With federal pandemic aid in their hands, farmers and ranchers borrowed far less money than usual from ag bankers during the opening months of this year for equipment, livestock, and operating expenses, according to a Federal Reserve survey of commercial lenders.
The U.S. economy could grow at its fastest rate — 7 percent — in nearly four decades, with the farm sector sharing in the energetic recovery from the pandemic, said CoBank on Thursday. "Many in the agricultural industry are experiencing the best market conditions since 2013," said the lender in a quarterly assessment of the sector.
U.S. agriculture is running the risk of becoming overly reliant on large exports to China just over a year after Washington and Beijing de-escalated their trade war, said the head of the Farm Credit Administration on Wednesday.
Heartened by sharp increases in commodity prices, farmers and ranchers across the Midwest and Plains are paying off bank loans and opening their wallets for big-ticket purchases, said a report from the Federal Reserve on Wednesday.
Farm income and land values surged in the closing months of 2020, lifted by higher commodity prices and large federal payments, according to farm lenders across the Midwest and Plains. With the commodity rally expected to persist, the farm economy was in its best shape in years, said the …
The Biden administration on Wednesday announced a temporary suspension of past-due debt collections and foreclosures of farmers who borrowed money from the USDA and are in financial distress.
The farm economy, battered since 2018 by a trade war and a pandemic, is rallying, though it is too early to declare a return to prosperity, said the president of the largest U.S. farm organization on Thursday, reserving judgment on whether more stopgap federal aid will be needed.
With Americans spending more of their food dollars at the supermarket, the specialty crop sector will continue to adapt to the pandemic and the loss of food-service sales in the new year, said agricultural lender CoBank. "Steep financial losses from the loss of food service contracts will ultimately result in the rationalization of some processing assets and production acreage."
A resurgent U.S. economy will grow at its fastest pace in two decades after this year's coronavirus slowdown, helping to boost commodity prices almost across the board, said the USDA in its first projections for 2021. Growers will harvest a record-large crop of soybeans and the crop will sell for an average $10 a bushel for the first time in seven years, thanks to strong demand.