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    <title>Southwest (U.S.)</title>
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      <title>All The Details: Inside John Deere’s New F8 and F9 Forage Harvesters</title>
      <link>https://www.dairyherd.com/news/all-details-inside-john-deeres-new-f8-and-f9-forage-harvesters</link>
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        &lt;span class="LinkEnhancement"&gt;&lt;a class="Link" href="https://www.agweb.com/news/john-deere-introducing-next-generation-perception-autonomy-kits" target="_blank" rel="noopener"&gt;John Deere&lt;/a&gt;&lt;/span&gt;
    
         is rolling out two new forage harvesters for North American dairy producers and custom harvesting operations.&lt;br&gt;&lt;br&gt;The brand new F8 and F9 Series feature three factory-installed operator cab options, a technology stack that will one day enable autonomous operation, and enhanced feed quality via an integrated inoculant dosing system.&lt;br&gt;&lt;br&gt;&lt;b&gt;How are F8 and F9 different?&lt;/b&gt;&lt;br&gt;The F8 Series (425PS to 645PS) is a narrow base model that takes the place of Deere’s 8000 Series forage harvester, while the F9 Series (700PS to 1020PS) replaces the 9000 Series. Within the F9 Series is the F9 1000, which is Deere’s largest forage harvest machine to date.&lt;br&gt;&lt;br&gt;&lt;i&gt;(Editor’s Note: “PS” stands for Pferdestärke, which is the German term for horsepower. PS to horsepower is not an apples-to-apples equal ratio. The F9 1000, for example, features 1020PS which equates to 1,006HP, according to the manufacturer.)&lt;/i&gt;&lt;br&gt;&lt;br&gt;The F9 is available in two engine options:&lt;br&gt;&lt;ul class="rte2-style-ul"&gt;&lt;li&gt;John Deere 18X (no DEF required) &lt;/li&gt;&lt;li&gt;Liebherr V12 24L&lt;/li&gt;&lt;/ul&gt;It has five horsepower options, while the F8 comes with the JD14X engine and can be configured across six horsepower options.&lt;br&gt;&lt;br&gt;The manufacturer last rolled out completely new forage harvesters in 2019.&lt;br&gt;&lt;br&gt;&lt;b&gt;How much will each new model cost?&lt;/b&gt;&lt;br&gt;
    
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    &lt;img class="Image" alt="John Deere F8 and F9 forage harvester feed rolls" width="375" height="211" src="https://assets.farmjournal.com/dims4/default/eb89a66/2147483647/strip/true/crop/4032x2268+0+0/resize/375x211!/quality/90/?url=https%3A%2F%2Fk1-prod-farm-journal.s3.us-east-2.amazonaws.com%2Fbrightspot%2F06%2F94%2F9492570545b8b6e82f5234599aab%2Fdji-20250604-083915-835.jpg" loading="lazy"
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        &lt;div class="Figure-content"&gt;&lt;figcaption class="Figure-caption"&gt;The feed rolls on John Deere’s F8 and F9 forage harvesters have integrated metal detection to keep unwanted material out of your feed. &lt;/figcaption&gt;&lt;div class="Figure-credit"&gt;(Matthew J. Grassi)&lt;/div&gt;&lt;/div&gt;
    
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        John Deere is not sharing its pricing just yet, but the two new models are built at its Zweibrucken, Germany, factory. John Deere dealers will begin taking orders for the aggressively styled, technology-packed harvesters this fall, with final delivery in time for the 2026 forage harvesting season.&lt;br&gt;&lt;br&gt;Deere representatives declined comment on what effect, if any, the still-developing U.S.and E.U. tariff situation could have on its launch plans.&lt;br&gt;&lt;br&gt;Ahead of the launch, &lt;i&gt;Farm Journal&lt;/i&gt; went to Madison, Wisc., to kick the tires and learn all about the new machines. The F8 and F9 harvesters we viewed and climbed into were the first finished production units off the factory line. Deere says several units will be field tested with U.S. customers ahead of the full fall launch.&lt;br&gt;&lt;br&gt;“We’re really excited about the new cab and the technology we’ve added to these machines like central tire inflation, ground speed automation and the new kernel processing units,” says Bergen Nelson, go-to-market manager, combines and forage harvesters.&lt;br&gt;&lt;br&gt;Here’s some of what we learned about the new forage harvesters:&lt;br&gt;
    
