April Hemmes
Appearances
The Daily
What an Iowa Farmer Fears About the Trade War
Oh, that chart's a beauty in 2016 or 2017. Because it was growing, growing, growing. And then the first tariff set. And then boom. Down.
The Daily
What an Iowa Farmer Fears About the Trade War
I knew it was coming. Here it was. I never answer that question.
The Daily
What an Iowa Farmer Fears About the Trade War
I have been asked that question every single time I'm interviewed. And my answer is, it doesn't matter who I voted for. We have them for a president. And farmers tend not to look back. We like to look forward, you know. And I just wish the instability of everything right now is probably what bothers me more than anything. You know, I worry about the what. What's the weather going to do?
The Daily
What an Iowa Farmer Fears About the Trade War
What are the markets going to do? What's going to do next for tariffs? But we need, especially in agriculture, quite honestly, in any industry, in order to plan everything. We need some kind of stability.
The Daily
What an Iowa Farmer Fears About the Trade War
Absolutely not. And not just in agriculture, but in the bond market, in the stock market, everywhere. So it's hard for businesses such as farming or any other business to plan when we don't know if we're going to have a market to go to, you know. So I think... I hope. Let me put it this way. I hope. At the end of the day, they get together sooner rather than later.
The Daily
What an Iowa Farmer Fears About the Trade War
And whether it's Xi and Trump or whoever, they get together and figure something out and say, let's start working on this. Because not doing anything isn't helping anyone.
The Daily
What an Iowa Farmer Fears About the Trade War
Yeah, no, he he retired several years ago. So I don't get to chat. I don't get to see Honorable Mr. President Bien anymore. And and I haven't I have seen a couple of buyers that live in Iowa.
The Daily
What an Iowa Farmer Fears About the Trade War
Yeah, yeah, because they live in Iowa or at different events and things like that.
The Daily
What an Iowa Farmer Fears About the Trade War
You know, they're the same way. You know, they just want that market there. They want to not worry about the unknown, you know. And I think we all expected tariffs to come back. but not to the extent that they have been. And just in the past, I know the Chinese will dig in their heels, and I wonder how long the American public will dig in theirs.
The Daily
What an Iowa Farmer Fears About the Trade War
Quite honestly? Yeah. We don't know. Other farmers I've talked to are a wait and see, let's wait and see. You know, some think they're going to go broke tomorrow. Here's what I do on my farm. I plan for the worst and hope for the best. And that's quite honestly what I did last year. I think more than anything, my inputs are going to rise, which they're already very high.
The Daily
What an Iowa Farmer Fears About the Trade War
The seed, the chemicals, the fertilizer, the things I need to. So I spend hundreds of thousands of dollars, over half a million right now, to put the seed that isn't even in the ground yet into production.
The Daily
What an Iowa Farmer Fears About the Trade War
our price would go down. I mean, there's no other answer to that. When they buy half of what we export, so it can do nothing but affect it.
The Daily
What an Iowa Farmer Fears About the Trade War
Since I've been going to China, they've been saying that.
The Daily
What an Iowa Farmer Fears About the Trade War
Of course it is. And I mean, I'm not going to downplay that. And that's why we need these presidents talking, not just for agriculture's sake, but for everyone's sake. You know, because whether we like it or China likes it, our economies need each other. I mean, period. End of story. I don't know how we can do without each other.
The Daily
What an Iowa Farmer Fears About the Trade War
Hmm. I don't know how to answer that because, fortunately, I'm not in the president's head. So I think it's hard for anyone outside of agriculture to understand the amount of work we put into that. Or how important we know it is to our business, you know? And so that is how I look at it. I know how important it has been to many farmers I know and what we've worked for.
The Daily
What an Iowa Farmer Fears About the Trade War
Hi, April. Hi, how are you? You're sitting in a closet?
The Daily
What an Iowa Farmer Fears About the Trade War
And I also understand the inequity of this trade and how important that is to our president.
