Bankruptcies up, but not to 80s levels
Chapter 12 farm bankruptcies have risen in 2019 but are not expected to eclipse the record highs of the 1980s, the American Farm Bureau Federation’s Market Intel service reported.
In all, 580 filings were submitted during the 12-month period that ended in September — a rise of 24% from the previous year and the most since 676 in 2011.
The Northwest and West regions, along with Puerto Rico, experienced the highest growth in filings, all higher than 60%. The Midwest and Southeast, however, led the country with 373 combined filings overall.
What’s more, farm debt in 2019 is projected to be a record-high $416 billion, with $257 billion in real estate debt and $159 billion in non-real estate debt — a factor that has directly led to the increase in Chapter 12 filings. F
–The Hagstrom Report