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    &lt;img class="Image" alt="John Deere F8 and F9 forage harvesters new cab" width="375" height="281" src="https://assets.farmjournal.com/dims4/default/ca953b1/2147483647/strip/true/crop/5712x4284+0+0/resize/375x281!/quality/90/?url=https%3A%2F%2Fk1-prod-farm-journal.s3.us-east-2.amazonaws.com%2Fbrightspot%2F19%2F34%2Fa1304f254575b6fe2753f913a69c%2Fimg-0691.jpg" loading="lazy"
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        &lt;div class="Figure-content"&gt;&lt;div class="Figure-credit"&gt;(Matthew J. Grassi)&lt;/div&gt;&lt;/div&gt;
    
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        &lt;b&gt;Cab Comforts:&lt;/b&gt; The same three operator cab options offered with Deere’s X and S Series combines — Select, Premium and Ultimate — are available on the F8 and F9 Series. A smoothly swiveling captain’s chair, as well as an all-new corner post display that shows real-time machine data, are among the additions. Operators who spend long hours in the cab will also appreciate integrated entertainment like SXM Radio and an optional mini fridge.&lt;br&gt;
    
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        &lt;div class="Figure-content"&gt;&lt;div class="Figure-credit"&gt;(Matthew J. Grassi )&lt;/div&gt;&lt;/div&gt;
    
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        &lt;b&gt;Foundational Deere Tech Stack:&lt;/b&gt; Each new forage harvester in the series includes Deere’s baseline precision tech enablement stack — which consists of its G5 display, Starfire 7500 receiver and JDLink modem.&lt;br&gt;&lt;br&gt;&lt;b&gt;Central Tire Inflation System:&lt;/b&gt; A completely new feature (top left inset photo) within the G5 display allows the operator to adjust front tire PSI up or down from the cab.&lt;br&gt;
    
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        &lt;div class="Figure-content"&gt;&lt;figcaption class="Figure-caption"&gt;John Deere Inoculant Dosing System 2.0&lt;/figcaption&gt;&lt;div class="Figure-credit"&gt;(Matthew J. Grassi)&lt;/div&gt;&lt;/div&gt;
    
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        &lt;b&gt;Inoculant Dosing System 2.0:&lt;/b&gt; New on both the F8 and F9, a high-volume 85 gallon inoculant tank and integrated pump allow the user to accurately adjust silage inoculant dosage rates from the G5 display in the cab. The system is easy to pump and prime as well with the touch of a button located at the rear of the machine.&lt;br&gt;&lt;br&gt;&lt;b&gt;Ground Speed Automation:&lt;/b&gt; This cruise control-like option reads RPMs and throttles the harvester up or down based on crop conditions. For example, harvesting corn at higher moisture levels will increase power output, so the machine will automatically slow down to ensure it doesn’t plug up or do a sub-optimal job harvesting. This feature comes standard on all base models for both series and does not require a yearly subscription unlock or per-acre fee.&lt;br&gt;&lt;br&gt;&lt;b&gt;Pro Touch Harvest:&lt;/b&gt; Another new feature within the G5 display allows the operator to shift the machine from road transport mode to harvest mode in a single click. It can also be used to quickly engage AutoTrac and ground speed automation once the operator arrives at the edge of field.&lt;br&gt;
    
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        &lt;div class="Figure-content"&gt;&lt;figcaption class="Figure-caption"&gt;This all-new XStream 305 Kernel Processing (KP) unit is built by Scherer in Sioux Falls, South Dakota. &lt;/figcaption&gt;&lt;div class="Figure-credit"&gt;(Matthew J. Grassi)&lt;/div&gt;&lt;/div&gt;
    
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        &lt;b&gt;New Kernal Processing (KP) Units:&lt;/b&gt; The new harvesters feature two completely redesigned KP units, the Ultimate 250 (also made in Germany) and the Scherer XStream 305, which is made in Sioux Falls, S.D. An integrated winch and internal rail mounting system makes switching the machine from corn forage to hay forage in the field quick and simple. The number signifies each KP unit’s roll diameter width in millimeters. &lt;br&gt;&lt;br&gt;“Both KPs will go in both machines and have four different roll options depending on how aggressive the dairyman wants their end feed quality to be,” says Shane Campbell, product marketing manager, forage harvesters.&lt;br&gt;
    
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        &lt;div class="Figure-content"&gt;&lt;div class="Figure-credit"&gt;(Matthew J. Grassi)&lt;/div&gt;&lt;/div&gt;
    
