Cotton Crop 2
Cotton Crop During a Natural Disaster
BUSN5200: Basic Finance for Managers
Instructor: Mr. Geraldo Rivera
September 17, 2017
According to the United States Department of Agriculture, Texas’ cotton crop production along other crops were going to bloom in 2017. However, due to the passing of Hurricane Harvey, this is now unlikely. Many cotton fields and places wherein the cotton were stored received extensive damages due to the rain, wind and lastly, the flooding. In 2016, many cotton farmers in Texas were gracious enough to gather a bale or bundle of cotton per acre. In 2017, it was estimated each acre was going to be able to produce three times what it was produced in the past year. Texas is the biggest producer of cotton in the United States and Bay City, Texas is the second largest production area in Texas, but all changed when the hurricane went through the coast of Texas.
Many farmers have been preparing for the harvest and collection of the cotton. As it was anticipated the season was to produce triple the amount of the previous years, many of the farmers asked for loans to acquired additional equipment and resources they needed to make the season a remarkable one. Information acquired reading some articles about this subject and while listening the radio, it is said that many farmers were going to be able to pay up to 25 percent of their debts and have a substantial amount of revenue. Most of the farmers had insurance on their fields; howev...