GFM Network News


Bayer plans more cost cuts, impairment charges

Pandemic now expected to hit crop science wing

Berlin | Reuters — German drugs and chemical company Bayer announced plans on Wednesday for more than 1.5 billion euros (C$2.34 billion) of cost cuts as of 2024 and said it would take impairment charges on its agricultural business as it battles with low commodity prices. Bayer said that the impact of the coronavirus on […] Read more

Grain World: Farm consolidation key to increasing yields

Saskatoon | MarketsFarm — Consolidating farms — going from numerous small operations to fewer, but much larger, farms — is central to improving crop yields, according to grain industry observers Neil Townsend and Jason Newton. Townsend is the chief market analyst for FarmLink Marketing Solutions, while Newton is the chief economist and head of marketing […] Read more


China, drought, debt shake Canadian farm finances

Winnipeg/Ottawa | Reuters — For years, the financial stability of Canadian farmers was the envy of their U.S. counterparts, but rising costs, drought and a dispute with China have weakened their bottom lines. Net incomes plunged last year, and that setback was followed in March by China’s halting purchases of canola, Canada’s biggest crop. Now […] Read more

Climate change has U.S. fund managers adjusting agriculture investments

New York | Reuters — After historic floods devastated Midwestern agricultural states this spring, some fund managers are evaluating how climate change will affect the long-term value of companies that make or sell products ranging from tractors to fertilizer. The issue is not simply the unpredictability of weather. Instead, fund managers say, they are struggling […] Read more



Chuck Penner

Uncertainty is the name of the game in a Trump regime

As America heads down a protectionist path, Canada could be left grappling with a border adjustment tax and the return of COOL

In Chuck Penner’s mind, there’s no doubt that Trump’s presidency adds complexity to markets. “The difficulty is the unpredictability of it — it’s gonna be big,” said the market analyst and founder of LeftField Commodity Research. “We just don’t know how things are going to shake out. “The media has no shortage of stories to […] Read more


When farm revenue goes up, farm equipment and input companies are quick to raise prices, says Scott Keller. But when it comes to those costs, what goes up rarely comes down, he notes.

Inputs and iron: Relentless price hikes squeeze producers

When crop prices soared, so did costs — and they stayed high 
even as farm revenues fell back to earth

Record-high grain and oilseed prices are a speck in the rear-view mirror, but they’ve left a legacy of higher costs. “When we see higher grain prices, we can expect to pay higher inputs,” said Scott Keller, a mixed grain farmer near New Norway. “All the companies selling crop inputs look at farmers’ margins and then […] Read more

Cargill profit jumps on meat demand, big U.S. crops

Reuters — Global commodities trader Cargill on Tuesday reported a sharply higher adjusted quarterly profit led by strong results from its beef and turkey businesses and robust demand for North American grain and oilseed crops. The privately held company said adjusted operating earnings jumped nearly 80 per cent in the second quarter ended Nov. 30 […] Read more