Rain Drives Farm Economy

In North Dakota, farmers appear to have bucked national trends, avoiding the extreme dry spells that have plagued the Midwest and enjoying a relatively bountiful harvest.

For the past several months, much of the country has languished under the oppressive spell of an ongoing drought. While most of the nation experienced record-breaking heat (with many areas reporting the highest temperatures since the United States began collecting climatological data), some states saw these high temperature combined with low precipitation that helped to ruin crops and cripple production.

Some states, however, avoided the parched weather that has plagued much of the Midwest. In North Dakota, despite the extreme temperatures, some crops have flourished thanks to adequate rainfall. “Almost every farmer will say, ‘I don’t want someone else’s disaster to be my profitability,’ but that’s the reality,” said Dwight Aakre, a North Dakota State University Extension specialist.

The climatological realities will have a significant impact on the state’s economy. According to U.S. Department of Agriculture estimates, every dollar of agricultural revenue can generate up to $3.50 of economic activity. For states like North Dakota that have avoided the worst of the drought, the economy will likely pick up because of the trickle-down effects. Others will not be so lucky and may see a significant economic downturn, especially if federal agricultural support dries up.

To learn more about agricultural financing opportunities contact a Farm Plus Financial representative by calling 866-929-5585 or by visiting www.farmloans.com.

Follow us on: Twitter

Written by: Justin Ellison / Farm Plus Staff Writer