Customer Story

What is this? AgWest conducts a profitability analysis of its core industries every quarter by surveying its lending, appraisal and insurance staff and having discussions with industry experts. Results provide a high-level overview of the health of each industry. Actual profitability may vary significantly by operation. Below is a summary of our latest results.  

Summary: Profitability across agriculture changed modestly this quarter. Stronger forage markets improved conditions for alfalfa and timothy hay producers, while wheat and uncontracted potato producers benefited from improving market fundamentals. Forest product mills also saw profitability gains. Meanwhile, the outlook for cattle producers became more bearish as cattle prices retreated from record highs and input cost concerns increased. Despite these changes, low prices, elevated production costs, and policy uncertainty remain ongoing challenges for many industries. The following table details current profitability and the 12-month outlook by industry in AgWest’s territory.

Return to Customer Stories home page.