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Expected change in farm business net cash income varies by region

Expected change in farm business net cash income varies by region
There is considerable regional disparity in the outlook for 2012 farm business net cash income, as drought conditions put upward pressure on crop (and feed) prices and increase insurance indemnity payments. With higher-than-average crop farm income and sustained cattle farm income, net cash farm income is forecast to increase by over one-third in the Northern Great Plains. The Prairie Gateway and Mississippi Portal are expected to benefit from increased program crop farm income, while income in the Heartland is forecast to remain relatively constant due to the predicted yield impacts of the drought. The largest drops in net cash farm income are in the Northern Crescent and the Fruitful Rim, where many farm businesses specialize in dairy production and specialty crop production, respectively. Dairy farm business income is forecast to decrease by over 50 percent due partially to higher feed costs. This map is from the Farm Sector Income & Finances topic page on the ERS website.

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Last updated: Thursday, October 04, 2012

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