FarmPolicy

August 18, 2019

Ag Economy; Biofuels; Farm Bill; and Political Notes

Agricultural Economy

Scott Kilman reported in today’s Wall Street Journal that, “Major agricultural commodities continued their extended run-up in price, underscoring how much of America’s farm belt is booming even as the overall economy continues to struggle.

“Contracts for the delivery of corn and soybeans into mid-2011 jumped Monday by 5% and 2%, respectively, after rising their daily permissible limits on Friday, when the U.S. Department of Agriculture sliced production estimates by small percentages. Cash cotton prices rose 3.3% Monday after a 3.9% gain Friday. They are 86% higher than a year ago.

“For many crops, prices are climbing even as big harvests pile up, a rare combination. Farmland values are up while those for some other kinds of real estate languish. Debt on the farm is manageable. Incomes are rising.”

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