IFES 2017: What Is Up with Soybean Yields?
Soybean yields in the U.S. have been very high the last four years. The U.S. average yield set new records in a stair-step fashion each year between 2014 and 2016.…
IFES 2017: Crop and Livestock Price Prospects for 2018
Crop prices will remain below the high levels seen in the early part of this decade due to large global inventories. Global economic growth continues to build on the momentum…
2017 Year End Tax Planning Ideas
With the recent passage of the Tax Cuts and Jobs Act (Congress passed on 12/20; President signed on 12/22) there are significant changes to the deductible amount of state income,…
Still Another Wrinkle in the RFS: A RINs Price Cap
New ideas about how to "fix" the Renewable Fuel Standard (RFS) seem to appear weekly. In our last farmdoc daily article from December 6, 2017 we analyzed how a seemingly…
Weekly Farm Economics
Projected Prices for 2018: More of the Same?
Projected prices for 2018 crop insurance policies will not be set until February for corn and soybean grown in the Midwest states. However, current levels of futures contracts provide estimates…
Weekly Outlook
Anticipating December 1 Corn Stocks
The USDA releases the estimate of corn stocks held in the U.S. on January 12. On the same date, the final estimate of the size of the 2017 corn crop…
Projected Positive Economic Profit Margins for Dairy Producers in 2017 After Continued Negative Margins in 2016
Lower milk prices resulted in continued negative economic returns for Illinois dairy producers in 2016, according to figures summarized by University of Illinois agricultural economists in cooperation with the Illinois…
Gardner Policy Series
Declining Cost of Production and Farm Policy
In a July 25, 2017 farmdoc daily article, Schnitkey discussed declining cost of production for Illinois corn and soybeans. This article extends the discussion to the U.S. and to barley,…
Weekly Farm Economics
Switches in Corn, Soybeans, and Wheat Acres in the U.S. and Illinois
Since 2012, acres in the U.S. have been shifting out of corn and into soybeans, likely as a result of higher returns for soybeans than for corn. The longer termed…
Weekly Outlook
Corn Use for Ethanol Update
The recent strength in ethanol production has led to speculation about changes to USDA's estimate of corn used for ethanol in the pending WASDE report. Ethanol production for the week…
The Value of Decision Tools to Farmers and Landowners
As part of the 2014 Farm Bill, the Farm Service Agency (FSA) awarded funding to the National Coalition for Producer Education (NCPE), led by the University of Illinois, and the…
Crop Insurance per Acre Coverage: Historical Experience and Potential Issues
A long standing goal of U.S. crop insurance policy has been to increase the share of production it covers. Over time, both the numbers of acres insured and coverage levels…
Another Wrinkle in the RFS: The Small RefineryB Exemption
2017 has been a busy year for the Renewable Fuel Standard (RFS). In July, the D.C. Circuit rejected EPA's interpretation of its general waiver authority. In September, EPA issued a…
Weekly Farm Economics
Little Tax Depreciation Exists on Many Illinois Grain Farms
Many Illinois grain farmers have reduced capital purchases in recent years, with prospects for further cuts in 2017 and future years. Overall, reducing capital purchases is a prudent step in…
Weekly Outlook
Hog Price Prospects Strengthen
Hog prices this fall have been stronger than anticipated. In early October, USDA analysts estimated that fourth quarter live prices would average $38 to $40 per hundredweight. Now it looks…
What Strategic Issues Should Influence my Growth Options?
There are numerous motivations for farms to expand their businesses. Even in today's environment of tight margins, many farms are exploring expansion options. When exploring these options, it is important…