In September, the Purdue University/CME Group Ag Economy Barometer dropped 12 points to 88, the lowest since March, 2016.
The barometer for income expectations took the 12-point hit and the index for future expectations dropped by 14 points to 94.
The index for current conditions declined by seven points.
Farmers are increasingly worried about commodity prices, input costs, agricultural trade prospects and the potential impact of the upcoming election on their farm operations., the surveyors found.
Only 26 per cent of respondents expect exports to rise over the next five years, the most pessimistic response to this question since it was first introduced in 2019.
And 78 per cent are worried about the outcome of the November elections.
The Farm Financial Performance Index fell for the third consecutive month, dropping to 68 in September from 72 in August. Farmers’ financial expectations have declined markedly compared to a year ago, as the index was at 86 in September 2023 — an 18-point difference.
The Short-Term Farmland Value Expectations Index dropped by 10 points to 95. This is the first time since 2020 that the index fell below 100, indicating that more farmers are expecting a decline in farmland values over the next year than those who anticipate an increase.
The September survey marks the fourth consecutive year that the barometer has included questions regarding cover crop usage among corn and soybean producers.
Consistent with prior years’ surveys, more than half indicated that they currently plant cover crops on part of their farms, while an additional 20 per cent reported planting cover crops sometime in the past. I
Those who do plant cover crops are doing it on more acreage. Now 68 per cent plant a quarter or more of their farms with cover crops compared 25 per cent in 2021.
