USDA forecasts drop in farm income for 2024
After the three highest consecutive years on record in 2021-2023, the first farm income forecast of 2024 indicates a drop in net farm income,
After the three highest consecutive years on record in 2021-2023, the first farm income forecast of 2024 indicates a drop in net farm income,
Lenders still expect borrower profitability to remain relatively elevated this year.
Minorities and women may have trouble getting loans to buy and run farms, the report says, noting that socially disadvantaged farmers and ranchers are more likely to operate smaller, lower-revenue farms; have weaker credit histories; or lack clear title to their agricultural land.
According to recent reporting in Politico, lawmakers and staff are “significantly more gloomy” on Farm Bill prospects for 2024. The bill is set to expire again on Sept. 30.
More than 26,000 customers who submit a Direct Loan application each now have an online option that provides an electronic signature option, the ability to attach supporting documents such as tax returns, complete a balance sheet and build a farm operating plan.
One of the top priorities for the banking industry, as many farms over the next decade may be switching hands as older farmers retire.
A bright spot for farmers is that some production costs, including feed, fertilizer and pesticides, have declined, USDA Secretary Vilsack said. The agency is taking those factors into account as it works with Congress on the next Farm Bill into 2024.
Chairman Glenn Thompson said, however, that an extension will still be necessary until the Senate and others finish their work on Farm Bill.
Working with state banking associations is just part of the teamwork it takes for effective issue advocacy, Nichols said. Bankers’ voices need to be heard, too.
The timing and consequences of the farm bill expiring vary by program across the breadth of the act, according to the Congressional Research Service.