Published on Oct. 31, 2025

Tight supplies and strong demand pushed cattle prices to unprecedented levels in 2025. As we write this in early October, calf prices are running over $1 per lb higher than fall of 2025 and heavy feeders are substantially higher as well.

Published on Oct. 31, 2025

The Kentucky Farm Business Management Program is a program of the Department of Agricultural Economi

Published on Oct. 31, 2025

The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, makes a landmark change to federal farm programs.

Published on Oct. 31, 2025

A new report by Blueprint Kentucky provides data on Kentucky’s rural economy.

Published on Sep. 28, 2025

Corn harvest is underway and Kentucky grain farmers will soon decide if and how much wheat they will plant this fall.  Compared to last year there is a slight drop in both soybean and wheat prices, stable fuel prices, and a slight increase in fertilizer prices.

Published on Sep. 28, 2025

Authors: Jonathan D. Shepherd, David Bilderback, and Kenny Burdine

Published on Sep. 28, 2025

TikTok has exploded in popularity, and agriculture hasn’t been left behind. In 2023, agriculture-related content on TikTok racked up over 23 billion views, and the platform contributed $24.2 billion to the U.S. GDP. With its short, fast-paced videos and massive reach, it’s easy to wonder: Should your farm be on TikTok?

Published on Sep. 28, 2025

The landscape of carbon markets continues to evolve, creating new challenges and opportunities for farmers and ranchers. While early interest in voluntary carbon programs was met with limited enrollment, recent shifts are reshaping the conversation.

Published on Aug. 31, 2025

USDA releases the results of their annual survey of farmland values each August. The 2025 report indicates that national farm real estate values increased by 4.3% to an average of $4,350/ac. Kentucky farm real estate values increased 3.4% to an average of $5,480/ac.

Published on Aug. 31, 2025

Over the last few years, farmers across the state had to sharpen their pencil when it comes to the farm budget. One part of the budget should be a family living cost. The average family living cost was $100,358 or $8,363 per month in 2024 for the 90 farms in the Kentucky Farm Business (KFBM) family living data set.

Published on Aug. 31, 2025

Much has been written recently about the strength of the current cattle market. With beef cow inventory at a 60+ year low and demand being very strong, cow-calf operations are clearly in the driver’s seat.

Published on Jul. 30, 2025

After more than three years of debate and two annual extensions, earlier this month, several components of the traditional farm bill that address commodity and risk management programs finally became law as part of a budget reconciliation bill better known as the One Big Beautiful Bill Act.

Published on Jul. 30, 2025

DROUGHT can be a debilitating experience for any farmer but is particularly difficult for livestock farmers. Last year was an especially bad drought year in much of the eastern United States, and it was devastating in some areas such as West Virginia and southeast Ohio.

Published on Jul. 30, 2025

For the first time since the 1980s, the average Net Farm Income (NFI) among Kentucky Farm Business Management (KFBM) cooperators has fallen below zero, closing the production year at an average of ($20,522). This dramatic shift is a sharp reversal from the record high NFI in 2021 of $871,325.

Published on Jul. 28, 2025

I am a 2025 Center for Crop Diversification Summer Fellow, and this research is supported by the Kentucky Horticulture Council’s Student Research Grant Program and the Kentucky Agricultural Development Fund.

Published on Jul. 1, 2025

The publication titled “Risk Management for Carbon Programs: Questions Every Farmer and Rancher Should Ask” is a practical and timely resource designed to help agricultural producers navigate the uncertainties associated with participating in carbon markets.

Published on Jun. 30, 2025

Farming is more than planting, growing, and harvesting—it’s running a business. And like any business, understanding your financial health is crucial for long-term success. That’s where financial ratios come in. Think of them as vital signs for your farm’s finances.

Published on Jun. 30, 2025

As Food as Medicine (also known as Food is Medicine) campaigns increase in popularity, employers recognize the ability to leverage food to create healthier and happier employees. Employees are looking for benefits beyond healthcare coverage.

Published on Jun. 30, 2025

Kentucky has faced several natural disasters already in 2025, and for many timberland owners, it is a question of where to start regarding salvaging and selling timber. Trying to understand the tax implications of timber damaged or lost due to storms can feel as overwhelming as the tangled mess left behind by a tornado.

Published on May. 30, 2025

Currently, there are a plethora of policy actions being discussed in our nation’s capital affecting agriculture, ranging from the farm bill debate to tax policy modifications, and of course, the on-going trade policy developments.

Published on May. 30, 2025

The 2025 session of the Kentucky General Assembly concluded on Friday, March 28th.  There were 533 Senate, and 907 House bills and resolutions introduced of which 50 Senate and 96 House bills became law. 

Published on May. 30, 2025

There have been many conversations this spring surrounding crop projections and budgets.  With the fear of instability in the crop markets due to foreign trade policy and the continued high costs of inputs, the profit margin for most row crop enterprises seem tight.  These tight margins have emphasized the importance of projecting reve

Published on May. 30, 2025

International markets support U.S. agriculture, particularly in Kentucky, which benefits from its proximity to the Mississippi River, enabling quick and low-cost transportation to Louisiana ports.

Published on May. 1, 2025

Navigating today’s legal landscape can be challenging for farmers and ranchers, especially when dealing with issues unique to agriculture. “How to Find an Agricultural Lawyer” is a concise, user-friendly resource created to help producers identify and connect with attorneys who have experience in agricultural law.

Published on Apr. 30, 2025

As woodland landowners look for income diversification opportunities, they may explore the potential of carbon sequestration as a revenue stream, particularly the potential income from woodland carbon programs. The federal income tax implications of this type of income are still not fully addressed in current tax law.

Published on Apr. 30, 2025

The Kentucky Farm Business Management Program is a program of the Department of Agricultural Economics at the University of Kentucky.

Published on Apr. 1, 2025

The publication titled “Key Legal Considerations for Any Carbon-Related Agreement” offers practical, accessible guidance for agricultural producers who are exploring or entering carbon markets. The guide emphasizes the importance of understanding the legal and operational aspects of carbon-related contracts before signing.

Published on Mar. 31, 2025

The Corporate Transparency Act (CTA) was passed into law in January 2021 but didn't take effect until January 2024.

Published on Mar. 31, 2025

As businesses strive to meet sustainability goals and reduce their carbon footprint, Environmental, Social, and Governance (ESG) factors have become key drivers of corporate strategy. While ESG reporting may seem like a concern primarily for large corporations and investors, it has growing implications for the agricultural sector as well.

Published on Mar. 31, 2025

The balance of trade, measured by the difference in a country’s value of exports versus the value of its imports, has received a lot of attention in recent months. While the overall U.S. economy has experienced negative annual trade balances for decades, U.S agriculture has historically recorded annual trade surpluses.

Published on Mar. 31, 2025

The deadline for filing many current Federal tax returns has been extended to November 3, 2025, for individuals and businesses in Kentucky. This comes as a result of a Federally declared disaster for the entire state.

Published on Mar. 31, 2025

Spring is here and grain producers across the state are gearing up for planting.  One of the many decisions producers have to make before planting is in regard to their nutrient management plan.  Broiler litter provides a great opportunity as a complete fertilizer and is being produced and used throughout the state in grain production.

Published on Mar. 31, 2025

The cattle market has been on a tear since early 2023 with feeder cattle prices at levels not seen before. As we write this in mid-March, calf prices in the Commonwealth are running about $30-$40 per cwt higher than the same time last year and $60-$70 per cwt higher than last year’s fall lows.

Published on Mar. 13, 2025

As carbon markets expand, agriculture and forestry are at the forefront of carbon credit generation, offering opportunities for landowners to engage in sustainable practices while benefiting financially.

Published on Feb. 27, 2025

Grain prices have continued dropping this last year, and this follows a more dramatic drop from the previous year.  Current prices for 2025 new-crop delivery are around $4.35/bu for corn, $10.35/bu for soybeans (2/20/25).  This is a decrease of around $.10/bu for corn and $1.00/bu for soybeans compared to what t

Published on Feb. 27, 2025

There are a few possible decision tools that can be used for the ARC-PLC choice for 2025.  My recommendation is to use the tool developed by Univ.