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        &lt;b&gt;Integrated Harvest Lab 3000:&lt;/b&gt; This on-demand constituent sensing module pulls over 4,000 samples per second with +/- 2% accuracy, and John Deere says it can save dairy operations time and money versus collecting and sending samples to a lab. The sensor tech (available as an add-on option) enables accurate measurement and documentation of dry matter, starch, protein, neutral detergent fiber and acid detergent fiber for both harvested forage and manure. The data can be stored, organized and shared via Deere’s Operations Center. Within Operations Center, users can take geo-referenced data and build out spatial starch content — as well as moisture and protein — maps for hybrid selection and fertility management. Because if you can’t measure it, you can’t manage it.&lt;br&gt;&lt;br&gt;&lt;b&gt;Active Fill Control 3.0:&lt;/b&gt; Using sensors and cameras on the grain spout, this tech feature automatically detects the trailer or grain cart next to the forage harvester and begins filling it with a preselected fill strategy. This reduces the number of times an operator has to adjust the spout manually and also lessens fatigue and neck strain, according to Deere.&lt;br&gt;&lt;br&gt;
    
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    &lt;img class="Image" alt="John Deere F8 F9 forage harvesters lead collage" srcset="https://assets.farmjournal.com/dims4/default/142dd5b/2147483647/strip/true/crop/1280x860+0+0/resize/568x382!/quality/90/?url=https%3A%2F%2Fk1-prod-farm-journal.s3.us-east-2.amazonaws.com%2Fbrightspot%2F8c%2F75%2F25cdae444d79a39b6f2644c7e3fa%2Flead-image.jpeg 568w,https://assets.farmjournal.com/dims4/default/f83b67f/2147483647/strip/true/crop/1280x860+0+0/resize/768x516!/quality/90/?url=https%3A%2F%2Fk1-prod-farm-journal.s3.us-east-2.amazonaws.com%2Fbrightspot%2F8c%2F75%2F25cdae444d79a39b6f2644c7e3fa%2Flead-image.jpeg 768w,https://assets.farmjournal.com/dims4/default/7160def/2147483647/strip/true/crop/1280x860+0+0/resize/1024x688!/quality/90/?url=https%3A%2F%2Fk1-prod-farm-journal.s3.us-east-2.amazonaws.com%2Fbrightspot%2F8c%2F75%2F25cdae444d79a39b6f2644c7e3fa%2Flead-image.jpeg 1024w,https://assets.farmjournal.com/dims4/default/0117137/2147483647/strip/true/crop/1280x860+0+0/resize/1440x968!/quality/90/?url=https%3A%2F%2Fk1-prod-farm-journal.s3.us-east-2.amazonaws.com%2Fbrightspot%2F8c%2F75%2F25cdae444d79a39b6f2644c7e3fa%2Flead-image.jpeg 1440w" width="1440" height="968" src="https://assets.farmjournal.com/dims4/default/0117137/2147483647/strip/true/crop/1280x860+0+0/resize/1440x968!/quality/90/?url=https%3A%2F%2Fk1-prod-farm-journal.s3.us-east-2.amazonaws.com%2Fbrightspot%2F8c%2F75%2F25cdae444d79a39b6f2644c7e3fa%2Flead-image.jpeg" loading="lazy"
    &gt;


&lt;/picture&gt;

    

    
        &lt;div class="Figure-content"&gt;&lt;div class="Figure-credit"&gt;(Matthew J. Grassi)&lt;/div&gt;&lt;/div&gt;
    
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        &lt;/div&gt;
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        &lt;b&gt;New Operating Modes:&lt;/b&gt; Several of the models within the F9 Series offer what Deere is calling its “Engine Power Plus” feature — which gives a sizeable horsepower boost when the machines senses it needs a little extra chopping power to the harvesting head. There is also an ECO mode that can be toggled on when the machines don’t need the extra torque.&lt;br&gt;&lt;br&gt;&lt;b&gt;Ease-Of-Access:&lt;/b&gt; Both models have side and rear panels that easily open to grant full access to the inner workings of the machines, making the new forage harvesters much easier to service and maintain without a lift or other heavy specialized equipment. The machine is setup so techs and mechanically-minded farmers will not have to climb underneath it to perform daily maintenance.&lt;br&gt;&lt;br&gt;“At the end of the day, we know it’s all about the cow, and these machines will put out quality feed,” Nelson says. “We’ll have these out at the farm shows this summer, including Farm Progress Show, World Ag Expo, World Dairy Expo and the U.S. Custom Harvesters Convention.”&lt;br&gt;
    
        &lt;div class="HtmlModule"&gt;
    
    &lt;a class="AnchorLink" id="html-embed-module-510000" name="html-embed-module-510000"&gt;&lt;/a&gt;


