For the first time in five years, the United States Department of Agriculture forecasts national net farm income will fall nearly 23% in 2023, coming down from a record high in 2022.
Net farm income, defined by the USDA as “a broad measure of profits,” has risen each of the past five years, but will come down $41.7 billion in 2023 to $141.3 billion in 2023.
That’s a 22.8% decline from 2022’s record of $183 billion.
The forecast projects farm cash receipts will fall 4.3% overall to $513.6 billion while expenses have risen 6.9% to reach $458 billion.
Government payments are forecast to fall $2.9 billion, or 19%, as well.
The report comes out as Congress is expected to draft a new farm bill this fall.