Farmer: 'We're playing Whac-A-Mole and we're not really sure what we're whacking at'

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>> IT’S ALWAYS GOOD TO SEE THAT WE HAVE CORN. ANDREW: SOME GOOD NEWS IN A YEAR WHEN THE WEATHER HAS DOMINATED HEADLINES, BUT AS BRANDON HUNNICUTT LOOKS OVER THE 2500 ACRES OF CORN AND SOYBEANS HE, HIS BROTHER, AND FATHER FARM NEAR GILTNER, THERE IS ANOTHER STORM BREWING. >> WE’RE PLAYING WHACK A MOLE AND WE’RE NOT REALLY SURE WHAT WE’RE WHACKING AT. ANDREW: FOR THE SECOND YEAR, PRODUCERS ARE FEELING THE BRUNT OF A TRADE WAR, PARTICULARLY WITH CHINA. RECENT ESTIMATES FROM THE NEBRASKA FARM BUREAU INDICATE THIS YEAR, PRODUCERS IN NEBRASKA ALONE COULD LOSE NEARLY A BILLION DOLLARS DUE TO LOST MARKETS FROM RETALIATORY TARIFFS. >> WHAT IF WE DON’T HAVE A PLACE TO SELL IT TO. WHAT IF THE MARKET DROPS AND WE HAVE TO HOLD IT? ANDREW: HUNNICUTT AND OTHER FARMERS SUCH AS SCHULYER TOMES STILL BELIEVE IN TRYING TO BALANCE TRADE BUT THEIR BANK BALANCE AND PATIENCE IS WEARING. -- BALANCE TRADE, BUT THEIR BANK >> THERE’S ALOT OF WHO BELIEVE IN THE END GAME. YOU HAVE TO KEEP SWINGING TO GET THE PUNCHES IN, BUT AT THE SAME TIME, WE’RE REALLY HURTING IN THE PROCESS. ANDREW: FARMERS SAY ONE OF THE BIGGEST BLOWS CAME LAST MONTH WHEN THE TRUMP ADMINISTRATION APPROVED EXEMPTIONS FOR 31 SMALL REFINERIES FROM THE RENEWABLE FUELS STANDARD. FOR THE ETHANOL INDUSTRY, THAT’S TAKEN 1.4 BILLION GALLONS OF CORN-BASED PRODUCT OFF THE MARKET. >> WE’VE GOT 17 PLANTS NOW THAT HAVE BASICALLY SHUT DOWN. ANDREW: SO FAR, NONE OF THE PLANTS ARE IN NEBRASKA. >> IF THIS CONTINUES, WE KNOW WE’RE GOING TO SEE MORE. WE KNOW WE ARE GOING TO SEE MORE FARMERS DECLARING BANKRUPTCY. >> IT JUST PUT THE FRUSTRATION TO AN ALL TIME HIGH. -- LEVEL AT AN ALL TIME HIGH. BECAUSE WE HAD A PRESIDENT WHO CLAIMED HE WAS A FRIEND OF ETHANOL AND A FRIEND OF THE FARMER, AND WE’RE NOT SEEING THAT BEING DONE. ANDREW: TOMES SAYS FARMERS AS EAT THROUGH ANY SAVINGS THEY MAY HAVE HAD, LENDERS ARE GETTING VERY UNEASY.

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2019 is a year some farmers would like to forget according to Brandon Hunnicutt."We're playing whack a mole and we're not really sure what we're whacking at," Hunnicutt said.The 45-year-old Giltner farmer, who owns around 2,500 acres with his father and brother, described the frustration dealing with the weather, prolonged trade wars and continued low grain prices.This is the second year producers are feeling the brunt of trade wars, particularly with China. A recent report from the Nebraska Farm Bureau indicates that this year, producers in Nebraska alone could lose nearly $1 billion due to lost markets from retaliatory tariffs."That becomes the challenge. What if we don't have a place to sell it to? What if the market drops and we have to hold it? Those are all the issues that we are dealing with right now," Hunnicutt said.Hunnicutt and other farmers, such as Schuyler Tomes, who farms near Utica, still support trying to balance trade but Tomes said his bank balance and patience is wearing thin."There's a lot of us who believe in the endgame. You have to keep swinging to get the punches in, but at the same time, we're really hurting in the process," Tomes said.Farmers say one of the biggest blows came last month. when the Trump administration approved exemptions for 31 small refineries from the Renewable Fuels Standard.According to Nebraska Ethanol Board Administrator Roger Berry, that will mean that 1.4 billion gallons of corn-based ethanol will be taken off the market."We've got 17 plants now that have basically shut down," Berry said. Berry said so far, none of the plants are in Nebraska."If this continues, we know we're going to see more. We know we are going to see more farmers declaring bankruptcy," Berry said.Hunnicutt said his frustration is at an all-time high."Because we had a president who claimed he was a friend of agriculture, a friend of the farmer, and we're not seeing that being done," Hunnicutt said.Tomes said farmers are quickly using up any savings they may have had. And as they prepare for next year, lenders are getting very uneasy."I'm feeling it personally, and I know a lot of my neighbors are," Tomes said.Nebraska producers are expected to receive roughly $460 million from the Trump administration's federal aid program. Farmers said that would cover about half of the lost revenue."It helps, but it's a Band-Aid, not a fix," Tomes said.