A new forecast by Farmers National Company predicts cash rental rates for 2019 will stay the same as this year. SDSU Extension Risk Business Management Specialist Matt DIersen says if that occurs that will put more economic pressure on farmers.
The good news for producers may be large yields expected this year from a perceived record crop. Diersen says that will help in the near term.
He says however more economic pressure will likely hit corn and soybean farmers, but be more positive for wheat.
The other thing farmers are looking at in some states are increasing property tax rates that put pressure on maintaining rental rates.