Friday March 14 Ag News

UNL REPORT: NEBRASKA AG LAND VALUES DECLINE AS FARM FINANCES TIGHTEN

Nebraska’s agricultural land values decreased by 2% in the past year, with an average value of $3,935 per acre as of Feb. 1, according to preliminary findings of the University of Nebraska–Lincoln’s 2024-25 Farm Real Estate Market Survey.

This is the first decline in the non-inflation-adjusted market value of Nebraska agricultural land in six years and follows a record high of $4,015 per acre in 2024.

The survey’s preliminary report was published March 12 by the university’s Center for Agricultural Profitability, based in the Department of Agricultural Economics. It provides current estimates of agricultural land values and cash rental rates, broken down regionally across a variety of land types and classes.

By Region of Nebraska
Northeast - $8305/acre - down 3%
East - $9435/acre - down 3%
Southeast - $7170/acre - down 2%
North - $1545/acre - down 1%
Central - $4340/acre - down 2%
South - $4990/acre - down 1%
Southwest - $2045/acre - down 1%
Northwest - $965/acre - up 1%

Industry professionals who responded to this year’s survey attributed the decline in land values to current crop prices, interest rate levels and farm input costs, said Jim Jansen, an Extension agricultural economist who leads the survey and report.

“High interest rates and lower crop prices have tightened farm finances, leading to cautious land and equipment investments,” Jansen said. “With borrowing costs at multi-decade highs, land markets have slowed as producers navigate these financial pressures.”

Net farm income in Nebraska decreased by about 17% in 2024, to $7.69 billion. Lower corn and soybean prices reduced crop receipts in the state by about $1.59 billion but were partially offset by higher cattle and calf prices. Jansen said those differences between crop and livestock profitability were reflected in the market value of the land classes that serve each industry.

The report found that the market value of center pivot irrigated cropland averaged 4% lower across the state in the past year, while gravity irrigated land was down 5%. Dryland cropland with no irrigation potential decreased by 2% and dryland cropland with irrigation potential dropped 3%. Average grazing land and hayland values increased by between 1% and 5% across Nebraska.

Average cash rental rates in Nebraska for the upcoming growing season have followed a similar trend, with dryland and irrigated cropland down between 1% and 7%. However, rental rates for pasture and cow-calf pairs increased by about 3% to 4% compared to the previous grazing season.

“Rental rates for cropland generally trended lower in the survey responses, as crop prices declined and input costs remained relatively high, pressuring margins,” Jansen said. “In contrast, grazing land and pasture rental rates saw increases, reflecting the strength in the cattle market and adjustments in national livestock inventories.”

According to the report, net farm income in Nebraska is forecast to decline again in 2025 due to ongoing crop prices and input expenses. Lenders have also noted that the tightening of financials for many farm and ranch operations in the region means lower income and liquidity positions for those businesses. Despite those pressures, Jansen said Nebraska’s agricultural real estate remains a key asset for producers and understanding market trends and management choices will be critical.

“In volatile markets, staying informed about land and commodity trends is essential in making informed decisions,” he said. “Lease adjustments for crop price fluctuations, production costs and water availability can help ensure fair agreements for both landlords and tenants navigating uncertainty.”

The Nebraska Farm Real Estate Report is available on the Center for Agricultural Profitability’s website, https://cap.unl.edu/realestate. Two webinars covering new land values and cash rental rates, along with other topics relevant to agricultural landowners and tenants, will be March 25 and 27. Registration is free on the webpage above.

The report is the product of an annual survey of land professionals, including appraisers, farm and ranch managers, and agricultural bankers. Results from the survey are divided by land class and agricultural statistic district. Land values and rental rates presented in the report are averages of survey participants’ responses by district. Actual land values and rental rates may vary depending on the quality of the parcel and local market for an area. Preliminary land values and rental rates are subject to change as additional surveys are returned. The final version of the report will be published in July.



Platte Valley Cattlemen to meet on Monday

The Platte Valley Cattlemen will host their annual Feedlot Meeting on Monday March 17 at Tavern 1888 in Lindsay.  Social hour starts at 6pm sponsored by Clay Hills Ag, and the meal starts at 7pm sponsored by Merck.  Speakers for the evening will be Austin Woltemath and Clint Lambrecht from Merck... they will be presenting on SenceHub Feedlot.



