FARM BUSINESS NEWS
DTN Ag Business Benchmark
Marcia Zarley Taylor DTN Executive Editor
Thu Feb 21, 2013 07:53 PM CST

HADDONFIELD, N.J. (DTN) -- Rising profit margins, appreciating grain inventories and ultra-low interest rates have nearly doubled the borrowing capacity of many farms since 2007. But financial analysts caution it may be wise to resist the temptation to borrow to your credit limit today, just in case the ag economy falters tomorrow.

An in-depth study of 30 commercial farms from across the Grain Belt shows the average operation's credit capacity ballooned from about $2.5 million in 2007, to $4.6 million by 2011. Total liabilities also grew, but much more slowly, from $1.7 million on average in 2007 to $2.8 million ...

Quick View
  • Stay on Top of SDS The distinctive yellow patches of sudden death syndrome (SDS) are surfacing in soybean fields acr...
  • Ample Stocks Ahead Drought recovery in many areas has led to higher stocks, brighter production prospects and modera...
  • Precision Ag Potential Pending Precision agriculture proponents insist the industry can revolutionize agriculture, but first mor...
  • Cash Rent Reset - 2 Iowa farmland owners Fred and Lodean Cook may consider flexible cash leases for the first time th...
  • Iowa Land Gets a Bounce Key Midwest land values are stuck in neutral or sliding below 2014 levels, recently released opin...
  • Canadian Dairy Conundrum Coping with Canada's dairy industry import tariffs and supply controls remains one of the stickin...
  • Klinefelter: By the Numbers Deteriorating profit margins flip the fortunes of big renters and conservative owner-operators. I...
  • Training for Sustainability The Hmong American Farmers Association is helping producers who migrated to the United States fol...
  • Ask the Vet What are these crusty scabs on my cattle?
Related News Stories
Senior Partners - 5
Ag Interest Rate Snapshot
Net Farm Income Falling Fast
Monsanto Calls Off Hunt
Monsanto Calls Off Hunt
Monsanto Nixes Syngenta Bid
View From the Cab
Merger Approved
Deere Reports Profit Down
Deere Reports Profit Down