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        &lt;span class="LinkEnhancement"&gt;&lt;a class="Link" href="https://www.dairyherd.com/news/2025-brings-cautious-optimism" target="_blank" rel="noopener"&gt;&lt;b&gt;Your Next Read - &lt;/b&gt;Renewed Confidence: The Dairy Industry is Optimistic in 2025&lt;/a&gt;&lt;/span&gt;
    
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      <pubDate>Fri, 06 Jun 2025 18:20:35 GMT</pubDate>
      <guid>https://www.dairyherd.com/news/all-details-inside-john-deeres-new-f8-and-f9-forage-harvesters</guid>
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      <title>Goodbye, La Niña? Eric Snodgrass Dissects What the Shift Means for Weather This Spring and Summer</title>
      <link>https://www.dairyherd.com/news/business/goodbye-la-nina-eric-snodgrass-dissects-what-shift-means-weather-spring-and-summer</link>
      <description>&lt;div class="RichTextArticleBody RichTextBody"&gt;
    
        La Niña is weakening, and the 
    
        &lt;span class="LinkEnhancement"&gt;&lt;a class="Link" href="https://www.climate.gov/news-features/blogs/enso/march-2025-enso-update-neutral-conditions-expected-soon" target="_blank" rel="noopener"&gt;National Oceanic and Atmospheric Association (NOAA) expects neutral conditions to develop in the next month&lt;/a&gt;&lt;/span&gt;
    
        . But even with La Niña fading, meteorologists are still concerned about drought this spring and summer. &lt;br&gt;&lt;br&gt;NOAA this week said forecasters expect ENSO-neutral conditions to develop in the next month and persist through the Northern Hemisphere’s summer. According to NOAA, La Niña’s signature is cooler-than-average surface water in the east-central tropical Pacific, stronger-than-average trade winds, and drier conditions over the central Pacific. &lt;br&gt;&lt;br&gt;ENSO-neutral means conditions could be close to average, but Eric Snodgrass, Nutrien’s principal atmospheric scientist, says that doesn’t mean the weather will be normal this spring and summer. &lt;br&gt;&lt;br&gt;“I do expect changes,” Snodgrass says. “Think about it like this: The previous winter was an El Niño winter, and it was very mild and very wet. So, we got into spring ’24 with tons of moisture. I mean, Iowa, Minnesota and South Dakota flooded out. Then we had this incredibly dry fall as the La Niña began, and it reached a peak twice. It actually hit a peak in December, and then a secondary peak about a month later at the end of January. It’s been fading ever since. The big question is, as we go into neutral conditions for this upcoming growing season, is it going to be one that paints a picture of precipitation extremes? Did it leave us with any sort of kind of problems from winter that are carrying over?”&lt;br&gt;
    
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        Snodgrass says the severe weather outbreaks on Friday, that brought high winds, dust storms and wildfire warnings across the Plains, is a reminder how dry it is in the Southwest. &lt;br&gt;&lt;br&gt;“We’ve got major pockets of the country that are still dealing with some pretty big drought conditions. It is fading, and that is a signal we have to pay attention to,” Snodgrass says. &lt;br&gt;&lt;br&gt;USDA meteorologist Brad Rippey is also concerned about what impact the shifting pattern will have on farmers this spring. But it’s not just the dryness. It’s also the fact areas are getting inundated with rains that could pose problems. &lt;br&gt;&lt;br&gt;“With this stormy weather pattern in place, that is going to create some difficulty for spring field work in some areas. It looks like the primary storm track may be through parts of the middle of the country extending into the lower Midwest and eventually the interior northeast. That is one area where we already have fairly wet conditions,” Rippey says. &lt;br&gt;
    
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    &gt;


&lt;/picture&gt;

    

    
        &lt;div class="Figure-content"&gt;&lt;figcaption class="Figure-caption"&gt;How sea surface temperatures in the Niño-3.4 region of the tropical Pacific changed over the course of all La Niña events since 1950 (gray lines) and 2024-25 (black line). This shows the traditional calculation for Niño-3.4, the monthly temperature compared to the most recent 30-year average (1991–2020 for the 2024 line). By this measure, the La Niña threshold was crossed in December 2024, but La Niña remains weak.&lt;/figcaption&gt;&lt;div class="Figure-credit"&gt;(NOAA)&lt;/div&gt;&lt;/div&gt;
    
&lt;/figure&gt;

                        
                    
                
            
