Chuck Lipstrew, president of the Michigan Agribusiness Association, told the House Agriculture Committee the states agriculture sector faces uncertainty in commodity prices, export markets and labor but remains innovative and globally connected.

"Things are uncertain for farmers and rural businesses," Lipstrew said, describing a mixed picture in which "land values are holding" for some producers while commodity prices have declined and export markets remain uncertain. He told the committee the association represents roughly 300 business members across input supply, grain handling, logistics and professional services and that those sectors move value into Michigans rural economy.

Lipstrew emphasized exports as a state strength, saying Michigan sends about $3,000,000,000 of agricultural products around the world annually and thanking legislators for fully funding Michigan Department of Agriculture and Rural Development (MDARD) export inspection programs in the fiscal 2026 budget. "That's incredibly important and supports something the state government can do to support our export footprint," he said.

Lipstrew also urged continued support for a science-based regulatory system governing crop inputs and pesticide use, noting his association backed full funding for MDARDs pesticide and plant pest management inspectors. "These are the inspectors that are making sure pesticide products are properly registered in our state following an EPA review of them," he said.

Scott Gordon, president and CEO of Cooperative Elevator Company, described his farmer-owned cooperative headquartered in Pigeon and said the cooperative supports more than 1,100 family farms. Gordon said the cooperative exports roughly 400 railcars a year to Mexico and works across rail, truck and container channels to markets in the United States, Mexico, Canada and Europe. He used brand examples to show Michigans reach, noting that some national food products use Michigan-grown wheat and beans.

Committee members asked a series of questions. Representative Pies asked about insurance for grain storage and risks from elevator bankruptcies. Lipstrew described challenges in insuring grain storage facilities and explained the Farm Produce Insurance Authority, an MDARD-administered entity with a fund to step in during an elevator bankruptcy; he said the authoritys board members are governor-appointed and industry-represented.

Representative Reingans asked whether planned exports could be redirected to Michigans food banks amid SNAP interruptions. Witnesses said reallocation options are limited and stressed the importance of reopening federal programs. Lipstrew noted SNAP supports rural households and rural grocery stores and said trade partnerships such as USMCA remain active for moving exports.

On small farms and organics, Lipstrew said there is a future for small farms and that MDARD has sought to support diverse production and farms of all sizes. Gordon added that the cooperative model helps smaller farms by aggregating scale and that the cooperative has expanded into organics, but he said tight consumer spending is shifting some organic production toward feed markets for dairy and poultry.

On international competition, witnesses said Brazil and other South American producers have expanded production while recent developments showed China booked soybean cargos, a positive near-term signal for U.S. soy. Gordon and Lipstrew emphasized Michigans logistics capacity and MDARD services as competitive advantages.

Several members asked about new markets. Lipstrew and Gordon said sustainable aviation fuel (SAF) presents a potential new market for corn and other feedstocks and encouraged the state to consider policy or incentives to support SAF development.

Throughout the discussion the witnesses urged early consultation with industry when regulatory or policy changes are contemplated, saying MDARD has generally been collaborative and that maintaining clear, science-based rules promotes both compliance and industry certainty.

The committee did not take formal action on policy during the hearing; the session ended after questions and thanks to the witnesses.