ERS: Farm receipts down, government payments up

Cash receipts for all commodities and sales of animals and animal products are down in 2020 while direct government farm payments are forecast at $37.2 billion in 2020, an increase of $14.7 billion (65.7%, in nominal terms), the Agriculture Department’s Economic Research Service said in an analysis of farm income.

The report shows that “farm income in 2020 would be the highest in seven years, even without counting an additional $14 billion in federal payments that are on the horizon,” the Food and Environment Reporting Network said in an analysis.

“If the USDA estimate proves true, federal payments would equal 36% of net farm income this year, its highest share since 41 percent in 2001, during another era of stress,” FERN added.

–The Hagstrom Report