        &lt;/div&gt;
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        &lt;b&gt;La Niñas and El Niños Are Strongest in the Winter&lt;/b&gt;&lt;br&gt;Snodgrass points out La Niñas and El Niños are always strongest in Northern Hemisphere’s winter, which means they fade in spring and summer. &lt;br&gt;&lt;br&gt;While La Niña-like conditions were a trademark in late fall, we didn’t reach the official definition of La Niña until January. &lt;br&gt;&lt;br&gt;“The atmosphere way back in November was already treating our winter timeframe like a La Niña,” Snodgrass says. So, we were getting the influences of it as it comes in and goes out. And now the question is, what’s it going to do?”&lt;br&gt;&lt;br&gt;
    
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    &gt;


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        &lt;div class="Figure-content"&gt;&lt;figcaption class="Figure-caption"&gt;February 2025 sea surface temperature compared to the 1985-1993 average. The surface of the east-central tropical Pacific is slightly below average temperature, but much of the global ocean remains warmer than average. &lt;/figcaption&gt;&lt;div class="Figure-credit"&gt;(NOAA )&lt;/div&gt;&lt;/div&gt;
    
&lt;/figure&gt;

                        
                    
                
            
        &lt;/div&gt;
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        “This is a great map to look at,” Snodgrass says, referencing the map above. “If you focus right in the middle, you see the large area of the cooler colors. Our line is now shifting to the central and West Pacific and behind it over by South America. All of the warmer water is beginning to emerge. And that’s what’s killing it because there’s a trade wind across that area from the east to the west. We’re going to watch this fade carefully during the spring. But the question is: Do we get winter’s leftovers?”&lt;br&gt;&lt;br&gt;&lt;b&gt;What Fueled the Dryness This Winter?&lt;/b&gt; &lt;br&gt;During the winter, Snodgrass points out there was no subtropical jet. That’s what fueled drought in the Southwest and Northwest. &lt;br&gt;&lt;br&gt;“I’m actually kind of worried about the beginning of April having another shot at cold air after what we’ve been experiencing in March, which has been so very, very mild. Then you say, well, we’ve had so much dry air in place. Are we still worried about more dry air coming back? To be honest, these big storm systems coming through the central U.S., if we could get four, maybe five more of those by early April, we’re going to hate it. It’s nasty weather. It’s not fun, and it’s dangerous, but it returns moisture. That could be part of the mix of things, including the fading of La Niña that could help bring us away from these major early season drought risk scenarios.”&lt;br&gt;
    
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    &gt;


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        &lt;div class="Figure-content"&gt;&lt;figcaption class="Figure-caption"&gt;55% of corn production, 46% of soybean production, 33% of the cotton growing area and 27% of the winter wheat production are currently experiencing drought. &lt;/figcaption&gt;&lt;div class="Figure-credit"&gt;(U.S. Drought Monitor )&lt;/div&gt;&lt;/div&gt;
    
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        &lt;b&gt;Growing Drought Concerns&lt;/b&gt;&lt;br&gt;What if it doesn’t? What if we don’t see more of this severe weather hit the Southwest and Plains, and moisture remains absent as we get into the height of spring? Well, the area will enter into the height of the growing season dry and reduce their chances of seeing moisture this summer. &lt;br&gt;&lt;br&gt;“That’s a box we check every spring,” Snodgrass says. “If the 
    
        &lt;span class="LinkEnhancement"&gt;&lt;a class="Link" href="https://droughtmonitor.unl.edu/" target="_blank" rel="noopener"&gt;drought monitor &lt;/a&gt;&lt;/span&gt;
    
        saw a reduction in drought over winter, then that gives us a different look for spring. But what we see here is two-thirds of the country in some stage of drought, including the abnormally dry category. But it’s the epicenters of drought that are so concerning. Look at the Western Corn Belt. Look at the Southwest. We just wonder if that funnels into the Mississippi Valley as we go forward.”&lt;br&gt;&lt;br&gt;At the same time some areas are seeing drought, Kentucky, southern Indiana, southern Illinois, Tennessee, Arkansas and the boot heel of Missouri are all experiencing heavy rains and flooding. &lt;br&gt;&lt;br&gt;“By May 11, I want to know what the drought monitor map looks like. If it looks no different, then I’m going to be sounding alarms going into summer with concerns this will start to creep and move because as soon as we get into the summer weather, all we get is convective storms pop off. And what do they do? They just locally deliver rain - not big broad swaths of it,” Snodgrass says. &lt;br&gt;&lt;br&gt;&lt;b&gt;Tale of Two Weather Scenarios&lt;/b&gt; &lt;br&gt;He says the forecast leading up to May 11 is a tale of two weather patterns, with the Mississippi River being the dividing line for moisture. &lt;br&gt;&lt;br&gt;“If you are along it and east of it, I think we’re going to have tight windows to plant. You could include a little bit more of Missouri, Iowa and Minnesota in that as well,” Snodgrass says. “I think we’re going to see repeated storm systems. The best moisture is east. It keeps avoiding that southern plains area.”&lt;br&gt;&lt;br&gt;&lt;b&gt;What to Watch: Where the Storm Chasers End Up&lt;/b&gt;&lt;br&gt;Snodgrass says if storm chasers are busying chasing severe weather across the Ohio Valley, the mid-south and the southeast, but not in Kansas and the Plains, that’s a key indicator there’s a problem with the moisture getting back into the plains. &lt;br&gt;&lt;br&gt;“If it’s not there by the time we start June, it’s very difficult to rely on the atmosphere to return it once you get into the summer months if you live in the central plains, which is where they could build from,” he adds. &lt;br&gt;&lt;br&gt;To watch the complete discussion with Snodgrass, visit 
    
