Farm Production Expenditures Up 5.1% In 2004

Average expenditures per U.S. farm were $99,983 compared with $94,542 in 2003. Compiled by staff

Published on: Jul 28, 2005

USDA's National Agricultural Statistics Service (NASS) released the Farm Production Expenditures report, which shows that agricultural producers spent $210.7 billion in 2004, an increase of 5.1% from 2003. New data also reveal that the average expenditures per U.S. farm in 2004 were $99,983 compared with $94,542 in 2003.

For the first time, NASS provides state-level expenditure estimates for the 15 leading states with the highest agricultural sales. The 15 Leading Cash Receipts States accounted for 62.7% of the total U.S. farm production expenditures. They are: Arkansas, California, Florida, Georgia, Illinois, Indiana, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Carolina, Texas, Washington and Wisconsin.

Among the report's other highlights:

  • The largest contributing factors to an increase in 2004 U.S. farm production expenditures include tractors and self-propelled farm machinery, up 24.3%; fuels, up 19.4%; fertilizer, up 14.0%; feed, up 9.1%; and labor, up 5.5%.
  • The Midwest contributed the most to the 2004 U.S. farm production expenditures with expenses of $59.9 billion, an increase of 6.8% from 2003 and comprising 28.4% of the U.S. total.
  • California contributed the most of all states to the U.S. farm production expenditures, with expenses of $22.5 billion, 10.7% of the U.S. total.
  • Farms with more than $1,000,000 in gross sales contributed the most to 2004 U.S. farm production expenditures with expenses of $73.2 billion, 34.7% of the U.S. total.
  • Crop and livestock farm expenditures were nearly equal, with crop farms contributing $105.8 billion, or 50.2% of the 2004 U.S. total, and livestock farms contributing $104.9 billion, or 49.8% of the total.

These results are based on survey indications from the Agricultural Resource Management Survey (ARMS), a joint effort shared by USDA's NASS and Economic Research Service. The time invested by participants in the ARMS survey will pay dividends to all producers who benefit from the advancement of U.S. Agriculture.

Access the complete Farm Production Expenditures report online at: usda.mannlib.cornell.edu/reports/nassr/price/zpe-bb/