Rural Money: WASDE Report Adjustments Could Lower ARC and PLC Payments for Some Crops

Rising corn and soybean prices may lower expected payments for producers

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.

Related Stories
Lawmakers say payments will support schools, infrastructure and public safety in rural communities.
Risk management and diversification improve survival odds. Heidi Exline with American Farmland Trust discusses barriers to farmland access and efforts to connect the next generation of producers with retiring farmers.
The analysis models how trade disruptions in the Strait of Hormuz may continue to drive up the cost of fertilizer.
A late-season freeze in northeast Louisiana has forced farmers to replant thousands of corn acres, adding costs, straining seed supplies, and raising concerns about shifting to soybeans.
March 15 of each year is the application deadline for the Pima Cotton Trust, and March 1 of each year is the application deadline for the Wool Trust. The law mandates trust payments by April 15. More information about these programs is available at www.fas.usda.gov/programs.
The proposal would require farmers’ consent before companies can sell agricultural data

Knoxville native Neal Burnette-Irwin is a graduate from MTSU where he majored in Journalism and Entertainment Studies. He works as a digital content producer with RFD News and is represented by multiple talent agencies in Nashville and Chicago.


LATEST STORIES BY THIS AUTHOR:

Study looks at how triazine chemistry impacts effectiveness against resistant weeds
Tractor Supply’s Paper Clover Campaign raises millions of dollars each year for 4-H youth programs and scholarships. Local store community marketing manager Lexie Gamble joined Tuesday’s Market Day Report alongside 4-H student Matthew Rochford to discuss the partnership.
Superior Livestock Auctions markets more than 1.7 million head of cattle nationwide while also building long-term relationships between both cattle raisers and beef producers.
Georgia Farm Bureau event focuses on leadership, connection, and opportunities in agriculture
Event brings livestock competition into downtown setting
The Official Texas Longhorn Herd works to preserve one of the nation’s oldest cattle breeds, and considered a living symbol of American cattle history.