Monday, August 30, 2021

Farm income forecast due Thursday; online event at 1 ET

The Agriculture Department's Economic Research Service will release its second Farm Income Forecast for 2021 on Thursday, Sept. 2. That same day at 1 p.m. ET, USDA economist Carrie Litkowski will host a free, one-hour webinar to discuss the contents of the report. Click here to register for the webinar.

The most recently published farm income forecast, released in February, predicted that net farm income would drop $9.8 billion to $111.4 billion in 2021. Though cash receipts were expected to increase in 2021, lower direct government farm payments were predicted to drive most of the decline in net income measurements. Higher production expenses, including spending on feed, fertilizer and labor, was also expected to contribute to the decline in net income. That's particularly significant as drought drives up feed prices.

The forecast is updated three times a year, usually in February, August and November. From the webinar page: "These core statistical indicators provide guidance to policymakers, lenders, commodity organizations, farmers, and others interested in the financial status of the farm economy. ERS' farm income statistics also inform the computation of agriculture's contribution to the U.S. economy's gross domestic product."

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