Farmland, News Desk

Low Commodity Prices Push Land Values Down


Corn, soybeans, wheat, cattle, hogs – falling prices mean farm incomes lag across the Tenth District. –The Editors

Using responses from 210 banks, economists at the Kansas City Federal Reserve Bank presented a survey of Agricultural Credit Conditions covering the second quarter of 2016. A selection of observations by some of these bankers follows:
“Bumper wheat crop will help, but increased local basis will really hurt local producers.” – Southwestern Kansas
“Lower commodity prices are affecting the spending and payback of local farmers. Many are paying their interest and extending their notes in hope that prices will rise this fall at harvest time.” – Southwestern Missouri
“Drop in cattle prices has affected our area more than other commodities.” – Eastern New Mexico
“Many of our farmers work outside jobs. So, to date, we have found solutions for all borrowers.” – Western Missouri
“Farm financial conditions continue to deteriorate.” – Northeastern Kansas
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