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Concern over low crop prices and high costs is a 2024 farm bill cornerstone issue (farmdoc daily September 26, 2024).  A common methodology is used to calculate current and historic…
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The variable cash lease has been gaining traction in recent years as farmer tenants seek more risk-sharing without the managerial headaches that can come with traditional share leases. Relative to a fixed cash rent situation the variable cash lease is projected to result in better farmer returns when revenues decline. However, the economic situation facing producers since 2023 highlights the risk-sharing gap that remains if variable lease designs adjust only to changes in crop revenues.
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A hotter and (mostly) drier fall is capping off a strong growing season helping speed the harvest of an expected bumper crop. In the cab, many farmers are also likely planning for next year; like scientists, they use data, observations, and experience to tweak the formulas for optimal outcomes. To those ends, this article introduces a series discussing innovations in research and extension by the DIRECT4AG project (USDA-REEIS).
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The financing structure of soybean production costs in Mato Grosso, Brazil’s largest agricultural state, has changed significantly over the past two decades. Funds for operational costs for soybean farmers in…
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“For FY2025 — which began Oct. 1 — USDA announced that the Natural Resources Conservation Service (NRCS) would make $7.7 billion available to assist with conservation practices, $5.7 billion from the additional funding in the Inflation Reduction Act of 2022. With Congress in recess for the upcoming November election, the Farm Bill remains stalled, though IRA and Farm Bill conservation funding continue through the uncertainties. This article reviews potential tradeoffs between the two.
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The Pasture, Rangeland and Forage Rainfall Index (PRF-RI) is a crop insurance product underutilized by Illinois livestock and forage producers. Only 6% of the eligible acres in Illinois were insured in 2024, much lower than use west of the Mississippi. Like other Federal crop insurance programs, PRF-RI is heavily subsidized. Over time, PRF-RI has returned $1.29 in payments for each $1.00 in producer-paid premium.
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Net incomes on many Midwest grain farms will be negative in 2024, some of the lowest in the past thirty years. Low incomes could continue into future years. Herein, we present eight strategies for dealing with low incomes. Also, prospects for ad hoc Federal payments are discussed. Ad hoc disaster payments could present issues regarding slowing necessary economic adjustments within the agricultural sector.
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