Losses Expected for Minnesota Corn Farmers with Prices Down
ST. JAMES (AP) - Most Minnesota corn farmers are expected to lose money this year as prices for the cash crop have sunk.
Bushels of corn went for as high as $8 apiece several years ago. But David Bau with the University of Minnesota Extension says that price is now below $4.
Farmers could try to trim costs by negotiating lower land rents, but a University of Minnesota study showed median farmland prices rose 5 percent over the previous year as of September.
John Bhend, an agriculture business banker, says most farmers will likely survive the year's lower corn prices, relying on extra cash earned during a run of big profits that ended in 2012.