US Farm Income Up
This year US farmers are expected to see a big increase in net cash farm income. The latest numbers show a 21.5% increase over 2020.
Spiro Stefano, Administrator of USDA's Economic Research Service says the total is 134.7 billion dollars
Stefano: “The highest level since 2014.”
Stefano says this year government payments will not account for nearly as much of that income as compared to a year ago. Last year, government payments totaled nearly 39 billion dollars. This year government payments will decrease by nearly 40%
He says hogs account for more than 70% of the increase in farm cash receipts. Only dairy farmers among all livestock producers are expected to see lower cash receipts, down about 3%,
Ag economists say the growth could have been even larger except for growing production expenses. Feed and livestock purchases are up but so are labor expenses and interest payments, rent, fertilizers. Seeds, fuels, and oils. The only expense expected to cost less in 2021 is pesticides. Overall farm production expenses are expected to be 7% higher than in 2020.
