News

Three features this week on non-traditional agricultural financing, and its rising prominence in the agricultural lending field.

1) K-State risk management specialist Jenny Ifft and Purdue University agricultural economist Brady Brewer talk about the various sources of non-traditional financing and the degree to which they're claiming a greater share of the agriculture credit market.

2) Based on a series of studies recently conducted by a team of agricultural economists from several leading land-grant universities, K-State risk management specialist Jenny Ifft is joined by agricultural economists Brady Brewer of Purdue and Brian Briggeman of K-State for a look at the likely impact of current economic inflation and rising interest rates on the supply and demand for non-traditional farm loans.

3) The final segment of this week's series on the growth in non-traditional agricultural financing, based on a new report put together by a team of land-grant university agricultural economists:  this time, K-State's Jenny Ifft is joined by Bruce Ahrendsen of the University of Arkansas, as he outlines his study of how non-traditional finance relates to USDA farm loan defaults...and Will Secor of the University of Georgia shares his research on where non-traditional creditors land in the pecking order when it comes to debt repayments in Chapter 12 farm bankruptcy cases.

K-State farm management economist Gregg Ibendahl discusses his new analysis of debt trends on Kansas farms, based on over 45 years of Kansas Farm Management Association data. He compared debt-to-asset ratios over those years to the most recent ratio as an indicator of farm solvency, saying that while most farmers are in good shape right now, any major downturn in farm asset values could quickly become problematic for producers.

00:01:00 – Information on the Prevent Plant Option for Row Crops: Agricultural economist Robin Reid and crop production specialist Lucas Haag of K-State discuss considerations for taking the "prevent plant" option for row crops under crop insurance coverage because of ongoing drought: they talk about the agronomic factors to be weighed, and compare the economics of exercising this option to those of going ahead and planting the crop with the prospect of high market prices ahead.

00:12:00 – K-State Has a Spreadsheet for Running the Numbers on the Prevent Plant Option: Agricultural economist Robin Reid and crop production specialist Lucas Haag of K-State discuss a special K-State spreadsheet producers can use to work up the numbers for their specific crop production situation.

K-State farm management economist Gregg Ibendahl talks about the revision that he has made to his forecast on final Kansas net farm income for 2021, as well as his NFI projection for 2022...both have been adjusted upward because of substantial developments in the grain markets since he first forecasted those numbers back in January.

The senior economist with the IGP Institute at K-State, Guy Allen, provides his monthly update on trends in the international grain markets:  he centers his comments on China's consistent purchases of U.S corn and soybeans, and how the war on Ukraine continues to influence international wheat trade.

From the Kansas Farm Management Association at K-State, Chelsea Plummer and Tressie Mitzner offer recommendations to producers about farm and ranch recordkeeping...in working with KFMA members, they've encountered a few situations where inadequate records led to financial management and tax reporting complications...this was the subject on the latest edition of a new KFMA podcast series.

The director of the new Office for Farm and Ranch Transition at K-State, Ashlee Westerhold, talks about the three-fold mission of that office in assisting farm and ranch families in succession planning, and in the case of producers with no heirs to take the operation over, helping them make connections with prospective young farmers willing to take it on. 

K-State risk management economist Jenny Ifft continues her series on price risk management for cow-calf operations, looking more closely at implementing Livestock Risk Protection insurance, and some of the unique aspects of enrolling in that coverage.