Farm income is expected to decrease by 4% in 2024 due to a decrease in cash receipts from commodity crops, according to the U.S. Department of Agriculture’s farm income forecast. Net cash farm income is projected to be $158.8 billion, 3.5% lower than in 2023, despite being above the 20-year average. Livestock receipts are forecasted to increase, while crop receipts are expected to decrease, with exceptions for vegetables and melons. This may result in lower net cash income for the farming sector in Iowa. The forecast also predicts lower government payments to farmers in 2024. Input costs are expected to decrease for feed, fertilizers, and pesticides, while other costs like labor and interest rates are projected to increase. Median farm income is expected to increase to $100,634, with off-farm income also predicted to rise. The forecast will be updated in February with the first projections for 2025. This data is important for informing policy makers and lenders about the state of the farm economy and the agricultural sector’s contributions to the U.S. economy.
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