Published on Feb. 27, 2025

Slumping row crop prices have induced greater attention among grain farmers regarding farm bill safety net programs.

Published on Feb. 13, 2025

As corporations intensify efforts to lower their carbon emissions, two primary strategies have emerged: carbon offsets and carbon insets. While both approaches contribute to reducing environmental impact, they differ significantly in their execution and implications, particularly for the agricultural sector.

Published on Jan. 31, 2025

The Kentucky Agricultural Leadership Program (KALP) traveled to Vietnam and Taiwan for their international study tour earlier this month. We selected these two nations for their economic, social, and political diversity.  Both of these markets are typical of many emerging consumer markets in Southeast Asia — experiencing population and

Published on Jan. 31, 2025

As a new year begins, we cannot fully close out the previous year until income tax returns have been filed and paid. I’m not sure which meeting is looked upon less favorably…  a visit to the tax office or a visit to the dentist. No offense to the dental profession intended.

Published on Jan. 31, 2025

Farmers may begin receiving a new income-reporting Form 1099-K, Payment Card and Third Party Network Transactions. It reports gross payments to you for goods or services made through credit card, gift or debit card, and on-line payment services.

Published on Jan. 31, 2025

The Center for Crop Diversification team has compiled the latest 3-year Average Price Report for Kentucky Farmers markets in their new publication (CCD-FS-32).

Published on Nov. 25, 2024

Spring application of broiler litter is ideal for maximizing the economic value but faces challenges that include wet soil conditions, lack of time to spread litter near planting, and availability of litter in the spring.

Published on Nov. 25, 2024

Last month, the Whole Foods Market’s Trends Council released their top 10 food and beverage trend predictions for 2025. Each year the Council develops trend predictions through industry experience, observing consumer behavior, and collaborating with new and established brands.

Published on Oct. 31, 2024

The observations below are from Area Extension Specialists from the Kentucky Farm Business Management (KFBM) program. Lincoln Trail Association

Published on Oct. 31, 2024

The current farm safety net can be found in Title 1 of the farm bill, a piece of omnibus legislation

Published on Oct. 31, 2024

Tight cattle supply has largely driven cattle markets in 2024. Markets did see a small pullback in late summer but have actually improved counter-seasonally over the last few weeks. Calf prices are higher than they were this time last year and about $100 per cwt higher than they were in fall of 2022.

Published on Oct. 31, 2024

As the farming economy enters a period of decline, farmers are facing issues many of them have not had to deal with in recent years. Net Farm Incomes are low or even negative in many cases. Cash flows are becoming extremely tight. Some farmers are having difficulty renewing operating loans.

Published on Sep. 27, 2024

As companies continue their quest to mitigate their carbon footprint, achieving a “net-zero” goal is one slice of their sustainability pursuit. There are three main factors that are used to assess the sustainability and ethical impact of a company’s operation.

Published on Sep. 27, 2024

Corn harvest is now underway and Kentucky grain farmers will soon decide if and how much wheat they will plant this fall.  Compared to last year there is a drop in both soybean and wheat prices, a drop in fuel price, and mostly stable fertilizer prices.

Published on Sep. 27, 2024

The average family living costs for the 119 Kentucky Farm Business Management (KFBM) farm families whose 2023 living expenses were included in the family living study was $88,522 or $7,375 per month. Their average Net Farm Income (NFI) was $123,618.

Published on Aug. 29, 2024

In 2021, Congress passed the Corporate Transparency Act, requiring certain entities to report information on their owners and those who have a certain level of control over the entity, referred to as Beneficial Ownership Information (BOI). This law became effective January 1, 2024.

Published on Aug. 29, 2024

As we are moving into harvest there are couple of things to think about in terms of farm finances.  This year, net farm income is expected to decline and many farmers are worried about how they will cash flow the rest of the 2024 crop year.

Published on Aug. 29, 2024

The June Grain Stocks report indicated 37% more corn and 44% more soybeans stored on-farm than last year, indicating that many producers still have grain in storage (Maples, 2024). Some of this stock has likely been sold, but many producers are still sitting on old crops, trying to determine whether to hold through harvest or sell.

Published on Aug. 29, 2024

According to USDA estimates from their annual Land Values Summary, Kentucky’s average Farm Real Estate Values increased 7.5% in 2024 to $5,300/acre, up from $4,930 in 2023. Figure 1 is a comparison of Kentucky land values with the national trend since 2000.

Published on Aug. 29, 2024

In an era where food choices are abundant, there is a growing trend towards supporting local agriculture. One of the most impactful ways to embrace this movement in Kentucky is by purchasing local dairy products, meat, as well as fruits and vegetables.

Published on Jul. 30, 2024

As corporations worldwide intensify efforts to mitigate their carbon footprints, two primary strategies have emerged: carbon offsets and carbon insets. These approaches, while designed to address corporate emissions, have significant implications for the agricultural sector.

Published on Jul. 30, 2024

Several years ago, I wrote an article for the Economic & Policy Update, “What to do When You Have Too Much Money.” We’re having a full circle moment due to the volatility of the agriculture industry as Kentucky farms are experiencing a slide in profitability from the booming 2020, 2021, and 2022 crop years.

Published on Jul. 30, 2024

The Ag Census provides data to examine the relative importance of government farm program payments on a state and county level.

Published on Jun. 27, 2024

In a previous Economic and Policy Update article, "Price Dynamics at Kentucky Farmers Markets, 2021-2023

Published on Jun. 27, 2024

Even in the year 2024, farming tends to be a family affair. The late nights and subsequent long hours can mean the most promising way to spend family time is by spending it together in the field or on the ranch.

Published on Jun. 27, 2024

Since the onset of COVID, agricultural commodity charts have resembled the track of a roller coaster, with huge peaks and valleys. During the 2023/24 marketing year, commodity prices have transitioned downward. We can likely expect less volatile commodity prices as prices level out.

Published on May. 24, 2024

Starting December 24, 2024, the European Union (EU) will require all imported soybeans to be deforestation-free. The policy aims to prevent deforestation and promote sustainable agriculture practices. Consequently, soybeans destined for the EU market must be traceable back to specific fields where they are grown.

Published on May. 24, 2024

It is no secret that interest rates have increased.  In fact, the Federal Reserve increased interest rates 11 times between March 2022 and July 2023.  This rise in interest rates has increased the cost that consumers and businesses pay on borrowed money at all levels.  Our Kentucky farms are no exception to this increase in cost.&

Published on May. 24, 2024

Following the expiration and eventual extension of the 2018 farm bill last fall, interested parties have been attempting to get a farm bill moving in this session of the U.S. Congress prior to the existing farm bill expiring on September 30, 2024.

Published on May. 24, 2024

Farmers markets are an anchor to a community's local food system and represent a high profile channel for local food system development in most communities. This study investigates various demographic and behavioral aspects that influence purchasing patterns at farmers' markets.

Published on Apr. 29, 2024

Kentucky dairy producers are ultimately paid based on the amount of skim milk and butterfat they produce. Needless to say, these two values greatly impact returns for dairy operations and the impact of butterfat has gotten larger over time.

Published on Apr. 29, 2024

Since the onset of COVID, agricultural commodity charts have resembled the track of a roller coaster, with huge peaks and valleys. Global geopolitical events and conflict intensify these peaks and valleys. During the 2023/24 marketing year, commodity prices have transitioned downward.

Published on Apr. 29, 2024

The Kentucky Farm Business Management Program is a program of the Department of Agricultural Economics at the University of Kentucky.

Published on Apr. 17, 2024

These custom rates are based on reported surveys in Ohio, Indiana, Missouri, Iowa, Wisconsin, and Kansas. The rates calculated here are averages for these states and are adjusted to account for changes in fuel price, machinery costs1, and wages2 from the time of the reported surveys.