Drought again?
Alfredo DiCostanzo, Nebraska Beef Systems Extension Educator

As we enter spring of 2025, the prospects for drought are difficult to ignore.

The US drought monitor forecasts hot and dry conditions for late spring and well into summer. Readers may be wondering what is going on with this “persistent” drought.

The US drought monitor has a robust dataset that permits evaluation of climate trends. The website offers the opportunity to study future trends while learning from past events. The user even has the option to customize the area in review down to a state level.

It is apparent that there is a cyclical pattern for drought occurrence. Drought seems to occur in 10-year cycles.

This observation has been made before. What is not apparent, until one reviews the figure, is the duration of each cycle.

In the early 2000’s, duration, and proportion of the state in drought spanned over 2 years. The subsequent drought event, in the early 2010’s, was characterized by a drought of high intensity but shorter time span (under 3 years).

The graph also reveals that the most recent drought event began in 2021 and continued through 2023. Last year, the state experienced nearly normal or above normal precipitation, but we all recall, conditions rapidly changed in the fall and remain dry well into the first quarter of 2025.

What can we glean from these observations?

Only time will tell, but with forecasted drier and hotter than normal conditions for the late spring and summer, one might suspect we may be amid an extended drought cycle similar to that recorded in the early 2000’s.

Given these observations, it is prudent for cattle producers to begin making plans for another dry and warm year.

For example, forage prices reflect the reality of early 2024. Alfalfa and grass hay prices traded at $90 and $80/ton, respectively, last week. Because of the expectation of recurring drought in 2025, it may be wise to invest in purchasing a year’s supply of forage and plan to harvest more acres of corn stalks later this fall.

Closer to the cattle yards, although winter isn’t over, beginning to plan for heat stress and other ensuing issues (flies and heavy cattle weights) is likely in order.



Combined United States and Canadian Soybeans Crushed Up 3 Percent From 2023

This publication is a result of a joint effort by Statistics Canada and USDA's National Agricultural Statistics Service to release the soybean and canola seed crushings information for both countries within one publication. United States soybean and oilseed crushings numbers for 2024 were previously released on March 3, 2025. Canadian soybean and oilseed crushings were released on January 25, 2025.

Combined United States and Canadian soybeans crushed for crude oil was 71.8 million tons in 2024, an increase of 3 percent from 2023.  Crude oil production was 28.3 billion pounds, up 4 percent from 2023.

Combined United States and Canadian canola seeds crushed for crude oil was 15.0 million tons in 2024, up 8 percent from 2023.  Crude oil production was 12.6 billion pounds, up 9 percent from 2023.



ASA Corteva Agriscience Young Leaders Update

Members of the 41st class of ASA Corteva Agriscience Young Leaders completed their training last week in Denver in conjunction with the 2025 Commodity Classic convention and trade show.

While in Colorado, the Young Leaders participated in training focused on leadership development, industry updates, and the importance of advocacy. And, they had the opportunity to customize their training through sessions at Commodity Classic. Members were also recognized at ASA’s annual Awards Celebration and participated in the annual Young Leader Alumni Reception. They heard from ASA President Caleb Ragland and his wife, Leanne, former Young Leaders from the class of 2012.

The 2025 class of Young Leaders includes: Tyler Robertson (CAN); Brian & Heather Harrison (AL); Luke Nannemann (AR); Daniel Herriott (IL); Neil & Sandy Krummen (IA); Jason & Anna Unruh (KS); Cody & Riley Clift (KY); Grant Mackey (KY); John Paul & Sarah VanMol (LA); Zachary Schaffner (MI); Rebecca Sip (MN); Raymond DeMars (MN); Gentry & Sarah Clark (MS); Rhonda & Orland Oesch (MO); Catherine & Jacob Frerichs (NE); Travis Runge and Jennifer Alexander (NE); Donald Stokes (NC); Mark Knutson (ND); Billie Lentz & Tran Zerface (ND); Caden Arbaugh (OH); Matt & Ashley Lutz (OH); Austin Eaddy & Bailee Matthews (SC); Blake & Mica Foxley (SD); and Brad Sennhenn & Kayla Weiner (WI).