        &lt;span class="LinkEnhancement"&gt;&lt;a class="Link" href="https://farmjournaltv.com/" target="_blank" rel="noopener"&gt;Farm Journal TV and take advantage of the free trial.&lt;/a&gt;&lt;/span&gt;
    
        &lt;br&gt;&lt;br&gt;&lt;b&gt;Your Next Read: &lt;/b&gt;&lt;br&gt;
    
        &lt;span class="LinkEnhancement"&gt;&lt;a class="Link" href="https://www.agweb.com/news/crops/crop-production/ag-meterologists-worry-more-drought-lies-ahead-spring" target="_blank" rel="noopener"&gt;&lt;b&gt;Ag Meterologists Worry More Drought Lies Ahead For Spring&lt;/b&gt;&lt;/a&gt;&lt;/span&gt;
    
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&lt;/div&gt;</description>
      <pubDate>Fri, 14 Mar 2025 21:12:50 GMT</pubDate>
      <guid>https://www.dairyherd.com/news/business/goodbye-la-nina-eric-snodgrass-dissects-what-shift-means-weather-spring-and-summer</guid>
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      <title>2024 Land Value Influencers in Your Region</title>
      <link>https://www.dairyherd.com/news/business/2024-land-value-influencers-your-region</link>
      <description>&lt;div class="RichTextArticleBody RichTextBody"&gt;
    
        Using a combination of data with boots on the ground experience, Peoples Company has released its fourth annual land values report. &lt;br&gt;&lt;br&gt;The report shows a three-year period of remarkable land appreciation across the country – something Bruce Sherrick, professor and director of the TIAA Center for Farmland Research at the University of Illinois, says has not been surprising.&lt;br&gt;&lt;br&gt;“We kind of have a rolling narrative around this and quite often people will remark it’s shocking that farmland almost anticipated inflation or that it’s shocking how well that’s done through time. And I don’t think I’m surprised by that,” he says. “I’m surprised by the accuracy or the degree or the strength of that relationship if anything.”&lt;br&gt;&lt;br&gt;Annual rates of return have been in the double digits for many regions. In the Northern Plains region specifically, the rate of change in the past year has been especially high.&lt;br&gt;&lt;br&gt;
    
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        “In the last year, what we’ve seen is really quite remarkable in the middle of the country,” Sherrick says. “That area has kind of caught up to previous years in the Midwest and Lake states.”&lt;br&gt;&lt;br&gt;As far as what’s affecting land values in the rest of the country, Peoples Company breaks the data into eight regions.&lt;br&gt;&lt;br&gt;&lt;b&gt;Pacific West&lt;/b&gt;&lt;br&gt;&lt;br&gt;
    
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        Annual performance on permanent cropland in the Pacific West and California has suffered in recent years due to a period of low nut prices, tariffs, water challenges and high operating capital.&lt;br&gt;&lt;br&gt;
    
        &lt;hr/&gt;
    
        &lt;span class="LinkEnhancement"&gt;&lt;a class="Link" href="https://www.agweb.com/news/crops/crop-production/3-unique-characteristics-permanent-crop-industry" target="_blank" rel="noopener"&gt;3 Unique Characteristics of The Permanent Crop Industry&lt;/a&gt;&lt;/span&gt;
    
        &lt;br&gt;&lt;br&gt;
    
        &lt;hr/&gt;
    
        Steve Bruere, president of Peoples Company, anticipates a lot of land transactions in the California market in 2024.&lt;br&gt;&lt;br&gt;“The amount of irrigated, plantable acreage is shrinking,” he adds. “The acreage left standing will be more valuable over time because of the optionality of what you can grow on it.” &lt;br&gt;&lt;br&gt;&lt;b&gt;Pacific Northwest&lt;/b&gt;&lt;br&gt;&lt;br&gt;
    