Published on Mar. 28, 2024

Temperatures are getting warmer, the grass is getting greener, and the calf market is starting to take off.  These are tell-tale signs of spring in Kentucky, and we are experiencing all three.

Published on Mar. 28, 2024

Spring is here and grain producers across the state are gearing up for planting.  One of the many decisions producers have to make before planting is in regard to their nutrient management plan.  Broiler litter provides a great opportunity as a complete fertilizer and is being produced and used throughout the state in grain production.

Published on Mar. 28, 2024

The twenty-year time frame between the latest USDA Ag Census (2022) released earlier this year and the 2002 Ag Census occurred during a period of dramatic changes in Kentucky agriculture.  During this two-decade period, the tobacco buyout was passed (in 2004) and implemented (2005-2014), the Kentucky Agricultural Development Board made sign

Published on Feb. 28, 2024

The USDA conducts an agricultural census every five years with the latest released on February 13, 2024, reflecting data compiled from farm operations in 2022.

Published on Feb. 28, 2024

The purpose of this article is to examine cow-calf profitability for a spring calving herd that sold weaned calves in the fall of 2023 and provide an estimate of profitability for the upcoming year, 2024.  Table 1 summarizes estimated costs for a well-managed spring-calving cowherd for 2023.  Every operation is different, so producers

Published on Feb. 28, 2024

“Agriculture is by nature a cyclical industry.” So said the Federal Deposit Insurance Corporation (FDIC) in History of the Eighties - Lessons for the Future published in 1987. It still is, with net incomes cycling up and down over the decades. So how can farms “weather the storm” when farm income is cycling down?

Published on Feb. 28, 2024

The first projections for the 2024/25 crop year were released on February 15th at the Ag Outlook Forum (AOF). These estimates indicate a more bearish situation in the 2024/25 marketing year than we are currently experiencing in 2023/24. As we came out of COVID/Russia-Ukraine-induced highs, prices have fallen rapidly.

Published on Feb. 28, 2024

Grain prices have dropped dramatically in the last year.  Current prices for 2024 new crop delivery are around $4.15/bu for corn, $11.00/bu for soybeans (2/23/23).  This is a decrease of around $1.00/bu for corn and $1.75/bu for soybeans compared to what these prices were expected one year ago (see Figure 1).   

Published on Feb. 28, 2024

In a previous Economic and Policy Update article, 2023 Kentucky Vegetable &am

Published on Feb. 2, 2024

USDA-NASS released their January 2024 cattle inventory estimates on the afternoon of January 31st. Estimates came in pretty close to expectations and confirmed that the cowherd had continued getting smaller during the course of 2023. It was really a question of how much contraction had occurred.

Published on Jan. 30, 2024

Following the expiration of the 2018 Farm Bill on September 30, 2023, Congress extended the 2018 Farm Bill late last year until September 30, 2024.

Published on Jan. 30, 2024

Bale grazing in the eastern U.S. has its challenges compared to traditional, more Northern regions where the system is used. To be successful in areas with more moderate winters, you need to do a few things differently. In my experience, there are a number of fundamental concepts that need to be followed to make bale grazing work well here.

Published on Jan. 30, 2024

Someone asked about Agricultural Districts recently. It sounded like a farm tax program, but I had to admit that I knew nothing about them, and that I would look into it. 

Published on Nov. 29, 2023

Several years ago, a farmer I knew fairly well gave me a call. He was considering an investment in some new haying equipment and wanted to pick my brain, a task that usually doesn’t take very long. This is a good farmer. He grows high-yielding, high-quality crops and cattle.

Published on Nov. 29, 2023

On January 1, 2024, the Corporate Transparency Act (CTA) will go into effect, which has a potential impact on many of Kentucky's small businesses. This new law requires nearly all business entities to report their beneficial owners to the federal government.

Published on Nov. 29, 2023

After spending over a decade analyzing a plethora of farm operations, I’ve learned a few things about what makes an operation successful. There isn’t a hidden formula anyone can follow to become successful, but there are best practices that operations can implement to position themselves favorably.   

Published on Nov. 29, 2023

Spring application of broiler litter is ideal for maximizing the economic value but faces challenges that include wet soil conditions, lack of time to spread litter near planting, and availability of litter in the spring.

Published on Oct. 30, 2023

Prices for many crop inputs have increased steadily since 2016. This report updates 2023 Kentucky price trends for key vegetable and fruit crop inputs: fuel and fertilizer, labor, plant protection products, and seed.

Published on Oct. 30, 2023

According to 2022 KFBM data, only 27% of land farmed by Kentucky farmers is owned by the farmer. The remaining 73% is typically comprised of landowners that may or may not have a background in farming.

Published on Oct. 30, 2023

In 2022 and 2023, the river levels on the Mississippi slowed barge freight and, thus, crop exports out of Kentucky. When river levels decline, barge transportation slows, which causes barge freight rates to increase.

Published on Oct. 30, 2023

The Kentucky Farm Business Management Program is a program of the Department of Agricultural Economics at the University of Kentucky.

Published on Sep. 29, 2023

Corn harvest is now underway and Kentucky grain farmers will soon decide if and how much wheat they will plant this fall.  Compared to last year there are significant decreases in wheat and soybean prices, but also significant decreases in fertilizer and fuel prices.  The following analysis quantifies these relative changes to estimate

Published on Sep. 29, 2023

It is important to understand the challenges facing tax preparers when it comes to accelerated depreciation and equipment purchases with trade-ins. The Tax Cuts and Jobs Act (TCJA) passed in 2018 had three significant changes to capital purchases and trade-ins.

Published on Sep. 29, 2023

The Department of Agricultural Economics here at UK is proud to be a part of Southern Ag Today.

Published on Sep. 8, 2023

Each August the USDA releases the results of their survey of farmland values. The survey includes data from approximately 9,000 tracts of land of about one square mile each across the continental United States.

Published on Aug. 29, 2023

The 2023 tobacco harvest is well underway for the 2023 season.  This is setting up to be a late harvested crop as early weather conditions delayed progress.  While there are pockets of very good crops, excessive rain has certainly had a negative impact on the crop in certain areas, especially the dark tobacco crop in the Purchase regio

Published on Aug. 29, 2023

In today’s farming culture, the farm is run just as a business.  It is important for producers to make progress and always look for ways to improve the operation.  The goal of most producers is to be at the top of the profitability curve in order to stay competitive.  In Kentucky, we have had a record three-year period from 2020 t

Published on Aug. 29, 2023

For the 2023/24 marketing year, higher interest rates will negatively impact producers' costs for holding grain in storage, especially for producers utilizing operating loans.

Published on Aug. 29, 2023

A goal of many pursuing the American dream is home ownership. Similarly, the goal of a farmer is often to become a landowner. Like single-family residences, the financial decision to purchase farmland is clouded by emotional, social, and familial influences.

Published on Aug. 7, 2023

Interest in carbon markets continues to grow as farmers, landowners, and companies seek ways to reduce greenhouse gas emissions and enhance environmental sustainability.

Published on Jul. 28, 2023

The produce auction is a marketing channel for growers producing fruit and vegetable crops, nursery crops, and ornamentals. There are several produce auctions located throughout Kentucky, Ohio, Illinois, Pennsylvania, and other bordering states.

Published on Jul. 28, 2023

The University of Kentucky and the Kentucky Horse Council, in partnership with the U.S. Department of Agriculture National Agricultural Statistics Service, recently collaborated on the 2022 Kentucky Equine Survey.

Published on Jul. 28, 2023

Dairy producers continue to struggle with decreasing farm-level milk prices and high feed costs. For the first five months of 2023, the US All Milk price averaged $21.16 per cwt, which was more than $4 per cwt lower than the first five months of 2022. In fact, US All Milk dropped below $20 per cwt in May for the first time since October 2021.

Published on Jul. 28, 2023

Recordkeeping. Root canals. Airline seats. Kidney stones. Boring relatives. Wet dogs None of them are pleasant. Some should be avoided. Some of them are pretty important though. Keeping records for the farm business, for instance. Not pleasant (usually) but certainly important.

