Farm4Profit Podcast

Packers and Policy Stripping Power from Farmers

Episode Summary

Independent agriculture is under more pressure than ever—and the warning signs are everywhere. From broken price discovery to flawed data and shrinking producer power, this episode breaks down what’s really happening and what farmers must do to survive.

Episode Notes

In this episode of the Farm4Profit Podcast, we sit down with Joe Kerns, a 30-year industry veteran and Iowa State University graduate who has worked across procurement, risk management, nutrition, hedging, livestock marketing, and operational benchmarking. Joe doesn’t sugarcoat the situation—and his perspective raises uncomfortable but necessary questions about the future of U.S. agriculture, especially pork production.

Joe explains why he believes the pork industry is on the brink of becoming “a serf to the packer,” tracing the roots back to the 1998 hog price collapse and the financial community’s push for mandatory packer contracts. The result? The negotiated cash market has collapsed from roughly 17% in 2002 to around 1% today, leaving producers without meaningful price discovery and shifting risk almost entirely onto the farm.

We also tackle the growing loss of faith in USDA reporting, including:

Corn yield overestimations that led to bad marketing decisions

The September 2024 hog supply miss that sent futures $20/head higher

Declining participation in USDA reports and what that means for accuracy

How flawed data distorts markets, hedging decisions, and producer confidence

But this episode isn’t just about problems—it’s about opportunity.

Joe outlines how producer-driven, anonymous data aggregation could flip the power dynamic back toward farmers. With enough participation, predictive analytics could unlock insights across genetics, nutrition, management, equipment, and animal health—turning farm data into a monetized advantage instead of a liability.

We also explore:

Why pork producers may actually be agriculture’s quiet sustainability success story

How efficiency gains from genetics and feed conversion are reshaping protein production

Why beef prices are likely to remain elevated—and why politics are missing the point

The hard reality behind renewable diesel, SAF, and global energy policy

What happens to independent producers if nothing changes

This is a candid, data-driven conversation about power, control, and survival in modern agriculture—and why the next decade may determine whether independence remains viable at all.