News

St. Louis Fed survey: farm income slide

Ag bankers in the St. Louis Federal Reserve district expect farm incomes to go down next quarter, as they did in the second quarter.

Some parts of the seven-state region, which includes Illinois, Indiana, and, Missouri, have less volatility in farm income than others.

An Arkansas lender says farm income is not as volatile as it is in row-crop states. Arkansas is mostly contract poultry and animal production.

A lender from Missouri said “low-income producing properties are on the rise” and so is the demand for them.

Quality farmland values in the district fell three-percent in the second quarter but cash rents increased a little.

The bankers generally agree with the University of Missouri’s Food and Ag Policy Research Institute – that a decline of about six-and-a-half percent in farm income will be realized for this year.