Pandemic pummels farm income in Midwest and Plains, say ag lenders
The government's coronavirus relief programs are an important shield for farmers and ranchers battling a sharp drop in income in the central Plains, ag lenders said in a Kansas City Fed survey released on Thursday. A similar survey of ag bankers in the Midwest by the Chicago Fed "revealed the broad financial distress from the Covid-19 pandemic in rural areas."
Advocates urge Congress not to raise FSA loan limit
A coalition of 19 farm and advocacy groups and lenders wrote a letter to members of Congress Wednesday urging them not to raise the cap on loans issued by the Farm Service Agency.
Higher costs for farmers when interest rates rise
If the Federal Reserve raises interest rates, "it will mean higher costs for many producers" at a point when farm income is falling and growers are making increased use of credit, says Brent Gloy at Agricultural Economic Insights.