The University of Missouri’s Food and Agricultural Policy Research Institute or FAPRI in their June report notes that the forecasted decline in farm income of $2 billion comes as farmers will receive a record total of government payments at $33 billion and total farm support reaching $50 billion. University of Nebraska Lincoln Extension Policy Specialist Brad Lubben says that’s both concerning and expected as projections for net farm income in 2021 will fall below $80 billion.
He says the recovery in the ag economy could take a long time.
Lubben says the trend in farm policy had been more market oriented until the pandemic hit and various ad hoc programs were put in including the CARES act. He says there are serious questions going forward as to what will happen with future farm policy.
Lubben says the economic challenges facing U.S. agriculture from the pandemic are similar to what’s happening globally.
