Ag Economic Insights discusses the trends to look for in the 2021 farmland market

The ag economy turnaround since August has sent ripples into the farmland market. The combination of strong commodity prices, record high direct payments, and low interest rates have largely offset the recession. But, what lies ahead for 2021?

David Widmar with Ag Economic Insights speaks with RFD-TV’s own Tammi Arender on trends in cash rent, on the breakdown of the rent to value ratio, and the big takeaway for 2021.

“We see that costs per bushel are pretty low, and they are considerably lower than when they were back in 2012, 2013, 2014. So, when we think about where cash rent rates might be in 2021 or above we got to keep in mind that we could see per acre values be over those previous highs, but per bushel could remain low because of higher yields here in 2021,” he explains.

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