Individual farmers have hinted at it, and now the senior farm lender of a multi-bank group has confirmed that 2018 will be a good year for many of his loan customers. Jim Adcock of Peoples Bank at Taylorville said everything fell into place.
We’re seeing our income levels, gross income levels on corn and beans significantly up over what we have budgeted; which is a good thing. And part of that is the increased bushels and farmers had the opportunity to forward price a lot of this crop at pretty good levels and a lot of them took advantage of that. And all wished they had sold more, obviously, when you look at it today. But the tremendous yields we’ve had in 240’s, 250’s 260’s corn and beans in 80 and 90 and that is, as you say, bushels make up a lot of margin. And so even with the lower price, if you take what they forward priced and what the current price is on this crop, on the corn side on a couple of my customers showed about a 27% increase of income, gross, from what we budgeted, on the corn side, and it was 41% on beans. And the big factor on the beans, you know the 82 and a half cent tariff, that’s a big deal, and especially if you have farms that averaged 85-plus and another 82 and a half cents in their pocket on top of what they already priced, definitely made those gross incomes go up more than what we projected.
Farmers are now looking for the other shoe to fall next year. That’s our report from the farm, I’m Stu Ellis with WCIA 3 your local news leader.