What It's Like to Do Big Ag Business in Venezuela and Ukraine - Odd Lots Recap

Podcast: Odd Lots

Published: 2026-01-29

Duration: 52 minutes

Guests: Jeff Kason, Mike Rolfson

Summary

Operating a multinational agricultural business in Venezuela and Ukraine involves navigating hyperinflation, corruption, and political instability. AgrisAcademy founders Jeff Kason and Mike Rolfson share their experiences from their time at Cargill in these challenging environments.

What Happened

Jeff Kason and Mike Rolfson, cofounders of AgrisAcademy and former Cargill executives, provide insight into the complexities of running agricultural businesses in Venezuela and Ukraine. Kason details the crumbling state of Venezuela's oil industry, which requires massive investment to revive due to degraded infrastructure. He explains how hyperinflation in Venezuela forced Cargill to depend on the government for currency exchanges to purchase dollarized raw materials, which severely impacted operations.

Rolfson reflects on the optimism and dynamism in Ukraine following the Soviet Union's collapse in 1995, which initially attracted Cargill to the region. Despite the enthusiasm, Cargill faced significant challenges, including governmental interference and corruption, particularly in the grain business. Rolfson shares how Cargill maintained ethical business practices by working directly with farms and avoiding bribery.

The conversation highlights the creative solutions adopted by Cargill to manage currency issues, such as bartering and exploring cryptocurrencies like tether and bitcoin. Kason describes the reliance on these innovative methods as a response to Venezuela's severe dollar shortages, which affected the import of spare parts and raw materials.

Security and political instability in Venezuela posed additional challenges, with incidents like the nationalization of a Cargill plant at gunpoint causing a brain drain as skilled employees fled the country. Kason and Rolfson discuss the impact of this talent exodus on the company's ability to maintain operations and the broader economic implications.

In Ukraine, the ongoing war has influenced the agricultural landscape, shifting focus to simpler crops like wheat and barley. Rolfson notes that these crops are easier to grow and export due to lower costs, aligning with the current economic and logistical realities.

Kason and Rolfson emphasize the importance of following both U.S. and local laws in these regions, which often required selling in local currency and navigating governmental pressures, such as demands to lower grocery prices. Despite these challenges, Cargill's reputation for ethical practices helped attract Western companies to these challenging markets.

Key Insights

• Venezuela's oil industry requires substantial investment to recover from infrastructure degradation, impacting the country's economic stability and the operations of companies like Cargill.
• Hyperinflation in Venezuela forced Cargill to rely on government-controlled currency exchanges for dollarized raw materials, complicating business operations.
• In Ukraine, Cargill faced challenges of governmental interference and corruption but maintained ethical practices by working directly with farms and avoiding bribery.
• The ongoing war in Ukraine has shifted agricultural focus to simpler crops like wheat and barley, which are more cost-effective to grow and export under current economic conditions.