Published on Jun. 29, 2023

After achieving a record high of $196.4 billion in FY 2022 (October 1, 2021- September 30, 2022), USDA has for the second time reduced its 2023 FY forecast for U.S.

Published on Jun. 29, 2023

After coming off a record high Net farm income (NFI) in 2021, grain farms in Kentucky Farm Business Management (KFBM) program saw their net farm income decrease to levels below pre-pandemic.  Net farm income is the value of farm production less total operating expense and deprecation.

Published on Jun. 29, 2023

A significant survey was completed during the early part of 2023, exploring the values and demand perceptions of Kentucky consumers of dairy products.  This survey of 827 individuals explored a wide range of attitudes and behaviors connected with a range of food sourcing and impact considerations.  Animal agriculture has received consi

Published on May. 30, 2023

While traveling across the U.S. discussing carbon markets with various stakeholder groups, one frequently asked question is, “Will the government have its hands in carbon markets?” When this question was asked at the beginning of 2022, my answer was no.

Published on May. 30, 2023

Land rental agreements can come in many shapes, sizes, parameters, and stipulations.  Typically, we see three basic land rent types: cash rent, share rent, and the increasingly popular, flex rent.  Each rental agreement is likely to be different.  This article will just touch on the basics, realizing that each landlord and renter

Published on May. 30, 2023

The calls or emails start with, “I’m thinking about trying….” and end sometime later with, “What do you think?” For three decades I’ve fielded many of these inquiries. Extension agents get them with incredible frequency.

Published on May. 30, 2023

Summary

Published on Apr. 28, 2023

May is almost here, which means backyard gardening, trips to agritourism venues, and farmers’ markets are about to be in full swing! The local, fresh fruits and vegetables we have been waiting for all winter are finally readily available to us. But have you ever wondered where to find it?

Published on Apr. 28, 2023

The H-2A Visa program is a popular program for farmers seeking to hire temporary, seasonal workers. The original H-2 visa program was established with the Immigration and Nationality Act of 1952 for general nonimmigrant, temporary foreign workers. The 1952 act was later amended by the Immigration Reform and Control Act of 1986.

Published on Apr. 28, 2023

In this article, I discuss the Prospective Planting report for 2023, which provides the first survey-based estimates of farmers' 2023 planting intentions. I first discuss the projections for the United States and Kentucky.

Published on Apr. 21, 2023

USDA is mailing revised tax documents and a cover letter to about 12,500 direct loan borrowers who received financial assistance last year under Section 22006 of the Inflation Reduction Act. 

Published on Apr. 6, 2023

The 2023 Kentucky-Tennessee tobacco budgets for burley, dark air-cured, dark fire-cured, cigar wrapper tobaccos are available on the UK Ag Economics

Published on Mar. 30, 2023

Spring has officially arrived in the Commonwealth, which always brings questions about stocker profitability.  Calf prices typically increase seasonally as we move into spring, but have increased at a larger-than-normal rate since the end of 2022.

Published on Mar. 30, 2023

Spring is here and grain producers across the state are gearing up for planting.  One of the many decisions producers have to make before planting is in regard to their nutrient management plan.  Broiler litter provides a great opportunity as a complete fertilizer and is being produced and used throughout the state in grain production.

Published on Feb. 28, 2023

Legislation went into effect on the first of 2023 that made many services subject to Kentucky’s 6% sales tax. One change was to the qualifications for residential use exemption from sales tax on utilities.

Published on Feb. 28, 2023

The grain markets surged to a new level after Russia’s invasion of Ukraine in late February 24, 2022.  Prices have come down since their peak last spring, but they are still extremely high.  Current prices for 2023 new-crop delivery are around $5.60/bu for corn, $14/bu for soybeans (2/22/23).  This is an increase of around $.30/bu

Published on Feb. 28, 2023

Valentine’s Day has topped its historical spending record for the second year in a row. Many consumers show love for their partners, family members, and even pets through gift-giving on Valentine’s Day. Popular gift items include candy or chocolate, flowers, greeting cards, jewelry, and/or dinner reservations.

Published on Feb. 28, 2023

The purpose of this article is to examine cow-calf profitability for a spring calving herd that sold weaned calves in the fall of 2022 and provide an estimate of profitability for the upcoming year, 2023.  Table 1 summarizes estimated costs for a well-managed spring-calving cowherd for 2022.  Every operation is different, so producers

Published on Feb. 2, 2023

USDA-NASS released their January 1, 2023, cattle inventory estimates on the afternoon of January 31st. There was really no question that the beef cattle herd had gotten smaller; it was really just a question of how much smaller it had gotten.

Published on Jan. 30, 2023

Dr. Grant Gardner was born and raised on a corn and soybean operation in southwestern Indiana. He received his B.S. in Agribusiness from Purdue University in 2017. He subsequently received his M.S. and Ph.D. in Agricultural Economics from the University of Nebraska-Lincoln and Kansas State University in 2019 and 2022, respectively.

Published on Jan. 30, 2023

The 2022-23 tobacco marketing season is beginning to wind down following challenging growing/curing conditions for the 2022 crop.  Buyers indicate that the subpar-quality crop turned out slightly better than expected.  Grower prices will end up higher, but profitability will be lower given lower yields and inflated input prices. 

Published on Jan. 10, 2023

A legislative change was made to the qualifications for residential use exemption from sales tax on utilities. Effective January 1, 2023, the resident at a specific service address is responsible for declaring it as their place of domicile and the utility services exempt for residential use.

Published on Nov. 29, 2022

As the Kentucky produce season comes to an end, so does a summer staple: farm market spaces. Throughout Kentucky, there are more than 2,700 vendors who practice direct-to-consumer marketing, giving farm markets and retail stores extensive outreach to our communities. With this outreach comes a need for support for these agri-businesses.

Published on Nov. 29, 2022

We’ve all heard it. Budgets are tight. Profits are down. Vacancies are not filled. People are laid off. So… those who are left have to do their own jobs… and the jobs of those who aren’t here… and we’re going to do MORE? REALLY?

Published on Nov. 29, 2022

With farm production being down, compared to recent years, it may come as a surprise to many that tax management is still vitally important.  Kentucky producers were blessed in 2021 with record yields and good prices, resulting in high revenues.  While some of the 2021 revenue may have been recognized last year, many bushels of crops w

Published on Oct. 31, 2022

The current picture of fall in Kentucky can be painted with harvest underway and horses racing at Keeneland racetrack, while pumpkins and mums fill the front porches of homes across the Commonwealth. Mums and pumpkins are staples of the Autumn season in our state.

Published on Oct. 31, 2022

Feeder calf prices in Kentucky showed a great deal of strength for much of 2022. In August, a 550 lb steer was selling in the low-mid $180’s per cwt on a state average basis. However, worsening drought conditions have combined with seasonal tendencies and that same weight steer calf is now selling for $15 to $20 less per cwt.

Published on Oct. 31, 2022

Despite tight supply inventories, shipping and other transportation challenges, a higher valued U.S. dollar, and an overall slowing global economy, U.S. agricultural export sales are set to establish record levels in 2022.   The value of U.S.

Published on Oct. 31, 2022

Currently, it is a very stressful time to be farming because of conditions that cannot be controlled. With high input and equipment prices, some producers are thinking of exiting in the next few years.

Published on Sep. 29, 2022

Kentucky’s farm real estate values increased 8.8% according to the annual Land Values Summary released by USDA in August. Average real estate value in the Commonwealth increased to $4,350 per acre, up from the $4,000 per acre reported in 2021.

Published on Sep. 29, 2022

As carbon programs continue to evolve and expand throughout the country, many programs focus on agriculture, specifically sequestering carbon in row crop production. Why agriculture?

Published on Sep. 29, 2022

Hiring and managing employees is one of the least liked tasks a farm operator faces. Questions about the cost of hiring employees are an often-asked question of Kentucky Farm Business Management Program (KFBM) specialists.

