Tue Feb 9, 2016 04:26 PM CST For the fourth year in a row, USDA expects crop incomes to decline in 2016, based on forecasts released today. The main good news for grain producers is that the steepest income declines since the Peak Corn-era are leveling off and savings in crop production costs are beginning to help heal farm losses.
Mon Feb 8, 2016 05:13 PM CST Crop insurance guarantees for 2016 won't offer much financial comfort, if preliminary prices for the first week of February are any indicator. Unless that scenario changes radically in the next few weeks, expect repercussions on how much operating credit lenders are willing to finance for the most stretched operations.
Thu Jan 28, 2016 01:37 PM CST The current farm program safety net--downsized as it is compared to past legislation--still could mean the difference between profit and loss for many farmers in 2016. So lenders and farm program specialists are urging growers not to overlook technicalities that affect eligibility for everything from Farm Service Agency checks, FSA loans, crop insurance subsidies and conservation payments under current Farm Bill rules.
Wed Jan 27, 2016 11:10 AM CST In his two latest columns, DTN's Farm Business Adviser Lance Woodbury addresses ways to overcome the obstacles that hinder a transition from one generation to the next in a family business (subscribers see his column "Five Steps to a Better Exit" on the Farm Business page).
Tue Jan 12, 2016 06:02 PM CST When Virginia Tech Economist (Emeritus) Dave Kohl speaks to farm audiences these days, he paces the stage like a nervous coach shouting plays before the clock runs out. His advice to attendees of Texas A&M's elite TEPAP program this week in Austin was to get 2016 finances in order.
Thu Jan 7, 2016 01:40 PM CST Final results are in for the latest DTN 360 online poll. On the question of how much cash rents have adjusted since commodity prices peaked in 2013, the answer is not much. As I mentioned in my last post (when counting tentative poll results), that bodes ill for high cost operators who rent the majority of their land.
Mon Jan 4, 2016 03:58 PM CST For the record, farm renters report a standoff in 2016 cash rent negotiations. That likely means even those paying "average" rents for their area will need to dig into farm savings to cover operating losses for the second or even third year in a row.
Wed Dec 30, 2015 11:26 AM CST In his latest column, DTN's Farm Business Adviser Lance Woodbury addressed four obstacles that typically hinder transitions from one generation to the next in a family business (subscribers can find"Letting Go of the FamilyBusiness"on the Farm Business page).
Tue Dec 22, 2015 04:01 PM CST Don't be misled by news of "no sales" at auctions across the Midwest. Prices for low-quality land may be in the dumps, but good and excellent quality farmland seems to be retaining or even gaining in value so far.
Thu Dec 17, 2015 12:18 PM CST Given dire forecasts for corn and other commodities' multi-year profit abyss (see my last post), it's worth hearing how some of agriculture's wise men plan to adapt to the new economics of crop production.
Wed Nov 25, 2015 02:06 PM CST USDA revised projected 2015 farm incomes down from earlier forecasts this week, mostly on worsening prospects for livestock producers, USDA’s Economic Research Service said.
But falling prices in 2015 will affect every major commodity sector, from grains to beef, dairy and hogs.
Thu Nov 19, 2015 02:00 PM CST Agricultural REITs--short for real estate investment trusts--may be infant businesses at the moment, barely a ripple in the trillions of dollars of farm real estate. But news that Farmland Partners Inc.
Tue Nov 10, 2015 04:54 PM CST Nearly $4 billion in Agriculture Risk Coverage-County checks were deposited in farmers accounts by early November, but the Farm Service Agency announced late last week it will recalculate payments for growers who farm in multiple counties and who may have been underpaid in 2014.