Michigan Farmers Ditch Corn Due to Rising Input Costs

Imlay City farmer Ken Penzien made a tough decision this year when he looked at his budget. He usually grows corn, soybeans, and wheat on rotation, but with rising seed costs, fertilizer, potash, and herbicide, he would have barely broken even on 200 bushels of corn per acre.

Penzien decided to plant more soybeans instead, which require less investment in fertilizer and offered a more stable path forward. He wasn't alone; according to USDA data, planted corn acreage in Sanilac County hit a five-year low, while Lapeer and St. Clair counties saw lower totals than their earlier peak years.

Farmers like Penzien made these decisions based on various factors, including locked-in input prices, crop rotations, and storage capacity. The market demand for each crop also played a significant role in pricing and planting decisions.