U.S. Farm Production Costs Up To 9.3% in 2007

U.S. farm production expenditures totaled $260 billion in 2007, up 9.3% from the revised 2006 total of $238 billion, according to USDA. The largest percentage contributors to the increase were fertilizer, lime and soil conditioners, up 26%; feed, up 21%; fuels, up 14%; ag chemicals, up 11%; and tractors and self-propelled equipment, up 11%.

In 2007, the average per-farm U.S. total farm expenditure was $125,648 compared with $114,186, an increase of 10% over 2006. The average total expenditure for a crop farm was $151,978 compared with $106,742/livestock farm.