Agricultural producers’ sentiment declined for the second month in a row as the Purdue University/CME Group Ag Economy Barometer index fell 9 points to a reading of 106 in September. Producers expressed concern about their current situation as well as future prospects for their farms. The Current Conditions and Future Expectations indices both declined 10 points to a reading of 98 and 109, respectively. Notably, all three indices stand below their readings from one year ago. This month’s Ag Economy Barometer survey was conducted from Sept. 11-15.
“Weakening prices for major crops and ongoing concerns about high production costs and interest rates weighed on producers’ minds this month,” said James Mintert, the barometer’s principal investigator and director of Purdue University’s Center for Commercial Agriculture.
Producers continue to point to high input costs as a top concern for their farming operations in the year ahead. One-third of respondents in this month’s survey cite it as their number one concern, followed by rising interest rates, chosen by 25% of respondents, and lower crop and/or livestock prices, chosen by 22% of farmers. The percentage of producers choosing lower crop and/or livestock prices has increased since the beginning of the year when just 16% of producers cited it as a top concern.
SOURCE: PURDUE UNIVERSITY
