The USDA calculates that farm income fell 38 percent nationwide last year. For some of the nation’s leading farm states the drop was the largest in decades. In Nebraska, for instance, the drop was 80 percent, says Harvest Public Media.
Average net farm income for Nebraska farmers was $29,432 in 2015, according to Nebraska Farm Business financial analysts. The Iowa Farm Business Association says average net farm income in the Hawkeye State was $18,000, compared to the 10-year average of $80,000 annually. And in Kansas, the average farm income was $4,568, according to a Kansas Farm Management Association report. Income plunged along with market prices for corn, soybeans and wheat, the three major crops of the Midwest and Plains.
“Right now the main thing is just going to be focusing on being a low-cost producer and weathering the storm for the next couple of years,” Kansas State University economist Elizabeth Yeager told Harvest Public Media.
After plummeting in 2014 and 2015, farm income is expected to stabilize this year, with only a small decline, said the USDA in February. It is scheduled to update its farm sector and household income forecast on Aug. 30.