USDA Outlook for the 2012 U.S. Farm Economy (PowerPoint)

Agriculture’s strong financial performance is projected to ease in 2012, with declines for all three measures of sector earnings. •Net farm income is forecast to fall to $91.7 billion in 2012, down 6.5 percent from the 2011 forecast, but still the second highest nominal value on record. •Increases in receipts for corn, most other feed grains, and peanuts are predicted to offset declines in wheat, hay, vegetables and melons, fruits and tree nuts. •Cattle/calves and broilers are forecast up over 3 percent. •Total expenses are projected to increase $12.5 billion (3.9 percent). •Farm asset values are likely to increase by more than 5 percent for the third consecutive year. Debt is expected to rise 3.8 percent. The inflation-adjusted value of the farm sector’s equity is expected to establish a new record high