The ASA Corteva Agriscience Young Leader program was founded in 1984 and continues to set the bar for leadership training in agriculture, identifying promising, innovative and engaged growers to serve as the voice of the American farmer. This year, seven of nine ASA Executive Committee members are former Young Leaders, further highlighting the value and impact of the program.

ASA thanks Corteva Agriscience for its longstanding commitment to the future of agriculture and the Young Leader program.



MARCH 11, 2025 WASDE - LIVESTOCK, POULTRY, AND DAIRY

Total red meat and poultry production for 2025 is raised on higher beef and chicken production forecasts, which is partially offset by lower pork and turkey production forecasts. The higher beef production forecast is due to heavier dressed weights more than offsetting lower slaughter. Pork production is lowered on a slower rate of slaughter in the first quarter, partially offset by heavier dressed weights. USDA will release the Quarterly Hogs and Pigs report on March 27, providing a further indication of hog supplies for slaughter in the second half of the year. Broiler production is raised on improved returns and the latest placement and hatchery data. Turkey production is lowered on the latest hatchery data. Egg production is lowered due to Highly Pathogenic Avian Influenza (HPAI)-related culling of the egg laying flock through early March that is expected to affect production through the first three quarters of 2025.

The beef export forecast for 2025 is raised, with increased production allowing for additional supplies in the second half of the year. Beef imports are raised on strong shipments during January and continued strong demand for lean processing beef. Pork exports are reduced on lower expected domestic supplies and increased global price competition. Broiler exports are reduced on the latest trade data and continued price competition from global exporters dampening U.S. shipments. Turkey exports are lowered on the lower expected domestic supplies.

Cattle price forecasts are lowered for the first half of 2025 based on recent prices. The second half is unchanged as demand for cattle is expected to remain strong. Hog price forecasts are lowered for the second and third quarters, based on recent prices and slightly weaker demand than previously expected. The broiler price forecast is lowered based on lower expected prices during the first half of the year. The 2025 turkey price is lowered on recent prices and weaker demand. Egg price forecasts are reduced on latest prices showing a downward turn, as market demand slows after several weeks of increasing prices in response to HPAI-related reductions in production.

The milk production forecast for 2025 is reduced on lower expected output per cow more than offsetting slightly higher cow inventories. Imports are unchanged on a fat basis and reduced on a skim-solids basis. Exports are lowered on a fat basis, primarily due to lower cheese exports. On a skim-solids basis, exports are lowered due to lower expected shipments of cheese, dry skim milk products, and lactose. Domestic use is increased on both a fat and skim-solids basis.

Cheese, butter, nonfat dry milk (NDM), and whey price forecasts are all lowered on recent prices. The Class III price is lowered on the lower price expectations for cheese and whey. The Class IV price is also reduced due to lower butter and NDM prices. The all milk price estimate for 2025 is lowered to $21.60 per cwt.



Dr. Howard Hill Honored With NPPC Hall of Fame Induction for Distinguished Leadership in Swine Health and Production
 
The National Pork Producers Council (NPPC) is proud to announce the induction of Dr. Howard Hill into the NPPC Hall of Fame during the 2025 National Pork Industry Forum (NPIF). This prestigious award recognizes individuals who have dedicated their lives to advancing the pork industry.
 
“Dr. Howard Hill has been a driving force in both veterinary science and swine production,” said Bryan Humphreys, NPPC CEO. “His work has had a lasting impact on animal health and disease management, and his leadership has raised the bar for the entire industry. His commitment to advancing the pork industry—whether on the farm or through policy—has shaped the future for generations to come.”
 
Dr. Hill’s career has spanned several decades, marked by pioneering work in veterinary diagnostics and disease eradication. His expertise and leadership were instrumental in tackling challenges like pseudorabies, African swine fever, and porcine reproductive and respiratory syndrome. His groundbreaking work at Iowa State University’s Veterinary Diagnostic Laboratory laid the foundation for significant advancements in swine health, ensuring the resilience of the industry in the face of emerging threats.
 
