USDA: Net Farm Income Should Reach Record $103.6 Billion
Washington--U.S. net farm income should reach a record $103.6 billion this year, according to an updated report released Tuesday by the Agriculture Department’s Economic Research Service. This represents a 31 percent jump over last year, with ERS citing higher crop and livestock prices as reasons for the big gain. ERS pegged 2010 net farm income at $79.1 billion.
In its February estimate, ERS forecast net farm income for 2011 at $97.3 billion.
The ERS report Farm Income and Costs: 2011 Farm Sector Income Forecast notes that crop receipts are expected to rise by more than 19 percent in 2011 as large increases are expected across a number of crop categories. Livestock receipts are expected to rise nearly 16 percent, led by strong sales of dairy, meat animals and turkeys. Many different crop and livestock categories are expected to achieve record high sales.
Feed crop receipts are expected to increase almost 37 percent, achieving a record level in 2011. Sales of corn for grain, which are expected to account for almost 86 percent of 2011 feed crop receipts, are expected to increase more than 38 percent in 2011. While the quantity of corn sold in 2011 is expected to decline less than 5 percent, this will be more than offset by an almost $2-per-bushel increase in price.