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High Interest Rates, Strong U.S. Dollar Taking Toll on Ag Industry

High interest rates and a strong US dollar are taking a disproportionate toll on rural industries, including agriculture, as US exports are more expensive and imports cheaper, according to a quarterly report from CoBank’s Knowledge Exchange. “The challenge for agriculture and other rural industries that rely heavily on global markets is their export partners simply can’t afford to buy US products,” said Rob Fox, director of CoBank’s Knowledge Exchange. “When you combine the loss of exports with a general slowdown in the US economy, it’s a double whammy for many businesses operating in rural America.”

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