Borrowing Needs for Farmers Continue to Rise

Farming’s contribution to GDP has retreated two consecutive years after reaching an all-time high of $189.9 billion in 213.

More stress for farmers financially, as borrowing needs continue to rise.    According to the Federal Reserve's Ag Finance Databook, operating loans made by large agricultural banks have led to a significant increase in lending. A quick look at the numbers tells the story. In the third quarter, Non-real estate farm loans were 30% higher than a year ago, and the number of loans larger than $1 million dollars nearly doubled. Delinquency rates on those loans, while low, are trending higher.