Farmland Prices Going Higher?
Terry Feldheim of the Farm Credit Service of America highlights the support underpinning land prices at these levels.
What is sustainable ag lending? That really comes down to a concept what is sustainable at given prices. We look at farmers and ranchers, asking if they can cash flow $4.50 corn? If he can cash flow that, he has a much higher probably of sustaining the volatility that comes at us.
The operations that will get loans must have strong working capital positions and actions in play to reduce any debts as quickly as possible.