The working capital of U.S. farmers is very low, according to the USDA Economic Research Service. Brent Gloy with Agricultural Economic Insights says he was surprised by the low number which is $38-Billion dollars for 2019. Although the report did not take into account the recent rise in commodity prices or the upcoming trade mitigation payments, Gloy says the drop in working capital is still a major concern, “I think it’s a pretty strong indication of how bad the economics of farming – not just in corn and soybean farming but across ALL the sectors of the ag economy – have been the last four years.” He encourages farmers to stay cautious, “If you get the chance to rebuild you should do that just in case we don’t have a trade deal.
Continue reading Farmers’ working capital at “critical low” at Brownfield Ag News.
