2018 Farm Outlook

Page 28 2018 Logan County Farm Outlook Magazine LINCOLN DAILY NEWS Oct. 25, 2018 For the local producers, it is better to purchase more ground and keep their income protected from excess taxation. Neither the local buyers nor the out-of-state buyers seem to be taking acreage out of agricultural production. On the downside, bidding the price up means that a whole new generation of farmers is likely being prohibited from entering the profession because they cannot afford the startup cost to purchase sufficient farm ground. This means that for the most part only well established farms with substantial existing acreage under production are the only local entities likely to afford farms that go up for sale. Additionally, the land purchased by a religious organization means that local government loses an important source of property tax income. The key positive outcome of having out-of- state bidders propelling the land price upward is that local farmers who have worked hard all their lives and are now retiring or leaving farming are reaping very good prices for the land that they put up for sale. Larger farms that buy that ground shelter money from taxes, and their balance sheets look good to banks and credit agencies. References: Investment Firms Find Value in Farmland https://www.agweb.com/article/ investment-firms-find-value-in- farmland-naa-rhonda-brooks/ A way to match billionaires buying up our farmland https://www.cnbc.com/2016/01/21/ getting-your-plot-of-american- farmland-.html Farmland Partners Inc. is an internally managed, publicly traded (NYSE: FPI) real estate company that owns and seeks to acquire high-quality farmland throughout North America addressing the global demand for food, feed, fiber and fuel http://www.farmlandpartners.com/ Foreign Investors Are Snapping Up US Farms https://www.motherjones.com/ food/2017/08/foreign-investors-are- snapping-up-us-farms/