No matter how you cut it, 2012 was a very good year to be a famer in the U.S. Not drought, pestilence or fiscal cliff could slow the juggernaut of rising net farm incomes and soaring land values. There were many assorted players that contributed to the enormous profitability:
An incredible crop insurance program that guaranteed high net income regardless of the level of production. The massive Corn Belt drought of 2012 likely enhanced -- not hurt -- net farm income because of the high revenue insurance guarantee and reduced harvest expenses. A tax scenario that allows farmers to accelerate expenses and defer income. More importantly, there was the bonus depreciation tax incentive in 2012 that allowed farmers to fully depreciate (100...
What You Need to Know Today: U.S. weather is getting more attention this week as conditions vary greatly across the western, central, and eastern corn belts, with the different regions battling dryness and too much rain simultaneously. The ProFarmer Crop Tour began today in Indiana and Nebrask...
Key Takeaways: Argentina is on pace for a record corn crop and record exports in the current marketing year, with abundant supplies likely to keep the country highly competitive in global export markets. Argentina’s record exportable surplus is allowing it to offer highly competitive pri...