The Daily
What an Iowa Farmer Fears About the Trade War
I can see that, and I hear a lot of other people talk about that, but I would hope that he would have considered that in his decision-making along the way.
The Daily
What an Iowa Farmer Fears About the Trade War
That's going to cause hurt. Yeah. Yeah. Yeah. And he, evidently, he understands it too because he says, it's going to hurt for a while. Stick with me. There's going to be pain. And so, farmers know that. We're like, yeah, we know that.
The Daily
What an Iowa Farmer Fears About the Trade War
So, yeah. Been there, done that. It's like a school song we used to sing. Same song, second verse, a little bit louder and a little bit worse. And that's kind of what this feels like.
The Daily
What an Iowa Farmer Fears About the Trade War
Wow, that's all you can afford up there at the New York Times, huh? Wow.
The Daily
What an Iowa Farmer Fears About the Trade War
I guess what I want him to understand is rather than the snap of a finger and shock the world, honestly, you know, to understand it takes a lot more than that. And then backtracking. You know, I don't think that did agriculture any good, you know, to put it out there and then backtrack. So, yeah, I wish he would understand that all the time and effort that's gone into this, you know.
The Daily
What an Iowa Farmer Fears About the Trade War
It's a long time. It's a long time. But I can't say I haven't enjoyed it. And I think it's been... I wouldn't... I always get asked, why do you spend so much time on boards and doing this? I wouldn't do it if I didn't think I was doing any good. If I didn't know these relationships mattered, then I certainly wouldn't take time off my farm and be doing these things.
The Daily
What an Iowa Farmer Fears About the Trade War
But yeah, no, to have the two biggest economies in the world not talking is not good for anyone.
The Daily
What an Iowa Farmer Fears About the Trade War
We need to have that relationship. And if a farmer can help it along, so be it.
The Daily
What an Iowa Farmer Fears About the Trade War
You're welcome. I enjoyed this more than I thought I would. We can do a podcast from my combine sometime.
The Daily
What an Iowa Farmer Fears About the Trade War
So it's pictures of where I've been and some of my personal travels and soybean travels.
The Daily
What an Iowa Farmer Fears About the Trade War
Yeah. Yeah, the terracotta soldiers and the Forbidden City is over there. Wow. That's good stuff.
The Daily
What an Iowa Farmer Fears About the Trade War
Hello. It must be Jessica. Yes, it must be April. Yes, nice to meet you. So do you want a tour of the empire first? Yes, I would love.
The Daily
What an Iowa Farmer Fears About the Trade War
So I'm April Hemmes. I am a 65-year-old farmer. I'm here on my family's century farm. My great-grandfather purchased it in 1901. I raise soybeans and corn on my farm in Iowa, the best soil in the world. And I've been on a lot of different boards through the years, United Soybean Board and the Iowa Soybean Board. So part of my travels to China were promoting soybeans. Okay.
The Daily
What an Iowa Farmer Fears About the Trade War
So this is from way up there where you see those poles to down there, there's a creek down there. This is all... This is all you. Yeah, one of my fields. It was a cornfield last year, and then I will just go in and plant it in soybeans. And it's amazing to look at this now and then come back in August and they'll be, if weather permitting, they'll be waist high. And what will the crop look like?
The Daily
What an Iowa Farmer Fears About the Trade War
About 53 percent, over half of the soybeans exported in the U.S. go to China.
The Daily
What an Iowa Farmer Fears About the Trade War
And that's huge. You know, the American farmers were very good at what we do. We raise very high quality crops. And so we're so good, we don't use it all here domestically. We have a great domestic market, but we need to export it. So China imports our whole soybean, and they crush it there because that's the value is crushing that soybean, we call it.
The Daily
What an Iowa Farmer Fears About the Trade War
And then 80% is the meal, and around 20% is the oil. And the meal goes to feed all their livestock. And I think they're the largest— Pork producers in the planet, they raise the most pork. So a lot of our soybeans get fed to their pork and ducks and chickens, poultry. And then the oil, all the oil gets used for human use, for frying.
