Higher interest rates are seen in USDA’s latest Farm Service Agency loans.
For May 2022, the interest rate for direct farm operating loans has gone from 1.75 percent a year ago to 2.875. The direct farm ownership loan rate is 3.375 percent compared to 3.25 percent in May 2021.
Interest rates for FSA emergency loans were at 2.75 percent last year and are now at 3.75 percent.
USDA says these loans provide important access to capital to help producers start or expand their farming operation, purchase equipment and storage structures, or meet cash flow needs.
