Farm income supports have been a substantial part of farm income over the past few years, peaking with the massive COVID-19 relief payments made in 2020 in response to market disruptions and losses amid the pandemic. However, commodity price increases since late summer 2020 have substantially improved the bottom line for producers leading to potential record income levels in 2021 even as government payments quickly decline. But, the question remains as to the road ahead and whether higher prices will last or whether they will stay ahead of rising input costs.

UNL Extension Policy Specialist Brad Lubben and Pat Westhoff, the director of the Food and Agricultural Policy Research Institute at the University of Missouri, recently reviewed current farm payment and farm income prospects as well as the outlook for commodities, farm expenses and farm financial conditions during a Center for Agricultural Profitability webinar.

Watch the webinar