US farm income to hit $71 billion in 2016
TheUS Department of Agriculture forecast that farmers will see more profit this year than it previously predicted as costs declined for feed, fuel and fertilizer. US farm net income will be $71.5 billion in 2016, theUSDA said on Tuesday in a report on its website. That’s 30 percent more than the agency’s February estimate, though still 11 percent smaller than 2015’s net income. Profits have tumbled from their $123.8 billion peak in 2013, when agricultural commodity prices were stoked by rising global demand, a domestic drought that crimped supplies of corn and cattle, and a virus that devastated hog herds. Crop and livestock inventories have recovered since then, creating surpluses that continue to depress prices and reduce revenues.