Farmers may be seeing the end of the boom in agriculture.  That’s the prediction of Dr. Jason Henderson, Purdue Extension Director and former ag economist for the Kansas City Federal Reserve.  He predicts a drop in net farm income from a high of $120 billion down to $70 billion as a result of lower commodity prices and higher interest rates.  He says the biggest part of the downturn will start in 2016.

Henderson says how farmers prepare for this downturn in the next two years will determine if the farm cycle just fades or is a bust.

He says with interest rates rising starting in 2016 Purdue University is also predicting a 25-percent drop in land values.