Published on Sep. 29, 2022

Corn harvest is now underway and Kentucky grain farmers will soon decide if and how much wheat they will plant this fall.  Compared to last year there are significant increases in wheat and soybean prices, major increases in all fertilizer prices, and fuel prices that have almost doubled.  The following analysis quantifies these relati

Published on Aug. 30, 2022

For those of you who have gotten past the title, it is not a typo. Yes, the Kentucky burley sector has lost over 70% of its market over the past couple of decades, while the number of farms growing burley in the Commonwealth has dwindled by more than 90%.

Published on Aug. 30, 2022

A producer that works with any type of lending institution may hear their lender use words like liquidity, solvency, and profitability. Their banker may tell them their Term Debt Coverage Ratio is less than 1:1, so the new farm purchase is off the table. A producer may know that their Debt-to-Worth is good or their Current Ratio is bad.

Published on Aug. 9, 2022

USDA’s Livestock Indemnity Program (LIP) is administered by the USDA Farm Service Agency (FSA) and is intended to help compensate producers for greater than normal levels of livestock deaths from adverse weather, disease outbreaks, and predator attacks. The program can also partially compensate producers for lost value resulting from injury.

Published on Aug. 3, 2022

In late July, USDA-NASS released their mid-year estimates of U.S. cattle inventory. As expected, the report showed lower inventory across most all cattle types. All cattle and calves were estimated to be down by just under 2%, while beef cow inventory was estimated down by 2.4%.

Published on Jul. 29, 2022

What do I do with the farm I just bought?  Although this sounds like a question that should be asked before you buy the farm, there may be circumstances that cause you to acquire a farm before deciding what to do with it.  You may decide you want to move your family out of the city to a rural area so you buy a house and a small farm.&n

Published on Jul. 29, 2022

Covid represented a significant shock in 2020 to the U.S.

Published on Jul. 29, 2022

Costs for hay production have skyrocketed in 2022.  Fertilizer is driving the bulk of the overall increase, followed by fuel, and then general cost increases for other categories (what could be considered “general inflation”).  While we can debate the exact causes of all these increases (i.e.

Published on Jul. 29, 2022

Agriculture seems to be on a roller coaster recently with the volatile commodity markets, energy costs, and the tough summer weather.  Looking back over the last ten years, grain farmers have seen a wide range of commodity prices and yields.  There has been much more variance on the income side than the costs per acre.  It is inte

Published on Jun. 30, 2022

IFMA 23, the biannual congress of the International Farm Management Association was held in Copenhagen, Denmark in late June.

Published on Jun. 30, 2022

USDA recently updated their trade forecast for FY 2022  projecting a record-high U.S. ag export level totaling $191 billion, 11% higher than last year’s record high and 35% above the 2016-2020 average.  Gains in U.S.

Published on Jun. 30, 2022

In 2014/15, the U.S. poultry industry experienced one of the most significant animal health emergencies due to high pathogenic avian influenza (HPAI), also known as “bird flu.”  There were 232 confirmed cases in poultry flocks that impacted over 50 million birds during this time.

Published on May. 31, 2022

On March 20, 2022, Governor Andy Beshear signed Senate Bill 121 enacting a streamlined process for eligible farmers to receive a sales tax exemption on eligible purchases.  As this bill was given “emergency” status, the bill became effective upon the Governor’s signature.

Published on May. 31, 2022

Summertime is upon us, and strawberries are filling the refrigerators of many homes in Kentucky. Strawberries, along with blueberries and blackberries, are staple crops in the small fruits business. While small fruits can be labor intensive, they can also be very rewarding.

Published on May. 31, 2022

Desperate times often require desperate actions, and no time seems more desperate than when the needs are great, time is limited, and labor is short. You need help and you need it now! Add the competition from $15-18/hr service sector wages to the mix and the situation seems almost hopeless.

Published on Apr. 28, 2022

With input prices on the increase and so many things changing with our economy, it is important that producers think about how to manage during rising inflation.  There is nothing that we can do to control the prices that we have to pay for products, we can only make sound management decisions about what we purchase and how we manage cash,

Published on Apr. 28, 2022

As new carbon programs continue to become available to row crop farmers across the country, understanding the driving force behind why these programs exist in the first place is key to determining their longevity.  Last year, we provided an overview of carbon markets in the article "

Published on Apr. 28, 2022

Inflation dominates today’s conversation among the media, politicians, and everyone impacted–i.e., all of us as consumers.

Published on Apr. 28, 2022

Our unit, the Community and Economic Development Initiative of Kentucky (CEDIK),  recently updated the 2015 report, The Importance of Agriculture for Kentucky. The report defines the economic impact of the Agricultural sector on the Kentucky economy.

Published on Mar. 31, 2022

Spring is here and grain producers across the state are gearing up for planting.  One of the many decisions producers have to make before planting is in regard to their nutrient management plan.  Broiler litter provides a great opportunity as a complete fertilizer and is being produced and used throughout the state in grain production.

Published on Mar. 31, 2022

Spring is on the horizon in Kentucky. Many specialty crop growers have already begun thinking about which fruits and vegetables to cultivate and the ideal market channels in which to sell. There are many market channels available to producers – an important market channel for both Kentucky and many of our growers is the produce auction.

Published on Mar. 31, 2022

The grain markets had already been climbing before Russia invaded Ukraine on February 24th.  Since then, prices have been on a tear, particularly for wheat and corn.  Current prices for 2022 new-crop delivery are around $6.50/bu for corn, $15/bu for soybeans, and $10/bu for wheat in Kentucky (3/25/22).  This is an increase of arou

Published on Mar. 31, 2022

Driving through the Commonwealth it is clear that spring has arrived and we are seeing signs of pastures growing.  Stocker operators are starting to place calves on pasture, which typically pushes calf prices to their seasonal highs.  As of late March, calf prices have increased by more than $20 per cwt from their lows last fall.

Published on Feb. 28, 2022

The purpose of this article is to examine cow-calf profitability for a spring calving herd that sold weaned calves in the fall of 2021 and provide an estimate of profitability for the upcoming year.  Table 1 summarizes estimated costs for a well-managed spring-calving cowherd for 2021.  Every operation is different, so producers should

Published on Feb. 28, 2022

Fertilizer prices have risen to all-time high levels in the last few months.  Table 1 shows these increases over the last year for the most common commercial fertilizer sources used by cattle farmers.  Nitrogen and potassium fertilizers have both more than doubled over the last year.   

Published on Feb. 28, 2022

The 2022 Kentucky-Tennessee tobacco budgets for burley, dark air-cured, dark fire-cured, cigar wrapper tobaccos are now available for download on our 

Published on Feb. 28, 2022

How important is a new farm bill? That depends on a number of factors like what you grow, where you farm, and what happens during a year to trigger payment to you. What impact have farm bills and other government programs had on Kentucky farms in terms of profitability over the last decade? They appear to have had a considerable effect.

Published on Feb. 22, 2022

USDA-NASS released their January 1, 2022 cattle inventory estimates on January 31st. Beef cow slaughter was significantly higher in 2021, so expectations were for continued contraction of cattle inventory. The USDA report confirmed that and provided some perspective on the magnitude of these decreases.

Published on Feb. 1, 2022

The Internal Revenue Service has announced that certain farms affected by the December 10th severe storms and tornadoes now have until May 16, 2022 to file 2021 returns and pay tax due.

Published on Jan. 28, 2022

The application deadline for farms with existing Exemption Certificates on file with farm suppliers was January 1, 2022. Applications are still being accepted for existing farms.

Published on Jan. 28, 2022

The last few years are unlikely to be remembered fondly by many cattle producers. Large cattle supplies, a global pandemic, weather challenges, and a sharp increase in feed prices have all impacted feeder cattle values. However, 2022 has brought optimism for a significantly better cattle market.

Published on Jan. 28, 2022

Many Certified Kitchens saw a shock to their system and a halting of kitchen rentals and revenue as COVID-19 made its impact.

