CoBank Report Offers a Prosperous Outlook

Farmers not only have an upcoming opportunity to plant, but also a time to prosper. According to a new CoBank report, U.S. farmers are in a sound financial position heading into this spring. A cyclical turn in grain prices and government support in 2020 have driven the rise in net farm income.
Factors driving the upcoming agronomy season for farm supply cooperatives include an expansion in corn, soybean and wheat planted acres. Rising fertilizer prices are also positive for retailer margins, and farmers are expected to purchase more fertilizer products during the 2021 planting season. Inventory levels of seed, fertilizer and crop protection products should be sufficient for an increase in spring-planted acres.
However, pandemic logistical bottlenecks could impact deliveries and shortages in certain parts of the U.S. Another risk factor for the planting season is the recent cold and wet weather, which could delay planting.