The Daily
What an Iowa Farmer Fears About the Trade War
So I came home in 1985. This is actually my 40th year at home on the farm, which is quite amazing to me. So I graduated in animal science from Iowa State University. And then I worked at the Iowa Swine Testing Station for a little while. And then I got a phone call. We need somebody to talk Iowan. in Washington, D.C., greeting people to a brand new elected congressman.
The Daily
What an Iowa Farmer Fears About the Trade War
And I learned pretty quickly that's not where I wanted to be. My goal all along was to come back to the farm. I kind of made that decision and called home and I said, I want to come back to the farm. And my dad said, no, you're not coming back to the farm. This is terrible timing. And my grandfather was the one who said she wants to come back and farm. She's coming back.
The Daily
What an Iowa Farmer Fears About the Trade War
So what about the timing was terrible? So it was the farm crisis. So everything just fell apart. We had huge interest rates. So it was like 16% interest. And then the land, the price of the land was going up. So some people bought land very high price with a very high interest rates. And then our commodity prices were not good. And then once farmers started failing, the banks started failing.
The Daily
What an Iowa Farmer Fears About the Trade War
So we had a lot of agriculture banks go out of business. And it was a time of white crosses in the courtyard when they had to go sell farms and people selling off their, you know, possessions to make bank payments, things like that.
The Daily
What an Iowa Farmer Fears About the Trade War
We did have overproduction. We just had too much. We weren't trading around the world and exporting like we are now. And so that's really late 80s, early 90s is when that focus to export, especially to China, really ramped up.
The Daily
What an Iowa Farmer Fears About the Trade War
Well, because they had such a growing population then. And we knew we had extra we had to export to. But you have to develop these things. And it takes a long time to develop relationships and trust. And that all started, it actually started with President Nixon going there in the 70s. And you just start building that trust. And then they started importing in the 90s from the U.S. soybeans.
The Daily
What an Iowa Farmer Fears About the Trade War
Well, it happens on getting involved in your local boards or state boards or, in my case, national boards. So, you know, let's zoom through the 90s into the 2000s. And through the Iowa Farm Bureau, I got to visit China for the first time on a market study tour. And... It was a bunch of Iowa farmers. And what first struck us on our bus rides was the agriculture, of course, because we're farmers.
The Daily
What an Iowa Farmer Fears About the Trade War
Green, leafy, you know, waves. Waves. Waves of green soybeans, yes. But for me here in Iowa, it's usually April is go time. That's planting season. So right now I want to get these soybeans in the ground. I want to plant and we want to plan. The thing about the tariffs, it's hard to plan when they're out there looming, you know, what's going to happen.
The Daily
What an Iowa Farmer Fears About the Trade War
And it's not just big, huge fields like we're used to here. It was very, very small parcels. put together. So that's how they got to lease the ground from the government. So it's all hand done. We saw the stover from the corn piled in the corner. The stover is the corn stalks, anything but the corn. And they would use that to heat their houses. You know, they were drying their wheat on the road.
The Daily
What an Iowa Farmer Fears About the Trade War
They had spread the wheat out on the road to dry it.
The Daily
What an Iowa Farmer Fears About the Trade War
Yes, and one of the biggest ones, they took us to one of their show farms, and the interpreters always wanted to be by me and talk to me.
The Daily
What an Iowa Farmer Fears About the Trade War
I know. April, is this just like your farm? Now, it's the same size as my farm, a 1,000-acre farm. There were like 400 landowners, let's say. They didn't own it. And the Chinese are very good at showing you what they want you to see. There were like 24 row combines lined up, little tiny tractors, you know, a bunch of those. And the interpreter said, April, is this like your tractor? And I said...
The Daily
What an Iowa Farmer Fears About the Trade War
I don't mean to be disrespectful, but that is like the tractor I mow my lawn with. Wow. And it's like, I said, no, what you're doing on this farm, I do by myself.