In 1994, Dr. Hill joined Murphy Farms as director of veterinary services and multiplication, where he led the successful eradication of pseudorabies from the company’s North Carolina herds. He also played a key role in the development of artificial insemination practices, propelling the company’s transition to 100% artificial insemination and establishing new standards in swine production.
 
As Chief Operating Officer at Iowa Select Farms from 2000 to 2013, Dr. Hill helped shape one of the largest and most innovative pork producers in the country. His efforts to combat disease and promote sustainable practices led to the growth and success of the company, setting a model for the industry.
 
Beyond his work in veterinary practice and production, Dr. Hill has been a vocal advocate for the pork industry. He served as president of the American Association of Swine Veterinarians in 1996 and the National Pork Producers Council in 2014, engaging in policy advocacy and fostering international trade relationships to benefit U.S. pork producers. His contributions to the industry have been recognized with numerous honors, including the Howard Dunne Memorial Award, the Science with Practice Award from Iowa State University, and the Animal Science Hall of Fame Award.
 
“Dr. Hill’s influence on the pork industry goes beyond his work in veterinary science and production,” said Lori Stevermer, NPPC president and Minnesota pork producer. “Through his leadership, mentorship, and dedication to industry collaboration, he has shaped policies, strengthened producer networks, and inspired the next generation of agricultural leaders. His commitment to both innovation and community has left a lasting mark on the pork sector and those who follow in his footsteps.”
 
Dr. Hill’s legacy is carried on through his family’s farming operations, which combine sustainable practices with a commitment to livestock health and agricultural innovation. From swine finishing farms to purebred Angus cattle and crop production, the Hill family embodies the values Dr. Hill has championed throughout his career.
 
NPPC proudly recognizes Hall of Fame inductees each year at the National Pork Industry Forum for their remarkable contributions to advancing the pork industry. Their work reflects NPPC’s mission to support the social, environmental, and economic sustainability of U.S. pork producers and their partners. Dr. Hill’s outstanding career stands as a true testament to the dedication, resilience, and visionary leadership that has shaped the future of agriculture.  



National Dairy Board Scholarship Applications Being Accepted

Applications are being accepted for college scholarships that are awarded by America’s dairy farmers and importers through the National Dairy Promotion and Research Board (NDB).

Eleven scholarships worth $2,500 each will be awarded, in addition to a $3,500 James H. Loper Jr. Memorial Scholarship to one outstanding recipient. NDB funds, in part, Dairy Management Inc. (DMI), which manages the national dairy checkoff program.

Undergraduate students in their sophomore through senior year for the 2025-2026 academic school year and enrolled in college/university programs that emphasize dairy are eligible. Relevant majors may include communications/public relations, journalism, marketing, business, economics, nutrition, food science and agriculture education.

Scholarships are awarded based on academic achievement, an interest in a career in a dairy-related discipline, and demonstrated leadership, initiative and integrity. Candidates must complete an application form, submit an official transcript of all college courses, and write a short statement describing their career aspirations, dairy-related activities and work experiences.

Applications can be found at dairycheckoff.com/about-us/scholarship.

Completed applications must be received no later than May 15, 2025, at 11:59 p.m. CST. Questions about the program can be submitted to ndbscholarships@dairy.org.



Growth Energy Welcomes EPA’s Decision to Reconsider Tailpipe Emissions Rule

Growth Energy, the nation's largest biofuel trade association, commended the U.S. Environmental Protection Agency (EPA) Thursday after the agency announced that it would reconsider its Multi-Pollutant Emissions Standards for Model Years 2027 and Later Light-Duty and Medium-Duty Vehicles, otherwise known as the “tailpipe emissions rule.”

“We’re glad to see EPA reconsider this rule, which arbitrarily puts its thumb on the scale for a single vehicle technology instead of embracing homegrown renewable fuels,” said Growth Energy CEO Emily Skor. “We look forward to working with EPA as they restructure these standards in a way that achieves the agency’s environmental and economic goals by maximizing the use of American biofuels.”

Growth Energy has previously submitted comments and an amicus brief objecting to the tailpipe emissions rule. As Growth said in the amicus brief, the benefits of biofuels “are readily available right now, all while enhancing energy security and supporting U.S. jobs.” Growth observed that the rule, in its original form, was “a missed opportunity.”