Farm production expenses drop for first time since ’86 | TSLN.com

Farm production expenses drop for first time since ’86

Farm production expenses last year dropped by almost $20 billion – the first major decline in nearly a quarter of a century, and following a record high in 2008. That’s according to figures released Tuesday by USDA’s National Agricultural Statistics Service (NASS).

The average production expenditures per farm fell 6.4 percent last year, from $140,075 to $131,137. Total U.S. farm expenditures totaled $287 billion in 2009, down about $20 billion from 2008. Falling petroleum prices were a major factor behind the decline in overall farm expenses, leading to decreases in the costs of fuels, fertilizer and ag chemicals.

Overall, 2009 farm production spending decreased in all major categories. Average feed costs dropped four percent from 2008; average costs for farm services dropped 4.2 percent, and the average costs for fertilizer, lime and soil conditioners dropped 10.7 percent per farm.

Farm production expenses last year dropped by almost $20 billion – the first major decline in nearly a quarter of a century, and following a record high in 2008. That’s according to figures released Tuesday by USDA’s National Agricultural Statistics Service (NASS).

The average production expenditures per farm fell 6.4 percent last year, from $140,075 to $131,137. Total U.S. farm expenditures totaled $287 billion in 2009, down about $20 billion from 2008. Falling petroleum prices were a major factor behind the decline in overall farm expenses, leading to decreases in the costs of fuels, fertilizer and ag chemicals.

Overall, 2009 farm production spending decreased in all major categories. Average feed costs dropped four percent from 2008; average costs for farm services dropped 4.2 percent, and the average costs for fertilizer, lime and soil conditioners dropped 10.7 percent per farm.

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