The Daily
What an Iowa Farmer Fears About the Trade War
So I was really glad I went on that. I assumed it was going to be the last time I, or only time I ever got there. But then fast forward to 2015 and I was appointed to the United Soybean Board by the Secretary of Ag. And so I was asked to go on a trip there to support And that's where I met Honorable Mr. President Bien.
The Daily
What an Iowa Farmer Fears About the Trade War
And if you ever go to China, I hope you guys have a chance to, and you meet public officials. It's these huge rooms with the large murals in the background. And you're just in awe. And it's meant to be that way, I think, you know. So I met with him, very cordial.
The Daily
What an Iowa Farmer Fears About the Trade War
Yeah, he was the president of the Commerce Department for Food and Natural Agriculture Products. So it's who we talked to when we went over there because he was kind of the head of that Commerce Department.
The Daily
What an Iowa Farmer Fears About the Trade War
He was the dude. Yes, he was the man. So, you know, we meet and you go into this big room. You know, I'm not a negotiator for the government or anything. I was there to tell my story, talk about the high-quality soybeans. I just told them how I raised my crops. You know, this is how I plant my soybeans, I keep my water quality high, how I harvested them weed-free.
The Daily
What an Iowa Farmer Fears About the Trade War
And then afterwards, there's usually a supper or a dinner and literally the big spinny table where you get to pick what you eat. The whole fish presented or the whole duck, the Peking duck with the head on it and everything, you know, and then they come out and serve you. It's really it's quite grand when you have a state meal. But then they bring the soju out and it's rocket fuel, basically.
The Daily
What an Iowa Farmer Fears About the Trade War
That's alcohol. And then you do toast. And so, you know, you go around and the person that's hosting goes around to every single person and does a toast to them. And you say gumbe, which means bottoms up, and then down it and down. The higher the official, the better the booze, as we say.
The Daily
What an Iowa Farmer Fears About the Trade War
Yeah. So the United Soybean Export Council used to bring soybean buyers from China and take a tour in the fall and bring them to the farm so they can see what kind of a crop we're going to have. Is it going to be a good crop? You know, are they going to have plenty of beans? And in the fall in Iowa, we host the World Food Prize here. And that's when Honorable Mr. President Bien came.
The Daily
What an Iowa Farmer Fears About the Trade War
Yes. And he came to my farm. I knew they were going to stop by. I didn't know it was going to be him. And so I was combining corn. So I said, let's go hop in the combine. And I go, OK. And I showed him because it's auto steer. So you push a button and it steers itself. But he wanted to steer that thing. So he was driving over my 240 bushel corn. I was getting a little upset with him, Michael.
The Daily
What an Iowa Farmer Fears About the Trade War
Is he sort of destroying your corn? Yeah, he was, yeah, it's driving over my corn. So he got back, we got him back on the row and he was going and I was explaining how the combine works. It takes the corn off the cob. And then I said, turn around. And that's where the corn goes. And he turned around, you know, and the corn's all going in the tank in the combine. And he's just, his eyes were huge.
The Daily
What an Iowa Farmer Fears About the Trade War
And he just kept saying. How satisfying. How satisfying. I said, yeah, but not when you do it nine, ten hours a day. But just the amazement of being in there. And I also knew he would walk away with that. Driving this big, huge combine in the U.S. and just being able to have that experience, I would think is pretty important.
The Daily
What an Iowa Farmer Fears About the Trade War
I think the value is that personal connection. The personal relationship. Because... It doesn't, I mean, it does come down to price, but when we can tell our stories and they have a face to put with that farmer, you know, they can go, oh, soybean farmer, April. Yeah, I know her. I've talked to her. I know how she raises her crop. I know I've been to her farm, you know, things like that.
The Daily
What an Iowa Farmer Fears About the Trade War
That personal connection goes a long way. You know, am I saying it goes a lot farther than cheaper soybeans? No. No. But when it comes to... It's a factor. It really is. And it's amazing to me how much of a factor it can be. And it does mean something now because they have other places they can go. And yet they still buy over half of our soybeans we export.
The Daily
What an Iowa Farmer Fears About the Trade War
Eight or nine times, at least nine times, I think.