US Farm Income Estimated to be Below 2015-2019 levels in 2024

The Economic Research Service of the USDA released a report yesterday showing a massive reduction in net farm income from 2022.

Photo by Collin on Unsplash

The USDA Economic Research Service released a report yersterday showing a massive reduction in estimated net farm for 2024 of only $121.7 billion which is down $42.2 billion (25.8%) from 2023 which was down $50.2 billion from the record $224 billion of net farm income in 2022.

As you can see from the chart, net farm income for 2024 is expected to be lower than net farm income from 2015-2019. This period was difficult for farmers and with higher inflation of inputs and other costs, 2024 may be more difficult than that period. However, many farmers built-up working capital during 2021-2023, therefore the pain may not be as bad.

But if this trend continues for a few years, the result may be worse than that period.

Only time will tell.