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We spent last week updating and creating several charts to summarize and break down the USDA’s latest farm financial data. There are always a few surprises , such as nonreal estate debts in 2022 jumping higher while realestate debt slowed. For another perspective, inflation-adjusted netfarmincome averaged $161.9b
Despite falling netfarmincomes , rising interest expenses , and generally low producer sentiment , farm loan delinquencies improved in 2023. The Kansas City Federal Reserve has reported quarterly activity for farmrealestate loans since 1991. of non-realestate loans were delinquent.
As COVID-era funding runs out and input costs continue to rise, farmincome is expected to fall 22 percent in 2023. Even so, it’s important to understand that farm liquidity remains strong and netfarmincome will still remain well above the 10-year average. billion to $140.4
Crop insurance accounts for 45% of projected spending on major farm-related programs over the next decade. Netfarmincome reached a record level in 2022, as sharply higher crop and livestock receipts more than offset reduced government payments and increased production expenses. in 2023 and under 2% in 2024.
This new program offers guaranteed loans to finance realestate and infrastructure investments and provide working capital for commercial supply chain development. percent of farms.
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