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    &lt;img class="Image" alt="PA%20NW.png" srcset="https://assets.farmjournal.com/dims4/default/4ed794a/2147483647/strip/true/crop/1200x410+0+0/resize/568x194!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FPA%20NW.png 568w,https://assets.farmjournal.com/dims4/default/990c4cc/2147483647/strip/true/crop/1200x410+0+0/resize/768x262!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FPA%20NW.png 768w,https://assets.farmjournal.com/dims4/default/bdece0c/2147483647/strip/true/crop/1200x410+0+0/resize/1024x350!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FPA%20NW.png 1024w,https://assets.farmjournal.com/dims4/default/fa60b0a/2147483647/strip/true/crop/1200x410+0+0/resize/1440x492!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FPA%20NW.png 1440w" width="1440" height="492" src="https://assets.farmjournal.com/dims4/default/fa60b0a/2147483647/strip/true/crop/1200x410+0+0/resize/1440x492!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FPA%20NW.png" loading="lazy"
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        Similar to the Pacific West, the Pacific Northwest has had a period of good returns and offers a lot of optionality of what can be grown on the land. The land values in comparison to its western neighbors, however, are much lower to produce a similar product. That factor – alongside increased access to water resources – allows the region to absorb displaced production from other areas. &lt;br&gt;&lt;br&gt;“We’re seeing at least that phase of exploration on some of those fresh market crops that may have some compressed acreage and higher water costs to deal with in California looking at the Pacific Northwest, the Columbia River Basin area in particular, as a transition point,” says Dave Muth, Peoples Company’s capital markets managing director.&lt;br&gt;&lt;br&gt;&lt;b&gt;Southern Plains&lt;/b&gt;&lt;br&gt;&lt;br&gt;
    
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        The Southern Plains region – Texas and Oklahoma – is experiencing good land value returns despite water issues and labor complications. As these challenges continue, renewable energy projects are becoming key to the region’s profitability. &lt;br&gt;&lt;br&gt;“Think about it: 20,30, or 40 years ago, when someone was looking to buy a ranch, if transmission lines ran across it, that might take it off the list. Now those same transmission lines are seen as a huge asset,” says Eric O’Keefe, editor of The Land Report. “This emphasis on energy, whether it be in terms of oil and gas or renewables including direct carbon capture, is going to be a complete game changer. I think it’s going to be driving land values in Texas for decades to come.”&lt;br&gt;&lt;br&gt;&lt;b&gt;Northern Plains&lt;/b&gt;&lt;br&gt;&lt;br&gt;
    
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        Total returns per year in the Northern Plains over the past three years are averaged at 18.5% - the highest in the country. &lt;br&gt;&lt;br&gt;“The increase in values have been rather dramatic compared to other parts of the country in the last three-year period. Part of that’s driven by relative yield gains, but it’s also the genetics and the attention to doing genetics for this part of the country by the major seed corn and other seed producers,” Sherrick says. “It has made this a possible competitor for the rest of the country.”&lt;br&gt;&lt;br&gt;The focus on foreign and corporate ownership in this area also makes it unique in comparison to other regions.&lt;br&gt;&lt;br&gt;“You see a difference in these types of markets where the farmers aren’t driving values,” Bruere says. “If you take that institutional investor out of the market, it definitely impacts land values and we saw that real time this summer and Kansas and Colorado.”&lt;br&gt;&lt;br&gt;&lt;b&gt;Delta Market&lt;/b&gt;&lt;br&gt;&lt;br&gt;
    
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    &lt;img class="Image" alt="Delta.png" srcset="https://assets.farmjournal.com/dims4/default/a95180a/2147483647/strip/true/crop/1200x403+0+0/resize/568x191!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FDelta.png 568w,https://assets.farmjournal.com/dims4/default/4d1a39c/2147483647/strip/true/crop/1200x403+0+0/resize/768x258!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FDelta.png 768w,https://assets.farmjournal.com/dims4/default/3838dfa/2147483647/strip/true/crop/1200x403+0+0/resize/1024x344!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FDelta.png 1024w,https://assets.farmjournal.com/dims4/default/3cc1ac5/2147483647/strip/true/crop/1200x403+0+0/resize/1440x484!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FDelta.png 1440w" width="1440" height="484" src="https://assets.farmjournal.com/dims4/default/3cc1ac5/2147483647/strip/true/crop/1200x403+0+0/resize/1440x484!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FDelta.png" loading="lazy"
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        The Delta Market – Mississippi, Louisiana and Arkansas – has seen the most stable returns over time when compared to other regions across the country, which makes it attractive to outside investors.&lt;br&gt;&lt;br&gt;“You don’t get necessarily the same swings that we get in the Midwest in this market. And I’m really bullish – you’ve got plenty of water and you’ve got large fields,” Bruere says. “One of the issues we do struggle with in this market is the tenant pool. You don’t have that same competitive nature for tenants that you’ve gotten Midwest.”&lt;br&gt;&lt;br&gt;&lt;b&gt;Southeast Market&lt;/b&gt;&lt;br&gt;&lt;br&gt;
    
