Sorghum

Tremendous Kansas Milo Crop Faces Slumping Prices and Broken Markets

Despite an extraordinarily strong milo (grain sorghum) harvest in Kansas, drastically low commodity prices and the collapse of export markets-especially to China-are undermining farmers' profits-and threatening rural communities.

AgroLatam USA
AgroLatam USA

Kansas producers are celebrating a tremendous milo harvest, but that optimism is overshadowed by plummeting commodity prices and disappearing export markets that threaten both farm profitability and rural livelihoods.

Kim Barnes, CFO of the Pawnee County Co-Op in Larned, says he's tapped into a 52-year Rolodex of contacts to sell 1.7million bushels of last year's grain sorghum. This month, a million bushels are leaving by rail-but these delayed sales are eating into potential revenue for this year's crop as storage fills and prices sink.

While current yields are among the best in years, commodity prices tell a vastly different story. In contrast to 2022, when milo reached $12.82 per hundredweight, wheat $8.48, corn $7.88 and soybeans $14.94, today prices have collapsed: wheat is $4.22/bushel, milo $5.71/cwt, corn $3.90/bushel, and soybeans $9.34/bushel.

"It's going to be a tremendous crop for much of the sorghum growing area," notes Andy Hineman, vice president of the Kansas Grain Sorghum Producers Association. U.S. production is forecast at 9.9million metric tons-just shy of the typical 10million-nearly half grown in Kansas.

The greatest blow has come from a collapse in export demand. Historically, 60% of U.S. milo is exported, with 90% going to China, but trade retaliations have decimated that market. Exports to China plunged nearly 95% in early 2025 compared to the year before, with USDA forecasting a 58% drop in total sorghum exports to their lowest since 2018-19.

In response, the industry is pivoting. Mexico and India are among the potential new export destinations, while domestically, the FDA is exploring milo's suitability for human consumption-historically a feed and ethanol crop, now eyed for flour and food uses.

But these shifts take time and investment. Local economies are feeling the strain too-Barnes points out that his co-op pays $3.8million in property taxes and $34million in wages. In agricultural communities, every dollar earned in farming can multiply sevenfold across the local economy.

Credit remains relatively accessible-for now. Kevin Swayne of High Plains Farm Credit says their delinquency rates remain manageable, but rising input costs and low commodity prices are squeezing margins, raising concerns over future credit access.

Academic voices echo the uncertainty. Gregg Ibendahl of Kansas State University warns that shifting global trade and new crop competition in South America may challenge U.S. dominance in grain markets.

Yet, amid these difficulties, farmers are proactive. Barnes is traveling to San Antonio for a commodity conference and has attended pet food forums-unusual venues-for new buyers. "We're not waiting for the world to come to us. We're out marketing ourselves," he says.

While Kansas farmers are harvesting one of the most promising milo crops in years, they're doing so against a backdrop of collapsing prices and erased export markets. The challenge ahead is not just about yields-it's about rebuilding trade, opening domestic markets, and safeguarding the economic lifeblood of rural Kansas.

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