Published on Jan. 28, 2022

Benchmarking compares your farm’s performance to past performance or to established measures of success. The benchmark is some measure of a goal, or a range of what is desirable and what is not. You do this all the time, comparing this year’s yields to past years or this cow’s performance to others in the herd.

Published on Jan. 28, 2022

Inflation has been headline news for several months and certainly an issue impacting all businesses, industries, and all of us as consumers.  

Published on Nov. 23, 2021

Spring application of broiler litter is ideal for maximizing the economic value but faces challenges that include wet soil conditions, lack of time to spread litter near planting, and availability of litter in the spring.

Published on Nov. 23, 2021

As December 31 approaches, producers should work towards developing a quality balance sheet. Doing so is critical to measure business growth year over year, liquidity, solvency, and borrowing power.

Published on Nov. 23, 2021

Baby Boomers are in the process of transitioning trillions of dollars of assets to Millennials and Gen Zers. This includes farming Baby Boomers. USDA’s Farmland Ownership and Tenure survey indicates that about ten percent of farm assets transition to new owners every five years.

Published on Oct. 28, 2021

COVID-19 has impacted the lives of every resident in the Commonwealth of Kentucky. Many Kentuckians have dealt with school and workplace closures, supply chain malfunctions, and so, so much more over the past two years.

Published on Oct. 28, 2021

There is likely no single item in a farm business cash flow with more uncertainty and more variability than “family living expense.” Farm income and expense items are measured pretty accurately because they will be needed for tax reporting and for borrowing eligibility…two pretty good reasons.

Published on Oct. 28, 2021

There are multiple reasons a farming operation might separate its business into multiple entities.  It might be for transition and estate purposes, liability reasons, tax issues, etc.  Ideally, these kinds of decisions involve input from everyone that is part of the “team.” Meaning owners, the attorney, tax advisor, management, lender,

Published on Oct. 28, 2021

Enterprise budgets are designed to help farmers estimate profitability in the current and future growing seasons, and are also used by lenders and other agricultural-related professionals.  Expected year-to-year changes in profitability can help farmers make decisions related to cropping decisions (e.g.

Published on Sep. 30, 2021

Corn harvest is now underway and Kentucky grain farmers will soon decide if and how much wheat they will plant this fall.  Compared to last year there is a significant increase in wheat and soybean prices, as well as major increases in all fertilizer prices.  The following analysis quantifies these relative changes to estimate the prof

Published on Sep. 30, 2021

Much discussion in the dairy sector last year was focused on the impacts of COVID-19 and the pricing issues that came with it. Mailbox prices in the Appalachian region, which includes Kentucky, typically exceed US All Milk price due to class I differentials and high class I utilization.

Published on Aug. 31, 2021

In discussions with Direct Marketers (including farmers markets, on-farm and roadside markets, as well as Community Supported Agriculture operations) across the state an informal theme that continually arises is the popularity and demand for fresh local fruit, and particularly small fruit like strawberries, blueberries, blackberries, raspberries

Published on Aug. 31, 2021

In extension settings, I am often asked whether I think it pays for a cow-calf operator to castrate bulls and sell steers. Castration is not without cost as it requires time and facilities and does stress calves for a period of time.

Published on Aug. 31, 2021

In today’s farming culture, the goal of most producers is to be at the top of the profitability curve in order to stay competitive. A period of lower commodity prices led to tight margins and producers had to work on being as efficient as possible to maximize returns.

Published on Aug. 16, 2021

Average Kentucky farm real estate values were $4,000/acre as reported in the annual Land Values Summary released by USDA on August 6. This was 2.0% higher than 2020 and the first-time average values have reached $4,000.

Published on Jul. 29, 2021

If you have purchased a sheet of plywood or a 2 X 4 stud from your local lumber yard or box store recently you very likely have noticed that wood product prices have skyrocketed. The demand for wood has been on the increase and the prices for timber and lumber have risen along with the products.

Published on Jul. 28, 2021

The grain markets have been on a tear for the last year and have exceeded just about everyone’s expectations as to where they would be going into the summer of 2021.  Current prices for 2021 fall delivery are near $5.50/bu for corn and $13.50/bu for soybeans in many areas in Kentucky (7/22/21).  This is an increase of around $2/bu and

Published on Jul. 27, 2021

On Friday, July 23rd, USDA-NASS released their mid-year estimates of US cattle inventory. Most all beef-related inventory categories were lower, with all cattle and calves down 1.3% from July 1, 2020. I tend to focus more on beef cow inventory, which was off a little more than 2% from last year.

Published on Jul. 27, 2021

When farmers are evaluating their farm profitability, many times, they will only include their cash expenses and they will ignore a very important component of their true profitability.  It is very important to include non-cash expenses when determining farm profitability.  In this article, we will look at some of these non-cash expens

Published on Jul. 27, 2021

Have you ever pulled your smartphone out and thought, “I sure wish there was an app for that”?  Well, you are not alone.  The development of new mobile apps for just about anything is fast-paced.  Why?  According to comScore, 89% of all mobile minutes are mobile app minutes.  The top two categories for mobile app users a

Published on Jul. 19, 2021

A new Kentucky law requires that farmers apply for an Agriculture Exemption Number to make qualified purchases for the farm exempt from sales tax.

Published on Jun. 29, 2021

Many producers that have both farm and non-farm income, may question if the IRS considers their farming activities to be a “business” or a “hobby”.  This is a very important distinction to both the farmer and the IRS due to the IRS treatment of business income versus “hobby” income.

Published on Jun. 29, 2021

Farmers manage crops and cattle, machinery and marketing, land and labor. That last one may be the most difficult. People are the most important resource in a farm business. Nothing productive happens unless people are doing something with the crops, cattle, machinery, marketing, and land.

Published on May. 28, 2021

You may have been reading in the news lately about proposed changes to various tax laws and their impact on farmers.

Published on May. 28, 2021

An effort to rely on renewable resources instead of nonrenewable has the potential to meet the increased global demand for electricity. Both solar and wind energy have the potential to offset a significant fraction of non-renewable electricity demands, yet it occupies extensive land when deployed at levels large enough to meet global demand.

Published on May. 28, 2021

I've been waiting patiently for the inevitable to happen — for the word “hay” to morph into the word “haye,” or something similar.

Published on May. 28, 2021

Food price inflation continues to be headline news as the food system adjusts from the lingering effects of COVID-19 amidst tight labor/ag supplies, a resurgence in the U.S. economy, and a host of other factors discussed below.

Published on May. 12, 2021

Farmers and agribusinesses closely monitor changes in commodity and input prices, crop yields, rates of gains on livestock, the latest technology, and of course, the weather. However, changes in macroeconomic variables such as interest rates, inflation, income growth, and exchange rates, often have a much greater impact on their bottom line.

Published on Apr. 29, 2021

A Fall 2020 national survey conducted by the Farmers Market Coalition of farmers market managers starts to provide a glimpse into some of the winners and losers in farmers markets across the country.  Farmers markets have been important venues for small vendors and localized food systems, often providing a diversity of kinds of vendors part

Published on Apr. 29, 2021

The development of agricultural ecosystem credit markets, specifically carbon markets, is a hot topic in the popular press and Washington, DC.  The United States Environmental Protection Agency (EPA) estimates that 10% of carbon dioxide, a primary greenhouse gas, is emitted by the agricultural sector.  While this is relatively a small

Published on Apr. 29, 2021

Extra help is often needed around the farm.  It can be easy to get someone to come help out when needed and pay them at the end of the day for the job completed.  What gets difficult is knowing the difference between contract labor and an employee.  A lot of the time, this distinction between contractor or employee may not come up

Published on Apr. 1, 2021

We have smartphone apps for everything these days, including apps for farmers and producers in areas such as marketing, management, policy, agribusiness, and economic development. This publication provides an overview of apps designed to aid in these areas, which topics they cover, and their availability via Apple or Google smartphones.

Published on Mar. 30, 2021

Engaging in production agriculture is a risky profession, even for mature markets, such as corn and poultry, much less one that lacks the market transparency of hemp.

