While the farm economy seems to have stabilized in the Midwest and Northern Plains, it weakened in the rest of the U.S. this fall. Producers are dealing with high costs and lower commodity prices.
“Agricultural activity was flat to down modestly, with some crop prices remaining unprofitably low,” reported the Federal Reserve’s Beige Book. Farmers in parts of the Sixth District of Atlanta are having a hard time. Farmers in South Georgia and parts of Florida noted significant damage and losses resulting from Hurricane Helene. Chicago’s Seventh District farmers had stable farm income expectations despite above-average harvest projections.
The Eighth District of St. Louis notes that while agricultural production has been stable, overall sector conditions have weakened. Ninth District – Minneapolis conditions remained stable at lower levels. Kansas City’s Tenth District says activity in the ag sector continued to decline. Contacts in the Eleventh District around Dallas continued reporting tough financial conditions.