Net farm income (NFI) is forecast to decline for the second consecutive year, after reaching recent historic highs in 2013. NFI is expected to fall nearly $33 billion (36 percent) from 2014’s estimate to $58.3 billion in 2015.
The 2015 forecast would be the lowest since 2010, and $29.1 billion (in real terms) below the 10-year average. Crop receipts are expected to decrease by $12.9 billion from 2014, led by a projected $7.1 billion decline in corn receipts and a $3.4 billion decline in soybean receipts.
Livestock receipts are also expected to decline, with the largest decreases expected for hog and dairy receipts. Total production expenses are forecast to fall by $1.5 billion in 2015, the first decline since 2009. Government payments are projected to rise 16 percent ($1.6 billion) to $11.4 billion in 2015.