Published on Mar. 30, 2021

On March 24th, U.S.

Published on Mar. 30, 2021

Spring is here and grain producers across the state are gearing up for planting.  One of the many decisions producers have to make before planting is in regard to their nutrient management plan.  Broiler litter provides a great opportunity as a complete fertilizer and is being produced and used throughout the state in grain production.

Published on Mar. 28, 2021

After a tough couple weeks in February, it is looking a lot more like spring in Kentucky. Spring means stocker operators are looking to place calves on pasture for summer and is the time of year when we typically see our seasonal highs in the calf market.

Published on Feb. 25, 2021

The 2021 burley and dark tobacco budgets can be accessed at https://agecon.ca.uky.edu/budgets#Tobacco. These budgets are developed by Alan Galloway, University of Tennessee (UT), Bob Pearce, Andy Bailey, and Will Snell, from the University of Kentucky (UK).

Published on Feb. 25, 2021

Starting in 2018, grain farmers have had the ability to decide on a yearly basis between the ARC and PLC Farm Bill programs.  The decision needs to be made for each base-acre crop type (corn, soybeans, wheat) on each FSA farm.  You can choose PLC for one crop type, and ARC for another crop type on the same farm.

Published on Feb. 25, 2021

The Economic Aid Act reauthorized the Small Business Administration (SBA) Paycheck Protection Program (PPP) through March 31. On January 19, 2021, SBA issued Interim Final Rules concerning forgiveness and review of first and second draw loans made under PPP.

Published on Feb. 25, 2021

The purpose of this article is to examine cow-calf profitability for a spring calving herd that sold weaned calves in the fall of 2020 and provide an estimate of profitability for the upcoming year.  Table 1 summarizes estimated costs for a well-managed spring-calving cowherd for 2020.  Every operation is different, so producers should

Published on Feb. 2, 2021

USDA-NASS released their January 1, 2021 cattle inventory estimates on the afternoon of Friday, January 29th. The U.S. beef cow herd was estimated to be down by 0.6%, which was a smaller decrease than most had expected.

Published on Feb. 1, 2021

Cattlemen in Kentucky have an opportunity to participate in the most rigorous educational programming in the United States.

Published on Jan. 28, 2021

According to the Kentucky Department of Agriculture, Kentucky started 2020 with 32,000 approved acres of hemp.

Published on Jan. 28, 2021

The 2014 Farm Bill developed two programs to provide income support for specified row crops.  -- the Agricultural Risk Coverage (ARC) and the Price Loss Coverage (PLC) programs.  These risk management programs were reauthorized in the 2018 Farm Bill with slight modifications and remain in effect for the 2019-2023 crop years.

Published on Jan. 28, 2021

The latest COVID-19 stimulus package (Consolidated Appropriations Act of 2021) contains more funding for U.S. agriculture. Last year, U.S. farmers received an estimated $46 billion of direct federal funding, accounting for nearly 40% of projected U.S.

Published on Jan. 20, 2021

The Economic Aid Act reauthorized the Small Business Administration (SBA) Paycheck Protection Program (PPP) through March 31 and made several modifications beneficial to farmers. It also authorizes second draw PPP loans. The application deadline has been extended to May 31.

Published on Jan. 19, 2021

USDA announced on this past Friday that additional Coronavirus Food Assistance Program (CFAP) payments (labeled CFAP 2.1) will be made for certain producers using leftover funds from the first two rounds of CFAP.

Published on Jan. 7, 2021

Depreciation can often become an overlooked area for a farming operation. Yet, it plays a major role in both taxes and profitability.  A possible reason could be that when most people hear depreciation, they jump directly to tax depreciation.

Published on Jan. 6, 2021

Cantaloupe, watermelons and pumpkins have been important crops for Kentucky, especially moving through the auctions.  These commodities clicked on all cylinders during 2020 in the context of the pandemic.  Some of the opportunities related to strong short-term prices associated with the strong demand for local products.  Good grow

Published on Nov. 25, 2020

We recognize that no one plants a crop with expectations of having to destroy the crop. However, the risk of producing a hemp crop that is non-compliant is a real risk and has a genuine cost associated. As hemp genetics evolve, the risk of destruction will dissipate.

Published on Nov. 25, 2020

Despite all the events of 2020, the tax law changes were minimal.

Published on Nov. 25, 2020

Spring application of broiler litter is ideal for maximizing the economic value, but faces challenges that include wet soil conditions, lack of time to spread litter near planting, and availability of litter in the spring.

Published on Nov. 25, 2020

2020 has been a stressful year. That sentence is a serious contender for Understatement of the Year. Pandemics, politics, and paradigm shifts have provided no shortage of stressful situations. Lives, families, jobs, schools, commerce, and social lives have all been disrupted.

Published on Oct. 29, 2020

When it comes to dairy policy, the headliner from the 2018 farm bill was the Dairy Margin Coverage (DMC) program, which replaced the Margin Protection Program (MPP) from the 2014 farm bill. Another change got much less attention, but has turned out to be extremely impactful over the last several months.

Published on Oct. 29, 2020

When it comes to paying employees, agriculture producers have a unique flexibility in compensation options that is not available to all employers. Commodity wages are a way to compensate employees without the obligation of many payroll taxes.

Published on Oct. 29, 2020

Family members provide about two-thirds of the workers on U.S. farms, but the remaining one-third consists of 1.18 million hired workers. While not an insignificant number, the 1.18 million farmworkers represent less than one percent of the total U.S. wage and salary workers.

Published on Oct. 29, 2020

Trade continues to be a hot discussion item, impacting ag markets and certainly being a part of the political debate heading into the November elections. We constantly hear about the relatively large trade deficit that the U.S.

Published on Sep. 28, 2020

Planting season is right around the corner for those in Kentucky growing winter wheat this year.  Are you thinking about adjusting management practices by increasing seeding rates or adding phosphorus in anticipation of increased yields?

Published on Sep. 28, 2020

USDA Agricultural Marketing Service (AMS), along with the cooperating research team led by the University of Kentucky’s Dr. Tim Woods, Dr. Lilian Brislen, and Dr. Jairus Rossi, seeks to enrich existing efforts within local and regional food systems (LRFS) communities of practice who provide essential support to our nation’s producers.

Published on Sep. 28, 2020

Beautiful early-fall conditions are resulting in another early corn harvest this year, and Kentucky grain farmers will soon decide if and how much wheat they will plant this fall.  Compared to last year, there is a significant increase in wheat prices and a slight increase in soybean prices.  These changes will make planting wheat more

Published on Sep. 23, 2020

USDA has announced a second round of Coronavirus Food Assistance Program (CFAP) payments for farmers impacted by COVID-19.

Published on Sep. 22, 2020

Farming operations come in all different shapes and sizes.  This means their need for employees is also different.  A small farm may not need to hire any employees, but a bigger farm may need to hire full-time and/or part-time employees.  When a farmer decides to hire an employee, there are several steps they need to take to make

Published on Sep. 1, 2020

An effort to rely on renewable resources instead of nonrenewable has the potential to meet the increased global demand for electricity. Both solar and wind energy have the potential to offset a significant fraction of non-renewable electricity demands, yet it occupies extensive land when deployed at levels large enough to meet global demand.

Published on Aug. 25, 2020

Agricultural government payments were created to help provide financial stability for farms and farmers. In recent years they have become a substantial support to ailing farm income. Background

Published on Aug. 25, 2020

Most people are familiar with the age-old question, which came first, the chicken or the egg?  During a nationwide pandemic, which left the grocery shelf first, the chicken or the egg?  While consumers across the country began "panic buying" during the onset of COVID-19, all protein sources were limited.  The food industry's just-

Published on Aug. 25, 2020

With all of the uncertainties we face in agriculture today, it is important to manage risk. We can’t control the markets, the weather, or the dangers of working in agriculture, but there are tools that can help manage those risks.  Insurance is one of the tools that can be used in various manners.

