Page 16 October 25, 2013 2013 LOGAN COUNTY FARM OUTLOOK MAGAZINE LINCOLN DAILY NEWS.com
In addition, the findings stated that over the past
decade there has been a shift away from share-rental
agreements to cash-rent arrangements in Illinois.
The average ratio of acreage that operated under a
share-rent agreement fell from about 48 percent in
1997 to 37 percent in 2009. Acreage under cash-rent
agreements, on the other hand, increased from just
over 25 percent to around 40 percent.
In essence, from those decades we can see a trend of
farmers turning away from sharecropping and moving
to cash-rent agreements.
In the years that have followed this earlier study, has
that trend continued?
In August of this year, data from Illinois Farm
Business Farm Management was used to calculate
returns to share-rent landowners during the period
from 2000 through 2012. Share-rent landowners’
returns increased after 2006. Returns for high-
productivity farmland averaged $343 per acre in 2011
and $371 in 2012. These returns were above those of
average cash rents.
Average cash rents were $179 per acre in 2008, $183
in 2009, $189 in 2010, $203 in 2011 and $231 in 2012.
From 2008 through 2012, cash rents averaged $197
per acre, while share-rent returns averaged $298 and
$272 per acre for high- and low-productivity farmland,
respectively.
The data for share rent in 2013 is not yet available.
On the other hand, the data for cash rent in 2013 has
been released by the Illinois Society of Professional
Farm Managers and Rural Appraisers. In addition, the
organization was able to create some predictions for
2014.
•
For excellent-quality farmland, the 2013 cash
rent averaged $388 per acre and the 2014 cash
rent is expected to be $374 per acre, a decline
of $14 per acre.
•
For good-quality farmland, the 2013 cash rent
averaged $332 and the 2014 cash rent is
expected to be $318, a decline of $14.
•
For average-quality farmland, the 2013 cash
rent averaged $278 and the 2014 cash rent is
expected to be $263, a decline of $15.
•
For fair-quality farmland, the 2013 cash rent
averaged $224 and the 2014 cash rent is
expected to be $212, a decline of $12.
Lower commodity prices have occurred in recent
months, and this has led to lower projections of 2014
agricultural returns. Lower returns will have an effect
