A bright spotlight has been thrown on the US agricultural sector in 2023, as the value of US farmland sees a considerable rise. The yearly Agricultural Land Values report by the USDA's National Agricultural Statistics Service (NASS) states that the total value of all land and farm buildings, known as the US farm real estate value, has increased by 7.4 percent. This takes the average to $4,080 per acre.
The news gets even better for cropland. The value of US cropland has soared by 8.1 percent, taking the average to a commendable $5,460 per acre. This represents an increase of $410 per acre compared to last year's figures. Pastureland also experienced an upswing, with the value reaching $1,760 per acre - a 6.7 percent rise from 2022.
The NASS report provides an interesting glimpse into state-specific developments too. In Iowa, both non-irrigated and irrigated cropland rent per acre saw an upswing, standing at $269 and $271 respectively. The scenario was similar in Minnesota, where non-irrigated and irrigated cropland rent per acre rose to $198 and $215 respectively.
However, it wasn't just the rent that climbed - the value of the land itself shot up. In Iowa, the value of cropland climbed to $10,100 per acre and the value of pastureland rose to $3,400 per acre. In Minnesota, the corresponding figures were $6,820 and $2,100 per acre.
Nebraska was not left out of this upward trend. The state saw its cropland value rise by a significant 14 percent from the previous year, hitting $6,830 per acre. Rent for irrigated cropland, dryland cropland, and pasture also increased.
This year's report highlights how well US farming is doing. Even though there are many hurdles, the value of farming land keeps going up, showing that this industry is tough and keeps bouncing back.
Source : wisconsinagconnection