2013 USDA farm production expenditure highlights
SIOUX FALLS – Farm and Ranch Production Expenditures for the Plains Region totaled $87.6 billion in 2013, down from $89.0 billion in 2012, according to USDA’s National Agricultural Statistics Service. The Plains Region includes North Dakota, South Dakota, Nebraska, Kansas, Oklahoma, and Texas.
These results are based on data from farmers and ranchers who participated in the Agricultural Resource Management Study conducted by USDA’s National Agricultural Statistics Service. Producers were contacted in January through April to collect 2013 farm and ranch expenses.
According to the latest USDA National Agricultural Statistics Service Farm Production Expenditures Annual Summary report, Minnesota farm production expenditures totaled $19.1 billion in 2013. This is 3.6 percent above the 2012 total expenditures. Feed expense, which rose 28.4 percent to $2.98 billion, represented the largest single production expense for Minnesota farmers in 2013, accounting for 15.6 percent of the total. Rent payments were the second largest expense, totaling $2.33 billion and 12.2 percent of the total. This is up 13.1 percent from 2012. The largest percentage increases were for feed expense, farm improvements (up 16.3 percent), and rent expense.
According to the latest USDA National Agricultural Statistics Service Farm Production Expenditures Annual Summary report, Iowa farm production expenditures totaled $29.8 billion in 2013. This is 2.9 percent above the 2012 total expenditures. Feed expense, which rose 2.2 percent to $5.05 billion, represented the largest single production expense for Iowa farmers in 2013, accounting for 16.9 percent of the total. Livestock and Poultry purchase expense was the second largest expense, totaling $4.53 billion and 15.2 percent of the total. This is up 13.5 percent from 2012. Rent expense rose 4.3 percent to $4.11 billion, and accounted for 13.8 percent of the total. The largest percentage increases were for Miscellaneous Capital expenses (up 20 percent), Livestock and Poultry purchases, and Fuels (up 10.8 percent).
Farm Production Expenditures in the United States are estimated at $367.3 billion for 2013, up from $360.1 billion in 2012. The 2013 Total farm production expenditures are up 2.0 percent compared with 2012 Total farm production expenditures. Nearly all expenditure items increased from the previous year. The 2012 revised estimate is up from last year’s estimate by $8.3 billion due to revised 2012 Census farm numbers.
The four largest expenditures at the United States level total $167.6 billion and account for 45.6 percent of Total expenditures in 2013. These include Feed, 17.0 percent, Farm services, 10.6 percent, Livestock, poultry and related expenses, 9.3 percent, and Labor, 8.7 percent.
In 2013, the United States Total farm expenditure average per farm is $175,270 compared with $171,309 in 2012, up 2.3 percent. On average, United States farm operations spent $29,779 on Feed, $18,612 on Farm services, $16,321 on Livestock, poultry and related expenses, and $15,271 on Labor. For 2012, United States farms spent an average of $28,781 on Feed, $19,552 on Farm services, $15,937 on Livestock, poultry and related expenses, and $15,128 on Labor.
Total Fuel expense is $16.4 billion. Diesel, the largest sub-component, is $10.9 billion, accounting for 66.5 percent. Diesel expenditures are up 4.8 percent from the previous year. Gasoline is $3.0 billion, down 3.2 percent. LP gas is $1.8 billion, up 25.7 percent. Other fuel is $740 million, up 5.7 percent.
The United States Economic Sales Class contributing most to the 2013 United States Total expenditures is the $1,000,000 – $4,999,999 class with expenses of $132.1 billion (36.0 percent of the United States total), up 4.1 percent from the 2012 level of $127.0 billion. The $5,000,000 and Over class follows it with $79.0 billion, up from $74.0 billion in 2012.
In 2013, Crop farms expenditures increased to $206.7 billion, up 0.9 percent, while Livestock farms expenditures increased to $160.6 billion, up 3.4 percent. The largest expenditures for Crop farms are Rent at $26.4 billion (12.8 percent of total), Fertilizer, lime and soil conditioners at $23.8 billion, (11.5 percent), and Farm services at $23.5 billion (11.4 percent). Combined crop inputs (chemicals, fertilizers, and seeds) are $56.1 billion, accounting for 27.1 percent of Crop farms total expenses. The largest expenditures for Livestock farms are Feed at $55.7 billion (34.7 percent), Livestock, poultry and related expenses, at $28.8 billion (17.9 percent), and Farm services at $15.5 billion (9.7 percent). Together, these line items account for 62.3 percent of Livestock farms Total expenses. The average Total expenditure for a Crop farm is $211,659 compared to $143,521 per Livestock farm.
The Midwest region contributes the most to United States Total expenditures with expenses of $118.5 billion (32.3 percent of total), up from $114.8 billion in 2012. The other regions, ranked by Total expenditures, are Plains at $87.6 billion (23.9 percent), West at $76.9 billion (21.0 percent), Atlantic at $45.5 billion (12.4 percent), and South at $38.8 billion (10.6 percent). The Midwest increased $3.7 billion from 2012, which is the largest regional increase in dollars.
The sum of Total expenditures for the 15 Estimate States is $238.5 billion in 2013 (64.9 percent of the United States Total expenditures) and $234.0 billion in 2012 (65.0 percent). California contributes most to the 2013 United States Total expenditures with expenses of $36.6 billion (10.0 percent). California expenditures are up 8.6 percent from the 2012 estimate of $33.7 billion. Iowa, the next leading state, has $29.8 billion in expenses (8.1 percent). Other states with more than $20 billion in Total Expenditures are Texas with $24.2 billion and Nebraska with $20.3 billion.