There have been definite challenges to portions of Northwest Indiana this growing season. Most of the real issues are north of US 24, but some areas as far south as Lebanon have seen enough flood damage to affect crop yields.
It has now turned dryer and we are experiencing more normal weather patterns. I expect normal soybean crops in all areas except the most severely hit in Jasper county and the areas to the north that had the most devastating rains in June. Corn yields in those areas will also be well below potential, but other areas will see significant recovery, and we should have decent crop yields, but will not be at the high end of expectations.
We all remember the days when a farmer’s goal was to net $100 per acre. That is a far cry from the $400 per acre or more that has been the norm over the past 6 years. Those operations that can make the transition back to the old numbers will be the most successful moving forward.
Thus far, land values have been steady to slightly lower for good cropland. We expect to see a continued selling opportunity for land over the next 12 - 18 months before area farmers begin to run low on capital and see their borrowing power erode due to higher interest rates.
Anyone thinking of selling within the next 5 years might want to consider moving up their time line and selling this fall or winter to take advantage of what is left of our bull market.
Good luck, and lets all have a safe harvest season!