USDA’s land values summary shows farm land values increasing by $420 per acre this year. American Farm Bureau Federation economist Danny Munch that’s the largest year-over-year increase since the survey began in 1997. “Combining it with all of these other production cost increases, it’s a barrier to possibilities for farmers moving forward.” Many factors contribute to the jump in land prices. “Part of this increase is going to be linked to the rise in commodity prices that have translated to higher farming values in those lands, especially in heavy row crop Heartland states like Iowa and Indiana. There’s also competition with federal government program incentives like the Conservation Reserve Program.” Factors also include urban and suburban sprawl.” Read more.
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