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Revenues Below $700 per Acre Possible with Corn in 2017


For farmland having an expected corn yield of 190 bushels per acre, a reasonable expectation of 2017 gross revenue is $741 per acre. Obviously, revenue will vary from the $741 expectation depending on price and yield outcomes. In this article, possible 2017 crop revenues, crop insurance payments, and Agricultural Risk Coverage (ARC) payments are evaluated using the historical price and yield changes from 1975 to 2016. The analysis uses corn yields from Logan County, Illinois. For each year, the sum of crop revenue, crop insurance payments, and ARC payments equals gross revenue. The historical analysis suggests that 2017 gross revenues can range from a low in the mid-$600 range to a high of over $900 per acre.

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