CORDOVA, Md. - The new trade war happening between the U.S. and China is raising eyebrows across the globe, but beyond that it's provided a bombshell for farmers here on Delmarva.
The announcement of a tariff from China on several goods has already had an affect on local crops.
On Wednesday, prices dropped on several goods, such as corn and soybeans.
47 ABC spoke to Travis Hutchison, who's a farmer and partner of Hutchison Brothers and also the chairman of the Maryland Soybean Board.
Hutchison says, "With the trade wars that are being talked about between the two countries, the market got scared and started out real low. They were about to drop to 40 cents but luckily by the end of the day it went back to 20 something cents. And this is just on speculation, it hasn't been opposed yet so us as farmers we're worried about it."
And he knows first hand this could plant some serious issues. We're told exporting is huge for their market since about a third of their soybean acres are exported.
"If there's a tariff they're going to Brazil or else where to get their beans cheaper and everything, so that lowers our price."
And even though prices fluctuate, Hutchison says, they hate to see when the prices take a large dip like the one they saw on Wednesday. Soybeans went down 23 cents. Another big issue, once it falls, it's hard to get it fully back up.
But we were informed that the market has been on a downward spiral for the last two years and if this continues to happen, it's going to be harder to break even.
With a potential tariff hovering over us, it's going to make their job a bit tougher. And for farmers just like Hutchison, all they want to do is make a living while doing what they love.
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