Farm loan delinquencies greatest in 9 years as costs slump

Farm loan delinquencies greatest in 9 years as costs slump

WICHITA, Kan. (AP) — The nation’s farmers are struggling to pay for right straight back loans after several years of low crop rates and a backlash from foreign purchasers over President Donald Trump’s tariffs, with a key federal government program showing the best standard price in at the least nine years.

Numerous agricultural loans come due around Jan. 1, in part to provide manufacturers time that is enough sell plants and livestock also to let them have more flexibility in timing interest re re payments for income tax filing purposes.

“It is starting to be a serious situation nationwide at minimum into the grain crops — those who create corn, soybeans, wheat,” said Allen Featherstone, mind of this Department of Agricultural Economics at Kansas State University.

Although the authorities shutdown delayed reporting, January numbers reveal a standard boost in delinquencies for all manufacturers with direct loans from the Agriculture Department’s Farm provider Agency.

Nationwide, 19.4 percent of FSA direct loans were delinquent in January, when compared with 16.5 % when it comes to exact same month a 12 months ago, said David Schemm, executive manager for the Farm Service Agency in Kansas. The agency’s January delinquency rate hit a high of 18.8 percent in 2011 and fell to a low of 16.1 percent when crop prices were significantly better in 2015 during the past nine years. Continue reading “Farm loan delinquencies greatest in 9 years as costs slump”