Although the number of farms in Minnesota continues to decline, agriculture remains second only to manufacturing as the state’s leading industry.
Minnesota Commissioner of Agriculture Gene Hugoson told a small group, largely consisting of area media members, at the Community Center in Montevideo Thursday that he is “very bullish” on the future of the state’s agricultural economy.
Hugoson has been the state’s agriculture commissioner since July 1, 1995, when he was appointed by Gov. Arne Carlson, and he has continued in that capacity under the administrations of governors Jesse Ventura and Tim Pawlenty.
Hugoson is also actively involved in corn and soybean farming in Martin County, near Fairmont, so he has experienced, first-hand, the volatility of the production side of agriculture.
The “listening session” in Montevideo was one of four hosted by Hugoson around the state this month.
“Some people don’t realize how important agriculture is to Minnesota,” said Hugoson, adding that cash receipts to Minnesota farmers for their crops in 2008 totaled $16 billion, and 20 percent of the state’s work force has some connection to agriculture, whether it be in production, sales, marketing, processing or distribution.
Hugoson conceded that it is very difficult for young people to get started in farming these days.
“How do you get young farmers started in farming at these prices? Choose your parents or marry well,” he said, only partly in jest.
His advice to college-age Minnesotans entering the job market is, “Don’t sell agriculture short as job opportunities.”
Hugoson said he believes current rises in farmland prices and rental rates may represent a “bubble.”
“Sometimes we can be our own worst enemy,” he said.
Hugoson said Minnesota’s active organic farming program is one of the nation’s leaders, though more organic processing operations are needed.
Hugoson said the Rural Finance Authority, created by the Minnesota Legislature in the 1980s has been successful. Local banks can apply through the RFA to get lower interest loan rates for their farmer customers.
Hugoson quoted predictions that by the year 2050, there will be an 80 percent increase in the need for food production worldwide.
“When you’ve got 95 percent of the world’s population living outside the United States, that’s a big export market,” he said.
“We’ll have to double the food supply of what it’s taken 4,000 years to do to this point. We’ll have to be more efficient using less and less water.”
Hugoson also believes renewable fuels will continue to be a viable option to foreign oil in the future.
