3 ways the COVID-19 pandemic has impacted agriculture

The disruptive effects of the coronavirus pandemic on global, national, and regional economies have been broad and varied. Here’s a look at some ways COVID-19 has impacted the agricultural system in the United States.

1. It exacerbated existing problems
The economic crisis triggered by the pandemic came after several years of challenging production and market conditions for farmers in the United States. A series of hurricanes in 2017 and 2018 devastated crops, and 2019 saw historically poor planting conditions along with tariffs that limited agricultural exports.

2. It caused a drastic shift in demand
Restrictions put in place to slow the spread of COVID-19 had severe and unprecedented effects on the demand for agricultural products. For example, the sale of meat, dairy and specialty products to major buyers like restaurants and hotels decreased as the clientele for these industries stayed at home.

3. It reduced potential sources of income
The rate of unemployment in the summer of 2020 was lower in rural areas than in urban centers, and there tended to be fewer jobs lost in counties that depend on agriculture. However, many small-scale farmers rely on off-site jobs and agritourism income to help with things like health coverage and offsetting their operating losses.

While the Coronavirus Food Assistance Program and other programs developed by the USDA over the last year have helped farmers and ranchers deal with financial losses, many continue to face significant challenges, and prospects for the agricultural sector remain uncertain.