A cheaper operating loan would help producers reclaim some lost income, and that would be a welcomed situation considering this year and last year were the largest drops ever in net farm income.
USDA’s farm income forecast for this year includes a $43 billion drop from 2023, which is a 25 percent decline on top of the 16 percent drop from 2022. If the forecast comes true, it would be the largest two-year income decline in U.S. farming history.
Researchers with the University of Missouri warn last year may turn out to be worse than suggested. Ag Economist Ben Brown says it comes down to grain still in storage, leaving room for last year’s losses to climb.