High crop prices (particularly high corn and soybean prices) are enticing many farmers across the country to increase their planting, gambling that another devastating drought will not strike again this summer.
Last summer’s drought crippled production across the country. In the Midwestern Corn Belt in particular, corn and soybean production plummeted as crops withered and fields baked in the wake of extremely high temperatures and extremely low precipitation.
The production decline has led to a major increase in the price of corn and soybeans. While many farmers only survived thanks to crop insurance programs, many others were able to sell their salvageable crop at a major profit.
Many farmers are hoping to take advantage of these increased prices, gambling that another devastating drought won’t cripple production once again and leave them high and dry.
According to US Department of Agriculture reports, about 97 million acres of corn will be planted this year, more than any year since 1937. In the absence of another serious drought, this year could be remarkably lucrative for corn and soybean farmers, many of whom are pulling land out of Conservation Reserve contracts to maximize their profitability.
To learn more about agricultural financing opportunities contact a Farm Plus Financial representative by calling 866-929-5585 or by visiting www.farmloans.com.
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Written by: Justin Ellison / Farm Plus Staff Writer