Lifelifeendoftheamericandream

Tue Aug 13, 2019, 03:11 PM

Average U.S. Farm Is $1,300,000 In Debt, Now The Worst Farming Crisis In Modern History Is Upon Us

The Average U.S. Farm Is $1,300,000 In Debt, And Now The Worst Farming Crisis In Modern History Is Upon Us

August 12, 2019 by Michael Snyder

We haven’t seen anything like this since the Great Depression of the 1930s. Leading up to this year, farm incomes had been trending lower for most of the past decade, and meanwhile farm debt levels have been absolutely exploding. So U.S. farmers were desperate for a really good year, but instead 2019 has been a total disaster. As I have been carefully documenting, due to endless rain and catastrophic flooding millions of acres of prime farmland didn’t get planted at all this year, and the yields on tens of millions of other acres are expected to be way, way below normal. As a result, we are facing the worst farming crisis in modern American history, and this comes at a time when U.S. farms are drowning in more debt than ever before. In fact, the latest numbers that we have show that the average U.S. farm is 1.3 million dollars in debt…


Debt-to-asset ratios are seeing the same squeeze, with more farms moving into a ratio exceeding 80%. Barrett notes each year since 2009 has seen an increase in the average amount of total debt among farmers, and 2017 was no exception. Average debt rose 10% to $1.3 million. The biggest increase was in long-term debt, such as land.

Farming in the 21st century has become an extraordinarily risky business, and countless U.S. farmers were already on the verge of going under even before we got to 2019.

Now that this year has been such a complete and utter disaster, many farms will not be able to operate once we get to 2020.

Minnesota farmers Liz and Bob Krocak were hoping for better days ahead as this year began, but things have been really tough and their debts have become overwhelming. During a recent meeting with their creditors, Liz was so distraught that she literally burst into tears…

They had to face their creditors at a mediation. There was Del, the mechanic, whom they owe $28,000 and who now can’t help his son buy a home. There was Steve, the feed store guy, who is 64 and has delayed his retirement because of the Krocaks’ $311,000 bill.

more...

http://endoftheamericandream.com/archives/the-average-u-s-farm-is-1300000-in-debt-and-now-the-worst-farming-crisis-in-modern-history-is-upon-us

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Reply Average U.S. Farm Is $1,300,000 In Debt, Now The Worst Farming Crisis In Modern History Is Upon Us (Original post)
RCW2014 Aug 2019 OP
rampartb Aug 2019 #1
D26-15 Aug 2019 #2
RCW2014 Aug 2019 #3
D26-15 Aug 2019 #4
RCW2014 Aug 2019 #5
D26-15 Aug 2019 #6
rahtruelies Aug 2019 #7
Jardinier Aug 2019 #8

Response to RCW2014 (Original post)

Tue Aug 13, 2019, 03:30 PM

1. not a crisis, an opportunity for agribusiness ...............

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Response to RCW2014 (Original post)

Tue Aug 13, 2019, 03:30 PM

2. Yes, and this all happened since 2016?

My suggestion is to sell the Massey Ferguson and all 5 acres

and move to Florida, RC.

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Response to D26-15 (Reply #2)

Tue Aug 13, 2019, 03:35 PM

3. Do you really think I'd have anything in common with the NYC retiree crowd in Florida. Returning to

Texas is in the cards.

Just about to put my last store on the market while selling prices are over inflated.

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Response to RCW2014 (Reply #3)

Tue Aug 13, 2019, 03:56 PM

4. Yeah, Texas... that's the ticket.

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Response to D26-15 (Reply #4)

Tue Aug 13, 2019, 04:04 PM

5. Lived there for 14 years and my neighbors had a BBQ for me on my 10th year anniversary. Still

have the plaque that declares me an "Official Texan"...

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Response to RCW2014 (Reply #5)

Tue Aug 13, 2019, 04:07 PM

6. WOW! 14 years? Really?

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Response to RCW2014 (Original post)

Tue Aug 13, 2019, 06:00 PM

7. faux news alert

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Response to RCW2014 (Original post)

Tue Aug 13, 2019, 06:53 PM

8. I looked up the Krocaks mentioned in your post and see they get the bulk of their subsidies from

their dairy, corn and livestock. So you either need to pay more for your grub or have a word with your supermarket.

You too can research the Krocaks:
https://farm.ewg.org

Need help, let me know.

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