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    &lt;img class="Image" alt="Southeast.png" srcset="https://assets.farmjournal.com/dims4/default/b69d2cb/2147483647/strip/true/crop/1200x366+0+0/resize/568x173!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FSoutheast.png 568w,https://assets.farmjournal.com/dims4/default/ec4f8af/2147483647/strip/true/crop/1200x366+0+0/resize/768x234!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FSoutheast.png 768w,https://assets.farmjournal.com/dims4/default/cc659d0/2147483647/strip/true/crop/1200x366+0+0/resize/1024x312!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FSoutheast.png 1024w,https://assets.farmjournal.com/dims4/default/1c6ce34/2147483647/strip/true/crop/1200x366+0+0/resize/1440x439!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FSoutheast.png 1440w" width="1440" height="439" src="https://assets.farmjournal.com/dims4/default/1c6ce34/2147483647/strip/true/crop/1200x366+0+0/resize/1440x439!/quality/90/?url=https%3A%2F%2Ffj-corp-pub.s3.us-east-2.amazonaws.com%2Fs3fs-public%2Finline-images%2FSoutheast.png" loading="lazy"
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        The Southeast – Florida, Alabama, Georgia and South Carolina – has seen moderate returns in comparison to the other regions. The increase in severe weather as well as development in the area leads Sherrick to expect quite a bit of transition in the future.&lt;br&gt;&lt;br&gt;“I’m actually not worried about land values, hardly at all in this region, for traditional agricultural things,” he says. “Land that gets displaced for a retirement community, a park, golf course or major league baseball facility aren’t reductions in value. They’re just a reduction in the use of it for agriculture.”&lt;br&gt;&lt;br&gt;&lt;b&gt;Lake States&lt;/b&gt;&lt;br&gt;&lt;br&gt;
    
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        The Great Lakes region is one Sherrick describes as “still trying to figure out who they’re going to be”. &lt;br&gt;&lt;br&gt;“There’s great optionality, reasonable acquisition prices and massive increases in land values that have kind of kept the returns high, very correlated with inflation as well,” he says.&lt;br&gt;&lt;br&gt;Though the yields in the region may not be as high as in the corn belt, the area’s total returns per year over the past three years have averaged 14%.&lt;br&gt;&lt;br&gt;&lt;b&gt;Corn Belt&lt;/b&gt;&lt;br&gt;&lt;br&gt;
    
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        Sherrick refers to Illinois and Indiana as indicators and predictors of what’s happening in the agriculture industry. &lt;br&gt;&lt;br&gt;The region continues to have high appreciation values and above average farm incomes, though transactions have slowed in 2023. The corn belt is anticipated to have continued interest from non-operating investors.&lt;br&gt;&lt;br&gt;&lt;b&gt;Looking at 2024&lt;/b&gt;&lt;br&gt;Overall, Peoples Company reports the driving factors behind land values are income, interest rates and inflation. As we move into 2024, they expect this will begin to normalize.&lt;br&gt;&lt;br&gt;
    
        &lt;span class="LinkEnhancement"&gt;&lt;a class="Link" href="https://www.agweb.com/news/crops/crop-production/november-busiest-month-land-auctions" target="_blank" rel="noopener"&gt;Buyer demand&lt;/a&gt;&lt;/span&gt;
    
         is also expected to remain a key player.&lt;br&gt;&lt;br&gt;“There’s more money that wants to own farmland in there as farmland for sale. That dynamic is not going to change in 2024,” says Bruere. “Right now it feels like interest rates are pulling back a little bit and I think the landmark is going to remain pretty stable in 2024.”&lt;br&gt; &lt;br&gt;&lt;br&gt;
    
&lt;/div&gt;</description>
      <pubDate>Mon, 04 Dec 2023 21:41:34 GMT</pubDate>
      <guid>https://www.dairyherd.com/news/business/2024-land-value-influencers-your-region</guid>
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