2024 Outlook for Annual Crop Farmland Values (2024)

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2024 Outlook for Annual Crop Farmland Values (2024)

FAQs

2024 Outlook for Annual Crop Farmland Values? ›

The Land Values 2024 Summary report, released on August 2, shows a 5% increase to an average $4,170 per acre. This follows a 6.7%, or $250, increase between 2022 and 2023 and marks the fourth consecutive increase in agricultural land values.

What is the agricultural industry outlook for 2024? ›

Farm sector assets are forecast to increase 5.2 percent ($207.9 billion) to $4.22 trillion in 2024 following expected increases in the value of farm real estate assets. Farm sector debt is forecast to increase 4.2 percent ($21.8 billion) to $540.8 billion in 2024.

Is farmland a good investment in 2024? ›

What are the benefits of owning farmland? By owning farmland, you can earn a stable income with a low-risk appetite. The farmland investment also looks after your earnings through capital appreciation, portfolio diversification, tax benefits, and protection against inflation.

What is the outlook for the farm economy? ›

U.S. net cash farm income, which reflects the year in which the crop or livestock products were sold, was revised upward by $32 billion and is now projected to fall to $154 billion in 2024, down 7 percent from 2023, and down 27 percent, or $56 billion, from the highs reached in 2022.

What is the outlook for farming? ›

Net cash farm income is forecast at $154.1 billion in 2024, a decrease of $12.0 billion (7.2 percent) relative to 2023 in nominal dollars. When adjusted for inflation, 2024 net cash farm income is forecast to decrease by $16.3 billion (9.6 percent) from 2023.

What is the grain market outlook for 2024? ›

Global coarse grain production for 2024/25 is projected down 8.1 million tons this month, to 1,504.3 million tons. Foreign coarse grain production for 2024/25 (global minus U.S. output) is projected 6.9 million tons lower at 1,107.9 million tons—with reduced corn, oats, rye, and barley (slightly reduced).

What is the growth forecast for 2024? ›

Global growth is projected to be in line with the April 2024 World Economic Outlook (WEO) forecast, at 3.2 percent in 2024 and 3.3 percent in 2025.

What is a good ROI for farmland? ›

For instance, in the 20 years to 2020, farmland in the United States produced average returns of 12.2 percent, according to AcreTrader, an investing platform for land. Compare that to the average annual return of 10 percent for the Standard & Poor's 500 index over long periods.

Why are billionaires buying farmland? ›

Several of the world's wealthiest are purchasing farmland as part of their investment strategies. But billionaires acquiring agricultural property isn't a trend. It's a strategic move for investors to enhance and diversify their portfolios.

Is farmland a good investment in a recession? ›

Farmland Is A Safe Haven Investment

Farmland is a low-volatility asset class that acts as a store of value in turbulent economic times. Compared to gold, another safe haven investment, farmland offers the additional benefit of passive income.

What is the crop forecast for 2024? ›

Cash receipts from crop sales are expected to suffer a significant blow in 2024, with a forecasted year-over-year decline of $27.7 billion (10%) to $249 billion. This projected drop is far more severe than the USDA's original February forecast, which anticipated a $16.7 billion (6%) decrease.

What is the average profit of a farmer? ›

Value of farm production averaged $651,546 and net farm income averaged $127,473. The average profit margin was 0.113 or 11.3 percent while the average asset turnover ratio was 0.234.

What happens to farmers in a recession? ›

Commodity price fluctuations: Recessions often lead to decreased demand for certain agricultural products, particularly those considered discretionary, such as cotton, dairy, specialty meat products and vegetables (more on this below). This can result in lower prices for these commodities, affecting farmers' revenues.

What is the biggest issue facing agriculture in 2024? ›

  • Depleting Agricultural Resources. Resource depletion is one of the primary concerns modern farmers need to consider. ...
  • Degrading and Undervaluing Farmland. ...
  • A Public Disconnected from Agriculture. ...
  • Urbanization of Rural Areas. ...
  • Soil Erosion. ...
  • Labor Shortage. ...
  • Input Costs.
Sep 4, 2024

Which farming is the best for future? ›

Often referred to as 'the future of farming', vertical farming uses environmentally controlled agricultural technology to grow crops indoors, without the need for traditional agricultural land.

What is the future of farming in the US? ›

Future agriculture will use sophisticated technologies such as robots, temperature and moisture sensors, aerial images, and GPS technology. These advanced devices and precision agriculture and robotic systems will allow farms to be more profitable, efficient, safe, and environmentally friendly.

What is the future of the agriculture industry? ›

Future agriculture will use sophisticated technologies such as robots, temperature and moisture sensors, aerial images, and GPS technology. These advanced devices and precision agriculture and robotic systems will allow farms to be more profitable, efficient, safe, and environmentally friendly.

What is the commodities outlook for 2024? ›

After three years of extreme volatility, commodities prices are set to broadly stabilise in 2024. However, adverse weather conditions, escalating geopolitical tensions and soaring shipping costs are among the risks to watch to commodity price forecasts.

What is the economic outlook for 2024? ›

Consumers and businesses are likely to continue cutting spending and investments ahead, suggesting economic growth decelerated to 0.6 percent annualized in Q3 2024. GDP growth probably will be lackluster in Q4 2024, expanding at a tepid pace of about 1 percent annualized.

What is the sugar forecast for 2024? ›

Sugar price managed to touch our first target at 19.60$ and found solid resistance there, to rebound bearishly and head to decline in the upcoming sessions, and the price needs to break 19.23$ to confirm heading towards 18.88$ as a next negative target.

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