Forecast & Trends

www.farm-equipment.com/articles/12003-reduced-livestock-receipts-to-contribute-most-to-drop-in-2015-farm-income

Reduced Livestock Receipts to Contribute Most to Drop in 2015 Farm Income

September 14, 2015

Net Farm Income by Component of Change — 2014-15 Forecast

This chart is based on information found in the 2015 Farm Sector Income Forecast, updated August 25, 2015.

Net farm income (NFI) is forecast to decline for the second consecutive year, after reaching recent historic highs in 2013. NFI is expected to fall nearly $33 billion (36%) from 2014’s estimate to $58.3 billion in 2015. The 2015 forecast would be the lowest since 2010, and $29.1 billion (in real terms) below the 10-year average.

Crop receipts are expected to decrease by $12.9 billion from 2014, led by a projected $7.1 billion decline in corn receipts and a $3.4 billion decline in soybean receipts.

Livestock receipts are also expected to decline, with the largest decreases expected for hog and dairy receipts. Total production expenses are forecast to fall by $1.5 billion in 2015, the first decline since 2009. Government payments are projected to rise 16% ($1.6 billion) to $11.4 billion in 2015.

Dave Kanicki

Dave Kanicki is the former Editor/Publisher (retired in 2020) Editor & Publisher of Ag Equipment Intelligence (AEI) and its related research, reports and broadcast channels. He joined Lessiter Publications in 2005 after decades of experience as an Editor & Publisher of metals manufacturing titles. His Farm Equipment and AEI work has been nationally recognized by both trade business and business press associations. He is a graduate of Central Michigan University.