Combined net income for the Farm Credit System increased 1.8 percent to $1.27 billion for the first quarter of 2018, as compared with $1.24 billion for the same period last year. President and CEO of the Federal Farm Credit Banks Funding Corporation Tracey McCabe says the system remains “well-positioned” to support farmers as they face challenges this year. Net interest …
Farm Loan Rates Edging Higher
Interest rates on most types of farm loans continued to move higher. A Kansas City Fed report says, following modest increases in short-term rates, commercial banks raised interest rates on loans used to finance various farm-sector purchases. Following a period of historically-low rates, interest rates increased most significantly on loans used to finance operating expenses. Operating loan interest rates have …
First Insurance Service for Indoor Farmers Launched
Indoor farmers now have an insurance option to fit their needs. Contain Inc, an alternate finance business for indoor agriculture, has launched an insurance service for indoor farmers in collaboration with insurance broker InterWest Insurance. The service aims to fill a gap left by current insurance providers and products as the indoor agriculture industry grows, according to the company. The …
Farm Bureau to Offer Dairy Revenue Protection Insurance
The American Farm Bureau Federation, in cooperation with American Farm Bureau Insurance Services, has developed a new risk-management insurance product for dairy farmers. Approved by the Agriculture Department’s Federal Crop Insurance Corporation, “Dairy Revenue Protection” insurance will provide dairy farmers the opportunity to manage risk by focusing on revenue from milk sales. “We know that the level of risk protection …
Perdue on Timing of Disaster Funds
This week, Secretary of Agriculture Sonny Perdue announced new details on eligibility for that new USDA disaster program, 2017 Wildfires and Hurricanes Indemnity Program, or 2017 WHIP. These dollars will help producers with recovery of their agricultural operations in at least nine states with hurricane damage and states impacted by wildfire. In a statement, Secretary Perdue said “At President Trump’s direction, …
Purdue/CME Group Ag Economy Barometer Slips in April Report
The latest measure of producer mindset dipped lower in April. The Purdue/CME Group Ag Economy Barometer fell to 125 last month, which was ten points lower than a month earlier and 15 points below its February reading. Organizers say the sharp drop in the ag producer sentiment index was attributable to producers’ weakening perceptions of current conditions in the production …
Farmers’ Share of the Food Dollar at a Record Low
The Economic Research Service’s Food Dollar Series shows that the farmers’ share of the food dollar fell to 14.8 cents in 2016. That’s a 4.5 percent drop from the previous year and the lowest level since the series first launched in 1993. The farmers’ share of every $1 spent on domestically produced food represents the percentage of farm commodity sales …
USDA Rural Development Innovation Center Launches Interactive Webpage
To Share Best Practices for Rural Economic Development Assistant to the Secretary for Rural Development Anne Hazlett today unveiled a new interactive webpage to identify best practices for building rural prosperity. “Rural communities need forward-thinking strategies to build strong, resilient futures,” Hazlett said. “USDA’s Rural Development Innovation Center is focused on identifying unique opportunities, pioneering new, creative solutions to tough challenges, …
Sorghum Prices Falls Three Times Lower After China Tariff Announcement
Grain-handling company Scoular tells Bloomberg that sorghum bids in the Gulf of Mexico have all but disappeared in the wake of a Chinese decision to impose a 179 percent tariff on U.S. imports. Bob Ludington oversees the Omaha, Nebraska-based company’s grain and oilseed division, and says there’s been very little trade. While some U.S. grain elevators are still bidding for …
Administrative Changes Made to the Livestock Indemnity Program
Agricultural producers who have lost livestock to disease, resulting from a weather disaster, have an additional way to become eligible for a key U.S. Department of Agriculture (USDA) disaster assistance program. USDA Under Secretary for Farm Production and Conservation Bill Northey announced an administrative clarification nationwide to the Livestock Indemnity Program. In the event of disease, this change by USDA’s Farm …