Published on Aug. 13, 2020

The 2020 Land Values Summary was released by USDA on Thursday, August 6. This annual report indicates the average value of all land and buildings on farms in the US, and by state and region. Three categories are measured: Farm Real Estate Value, Cropland Value, and Pasture value.

Published on Aug. 11, 2020

In late July, USDA-NASS released their mid-year estimates of U.S.

Published on Jul. 28, 2020

It is difficult to determine how much of the hardwood log and lumber pricing decline is related to the COVID situation or even the trade war with China.

Published on Jul. 28, 2020

Crop insurance was authorized by Congress in the 1930s on an experimental basis to insure against crop loss from “unavoidable perils beyond the farmer's control.” It was made permanent with the passage of the Federal Crop Insurance Act of 1980.

Published on Jul. 28, 2020

Like all agricultural businesses operating in the midst of the challenges posed by the 2020 COVID-19 pandemic, produce auctions have had to make some adaptations to comply with social distancing and other recommendations and mandates.

Published on Jul. 28, 2020

It is difficult to determine how much of the hardwood log and lumber pricing decline is related to the COVID situation or even the trade war with China.

Published on Jul. 28, 2020

In May 2019, I was on a farm visit east of Lexington with a few county agents and NRCS specialists.  Our goal was to help a cattle farmer who had about five years of experience come up with a long-run plan for improved infrastructure (water, fencing, etc.) as well as guide him in the short-run to improve the profitability of the farm. 

Published on Jul. 28, 2020

When facing hard financial times, like the ones we are currently facing, it is very easy to sit back and let the cards fall and hope that they are in your favor. This approach is very risky and most of the time will not end the favor of the one being reactive to the situation.

Published on Jun. 29, 2020

From my perspective, the headline for the cattle market would have to be about the ramp-up of slaughter.  At its lowest point this spring, federally inspected cattle slaughter was running 35% below 2019 levels.  Last week, federally inspected cattle slaughter was within 2% of 2019 levels and within 4% of the weekly peak in late March o

Published on Jun. 29, 2020

The Paycheck Protection Program (PPP) administered through the Small Business Association (SBA) continues to evolve and there are some noteworthy updates that have occurred during the past few weeks. As you may recall, the Paycheck Protection Program Flexibility Act was signed into law on June 5th.

Published on Jun. 29, 2020

The media has provided a lot of news stories of late on the impact of COVID-19 on the prices we are paying for food. A major disruption in our food supply chain coupled with an initial surge of panic buying by consumers would suggest that food prices would increase. But how much extra are we paying to feed our families?

Published on Jun. 29, 2020

The pandemic has disrupted almost every phase of our lives. One of the most visible has been the workplace. Layoffs, furloughs, shutdowns, working remotely, social distancing and public health considerations have permanently changed the way we work.

Published on Jun. 29, 2020

The Coronavirus has had major impacts to the beef supply, as well as other meats in this country since mid-March.  Short-term demand for beef has increased, but major bottlenecks in processing have limited supply and have generally had negative impacts on the conventional beef industry.  Unlike the conventional beef segment, Kentucky b

Published on May. 27, 2020

It has been comforting and exciting to see the resiliency shown by Kentucky specialty crop producers this spring during the COVID-19 pandemic. Here, unlike other states, all specialty crop operations were considered essential businesses and therefore able to continue to provide valuable products and services to consumers.

Published on May. 27, 2020

Several weeks ago, Congress passed the CARES Act, which included legislation to provide loans to small businesses.  One of the loans administered through the Small Business Administration (SBA) became commonly referred to as PPP loans, or Paycheck Protection Program.  According to the SBA, the PPP loan “is designed to provide a direct

Published on May. 27, 2020

USDA has announced details of the Coronavirus Food Assistance Program (CFAP)  designed to compensate farmers who have suffered losses due to COVID-19.

Published on Apr. 1, 2020

With 95% of the world’s population residing outside of the United States, coupled with around 20% of U.S. farm production (or 1/3 of ag cash receipts) being purchased by foreign consumers, agricultural trade is a critical component of the U.S. farm economy.

Published on Apr. 1, 2019

Farmers have been facing many financial stress issues related to commodity prices and the overall farm economy.

Published on Jan. 1, 2019

The 2018 Farm Bill was passed by Congress and signed by the President last month. In reality, the structure of the 2018 Farm Bill is not much different than the previous farm bill (2014) with crop insurance, Agricultural Risk Coverage (ARC) and Price Loss Coverage (PLC) remaining the main safety net components for program crops.

Published on Feb. 1, 2018

In 2018 Agriculture and Natural Resource (ANR) agents were surveyed to estimate land values and rental rates for various types of farmland.  A total of 70 ANR agents completed this survey out of 120 counties, representing approximately 60% of the state total.

Published on Dec. 1, 2017

This collection of papers is the result of efforts by a group of Extension economists across the South.  The genesis for these educational programs began where all good extension education programs begin: the needs of farmers and ranchers in the region.  Booms and busts in the agricultural economy are not new.

Published on Sep. 1, 2017

Milk is a heavily regulated commodity, and therefore there are a large number of rules that pertain to its production and processing. These regulations are enforced within regional boundaries called federal milk marketing orders.

Published on Sep. 1, 2017

Weather risk plays a unique role and influences many decisions made on the farm. Weather determines when you can get into the field and your ability to perform timely operations such as planting, fertilizing, spraying, and harvesting. Delays from weather events of time-sensitive operations will result in substantial yield and economic losses.

Published on Sep. 1, 2017

The regulation of milk is an important part of the development of the milk industry and an understanding of the history of milk regulation is critical to understanding the pros and cons of the current industry. Additionally, to understand milk pricing it is important to understand the history of the federal milk marketing orders.

Published on Sep. 1, 2016

While transporting grain to the market may be the last input cost in the production of grain, it is a critical decision a producer has to make, especially when margins are thin. Determining which market to sell your grain (if you have options) can be a complex decision.

Published on Jul. 1, 2016

A custom Google Map has been created to include the 80+ locations of grain and oilseed markets across Kentucky and into Tennessee and Ohio.  Author(s) Contact Information: 

Published on Nov. 1, 2015

Beef cattle were routinely finished locally in Kentucky and other parts of the upper south before the 1950s, primarily on pasture with some grain or by-products from distilleries and grain processing mills.

Published on Jul. 30, 2015

The winter of 2014-2015 will be remembered for a long time by cattle producers.  Multiple large snow storms and several rounds of extremely low temperatures created management challenges and led to increased hay feeding over the winter.

Published on Aug. 28, 2014

Corn silage has historically been an attractive alternative for livestock producers when grain prices are relatively low (pre-2006).  Corn prices have been extremely high in the last half-dozen years and as a consequence, provided fewer opportunities for profitably feeding silage for beef cattle.

Published on Mar. 1, 2014

After several years of debate, extensions and much uncertainty the 2014 Farm Bill --- The Agricultural Act of 2014 was signed into law by President Obama on February 7, 2014 which establishes nutrition, commodity, crop insurance, conservation, and other ag/food programs for next five years (2014-2018).

Published on Aug. 1, 2013

Futures markets are used by cattle producers in three ways.  First, the futures market is an excellent source of price information.  It responds very quickly to information that affects supply and demand in the marketplace and can be used as a rough gauge as to what is going on in these markets.

Published on Mar. 1, 2013

Price volatility in feeder cattle markets has greatly increased over the last several years.  While there are many reasons for the increase in price volatility, some of the more common factors include volatility in grain and fed cattle prices, variability in weather, and an increased dependence on exports.

Published on Feb. 1, 2013

Price volatility in feeder cattle markets has greatly increased since 2007.  While there are many reasons for the increase in price volatility, some of the more common factors include volatility in grain and fed cattle prices, variability in weather, and an increased dependence on exports.

Published on Aug. 1, 2000

This publication is designed to help producers evaluate new enterprises for their farms or family businesses. It is based on a set of worksheets to help evaluate the Profitability, Resource requirements, Information needs, Marketing decisions, Enthusiasm for, and the Risk associated with a new enterprise.