Using responses from 228 banks, the Kansas City Fed presented its survey of Agricultural Credit Conditions covering the first quarter of 2014. A selection of observations by some of these bankers follows:

Crop income will show a modest deterioration based on lower commodity prices while livestock will show a significant improvement with prices at an all-time high. – Southeast Nebraska

“Lower feed costs are adding to livestock profitability.” – Western Nebraska

“Cattle prices have been strong for cow/calf operations.” – Central Oklahoma

“The decline in corn price is the primary reason for the decline in working capital.” – Northwest Kansas

“For the first time in four years, customers are holding grain looking for a better price.” – Eastern Nebraska

Significant decrease in commodity prices and changes in government program payments will have an impact on repayment rates. – Southwest Kansas
Read the complete report at www.KansasCityFed.org.