This week, the USDA estimated national farm income will fall slightly compared to 2021, but it will remain 42 percent above the 10-year average.
This week, the USDA estimated national farm income will fall slightly compared to 2021, but it will remain 42 percent above the 10-year average.
Transcript
This week, the USDA estimated national farm income will fall slightly compared to 2021, but it will remain 42 percent above the 10-year average.
Cash receipts from the sale of agricultural commodities are expected to surpass $525 billion, an increase of 21 percent compared to last year, driven mostly by continued high demand.
While cash receipts are expected to grow, net income is projected to fall slightly due to high input costs and a 50 percent drop in direct government payments to farmers. Net farm income includes farm and non-farm income as well as government payments.
Production costs are estimated to increase over 17 percent for this year. A 44 percent jump in fertilizer prices is the primary driver of the overall move higher. Adjusted for inflation, the increase in the cost of doing business in 2021 is the highest in nearly a decade.
Roughly half of the farms in the United States do not depend on farm activities for their primary income, and result in the median farm revenue numbers are expected to show a small loss for 2022.
For Market to Market, I’m Peter Tubbs.
Watch More
The White House adds detail to the new trade deal, while China dodges the details. The drought continues to hammer the south and west. We’ll look at the ticking clock facing the dairy industry. And, commodity market analysis with Sue Martin.
The White House announced this week that President Trump has secured “historic trade deals with China” after his visit last week with President Xi.
This week, the East Coast received an early blast of summer, with highs in Philadelphia reaching into the 90’s with the heatwave expected to continue through the weekend.
Sue Martin talks interest rates, oil, corn, soybeans, hogs, cattle and packing plants in our Market Plus.
Sue Martin discusses the latest trade deal with China along with corn, soybeans, cattle and hogs in our Market Analysis.
Agriculture gets sorted to the side during high-stakes negotiations with China. The yeas have it - E15 is approved in the House but not without some pushback. Revving up fans, drivers, and rural communities on the dirt track. And, commodity market analysis with Naomi Blohm.