AI Won’t Replace College Grads – It’ll Empower Them
CoBank’s Knowledge Exchange Division notes that despite AI’s surge, the core hiring skills—problem-solving, teamwork, and communication—remain essential. AI is enhancing these traits, not eliminating jobs.
Macroeconomic Trends
Easing interest rates are expected to continue into 2026, helping crop farmers manage input costs. However, tariffs, immigration shifts, and AI-driven investments are complicating the broader economic picture.
Protein Sector Outlook
The report’s “Summer is Out, but Protein is Still In” section highlights that strong consumer demand and low feed costs continue to boost profitability across pork, beef, and poultry.
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Hog markets remain resilient, with feeder pig prices up 48% year-over-year.
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U.S. pork exports dipped slightly, but Mexico remains the top buyer, importing 1.5 billion pounds through July.
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Tight beef supplies and the New World Screwworm threat are impacting cattle markets, while chicken production continues to grow under favorable feed conditions.
Dairy Trends
The rise of beef-on-dairy has transformed revenues, lifting calf values to $1,000–$1,200 per head and helping push the U.S. dairy herd to its highest level in 30 years. Despite lower butter prices, beef margins continue to sustain strong dairy profitability.
Additional Highlights
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Crop tariffs up from 1% to nearly 12%, pushing input costs higher.
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Record U.S. corn and soybean harvests face trade headwinds.
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AI data center expansion could strain electricity supply but drive long-term infrastructure gains.
