There’s a lot of buzz about farm income levels, particularly over the fact that they are projected to decrease. However, a decrease in farm income, while it is certainly not preferred, does not spell doom and gloom since we have seen high income levels in recent years. Ag economist David Widmar said farmers need to cut through the noise and look at the farm income levels for what they are.
While next year’s profit levels won’t be as good as the record highs we’ve seen, Widmar said there’s a good chance that they’ll still be above average.
Looking ahead to 2024, Widmar said farmers might need to pay closer attention to interest expenses, among other costs.
Over the next several years, Widmar said that long-term interest rates will be the biggest factor to keep an eye on.
Despite these headwinds, however, Widmar said he is still optimistic about the future of agriculture.
For more information, visit iowafarmbureau.com.
