By Craig Rogan, Investors Community Bank
As the 2021 harvest season comes to an end, a new beginning is in the horizon. As we reflect on the second year of increased feed inventory throughout most of the state for dairy farmers, our producers may be facing a decision on how to best capitalize on excess feed inventory. The farmer, with the help of his team of advisors (nutritionist, agronomist, vet, consultant, banker), may consider the following options:
Should excess feed be sold as another revenue stream?
Does the farmer consider alternative crops such as oats to sell and harvest the straw to sell or keep for their own use?
Can the herd be expanded in existing facilities to increase milk production with more animals on feed?
If an expansion is looked at, be sure to consider whether it will affect a quota with the milk plant or if the milk plant will even take the additional milk.
Does the increase in feed inventory provide an opportunity to reduce cropping costs in 2022?
Feed and cropping expenses increased throughout 2021 and appear to be on an upward trend into 2022. Does the excess feed inventory provide opportunity to save on fertilizer cost, for example, knowing they can reduce spread on the field despite a potential negative effect on 2022 yield?
The importance of making a robust plan with the help of advisors will be a key to success for our farms in 2022.
As bankers, we can help our customers navigate through making these decisions by providing financial analysis help in working through various scenarios and the impact each has on the client’s cost of production.
As feed and fertilizer cost increase heading into 2022, maximizing this excess feed inventory will be the key to 2022 cash profitability. One notable aspect that can be completed now to assist in mitigating continued rising costs is fall tillage. Future fuel costs are expected to be higher than today and it could be prudent to do tillage along with manure application in the fall. Optimum 2021 fall weather conditions are ideal for completing tillage. By completing fall tillage this will allow for less work, stress and timely planting in 2022. Not completing fall tillage will be a missed opportunity. Communication is the key in any relationship. Continue to work with your customers to be proactive in their planning for the upcoming year.
Craig Rogan is vice president, ag banking officer with Investors Community Bank in Stevens Point and serves on the WBA Agricultural Bankers Section Board of Directors.
The excitement of a new year and COVID-19, which affected the global supply chain during this pandemic, have awakened consumers to the importance of agriculture. We, as ag bankers, realize how important farmers are to this economy. We will start seeing more growers digitize their farms at a faster rate and use electronic platforms with their partners to conduct routine business. We also will see agricultural professionals increase their personal protective equipment for their staff and establish better social distancing to mitigate the risk of spreading the virus.
peration, then enjoyed dinner and ice cream back at the creamery. A special thank you goes to Sassy Cow Creamery for hosting our bankers!
For decades now, one of the symbols of the American farmer is his/her iconic baseball cap, sometimes known as a seed corn cap. Caps not only have the physical functions of hair keeper, sun visor, and dust shield, but they also serve as an advertiser of the products and services used by a farmer or even sentiments held by the wearer. Beliefs and virtues such as hard work, persistence, and family traditions creep into the advertising slogans sported on farm caps offered by equipment dealers, seed corn companies, feed suppliers, and yes, even banks. Though they can only wear one cap at a time, farmers may own dozens of caps; some well-worn and sun-faded and others still collecting dust in a closet.
Chris grew up on larger dairy in Hilbert, Wisconsin where his grandfather started in late 1940’s. The farm grew to 700-800 cows by 1995, where his father and 4 uncles farmed together. Chris grew up on the farm, so as he shared, "it was the center of my life." After coming back from school at UW-River Falls in 1988, Chris was the assistant herdsperson until 1997. He then left the farm and worked for a local John Deere dealer as sales rep and service manager.
If there is any lesson I’ve learned coming out of 2020, it is that we shouldn’t be surprised anymore, really, by anything.
Greetings fellow Ag Bankers! I am certain this “From the Fields” newsletter finds you knee-deep (or perhaps neck-deep) in spring loan renewal season! The hope is, you found plenty of useful information you can share with your customers as a result of our recent WBA Agricultural Bankers Conference that took place April 7-8. 
The excitement of a new year and a presidential election has brought the markets up and down, so it's sensible to wonder what this year will bring to our farmers. I hope with changing technology, farmers can achieve better yields and prices. Agricultural technologies have advanced rapidly in the second half of the 20th century and at the beginning of the 21st century, changing the way farmers work indefinitely. 
If you have read through the “From the Fields” articles over the last year, you will find a common theme: Ag Lenders are more than bankers. Ask an Ag Lender what they do daily, and the response will be across the board from risk manager, counselor, friend, coach… the list goes on. Ultimately, what we do should add value to our customers. We can do that in several ways: 