Farm bankruptcies were down in 2020 compared to the year prior, according to date released by USDA and analyzed by the American Farm Bureau Federation (AFBF). However, AFBF cautions that doesn’t necessarily mean conditions are improving for U.S. farmers.
There were 552 Chapter 12 family farm bankruptcy filings in 2020, 7 percent fewer than 2019. AFBF Chief Economist John Newton said the filings are still the third-highest number in the last decade, and COVID-19 likely made it difficult to file bankruptcy. Wisconsin, followed by Kansas and Nebraska, had the highest number of bankruptcy filings.
“Over the past few years, basically all commodity prices have been depressed and there’s been some issues related to trade disputes depressing those prices as well,” Texas Farm Bureau Commodity and Regulatory Activities Associate Director Brant Wilbourn told KXXV News.
