Farm income could fall short this year as direct government payments are expected to drop more than 30 percent.
USDA’s Chief Economist, Seth Meyer says aside from ending pandemic-related payments, commodity prices are also playing a role.
“With high commodity prices, we see payments related to commodity prices decline as well, too, right? So, some of those payments that fluctuate with commodity prices, they’re shrinking to quite low levels here and expected for 2023/"
Total direct government payments to producers this year are estimated around $10.2 billion. Last year, it was $15.6 billion.
