenges for 2025 and beyond.” That’s because the President-elect came out victorious on two main economic policy proposals: enact significant import tariffs and reduce immigration while deporting illegal immigrants. Meantime, falling feed costs and rising margins have renewed expansion interest in animal protein segments. Dairy processing investment will jump by $8 billion through 2026.
Comments