PARKER, COLORADO (RFD News) — April’s WASDE Report is offering an updated look at marketing year average prices for major crops and what that could mean for Agriculture Risk Cover (ARC) and Price Loss Coverage (PLC) payments later this year.
Farm CPA Paul Neiffer joined Thursday’s Market Day Report to break down how those updated numbers could impact 2025 payments.
“We’re seeing an upward revision in corn and soybean prices,” Neiffer explained. “So the corn payment is now maybe in that $2 billion-$3 billion range. Maybe even a little bit less, and as long as we continue to see an improvement in corn and soybean prices, we’re going to see that estimated ARC and PLC payment for corn and soybeans continue to drop. We’re definitely seeing a drop.”
Neiffer says higher corn prices could significantly reduce PLC payments.
“If we go 25 cents higher, our PLC payment is basically going to be zero. So now, we still have some ARC because there’s going to be pockets in the country where the yields were lower than the normal.”
He says wheat could see stronger payments compared to other crops.
Neiffer also noted that tax season went smoothly overall, with more refunds among typical filers, though it was not particularly strong for farmers.