Updated Nebraska Farm & Food Economy Report is Out

Nebraskans spend more than $5 billion per year buying food that is sourced from out of the state. A report released today indicates this loss of economic potential is driving a growing interest in locally-produced food.

This and other findings are highlighted in the “Nebraska Farm & Food Economy” report, released by the Center for Rural Affairs and Heartland Regional Food Business Center. The study is authored by Ken Meter, Crossroads Resource Center.

The report provides a snapshot of the agricultural economy in Nebraska, including statistics about farm sizes, commodity production and sales, and how residents spend their money on food.

“These facts can provide a starting point for conversations about strengthening our local food systems,” said Kjersten Hyberger, local foods associate, with the Center. “Despite being the fourth largest farm state in the country, only a small amount of what farmers raise feeds Nebraskans.”

Key findings include:

• Net cash income for farmers has a history of volatility, with annual farm income falling below zero 9 times since 1969, most recently in 2017.
• An average annual combined total of farm subsidies equaled $1.1 billion between 1989 to 2022.
• An average annual combined total of Supplemental Nutrition Assistance Program receipts equaled $201 million per year between 1989 to 2022.
• Subsidies received by farms mostly support production of crops that do not directly feed Nebraskans while food insecurity is rising in the state.
• The number of farms and farmed land in Nebraska has steadily declined. Between 2017 and 2022, Nebraska lost nearly 2,000 farms and 1 million acres of farmland.
• Net cash income for farmers has a history of volatility, with annual farm income falling below zero 9 times since 1969, most recently in 2017.
• U.S. Department of Agriculture estimates that net farm incomes nationally have fallen 37% since 2020.
• While the average age of farmers is steadily rising, 26% are new and beginning farmers.
• Farmers sold at least $16.6 million of food directly to households in 2022, an 84% rise from 2017 sales.

“Investment in developing and strengthening local food systems has multifaceted benefits, but has not received as much attention in the state compared to others,” Hyberger said. “If each Nebraska resident purchased $5 of food each week directly from farms within the state, this would generate $512 million of new farm income.”

To view the “Nebraska Farm & Food Economy” report, visit cfra.org/Nebraska-food-farm-economy-report. The report is also available in Spanish.

Meter will present these findings at a public event, “Feeding Nebraska: Exploring Our Farm & Food Economy,” at Bennett Martin Public Library, in Lincoln, at 11 a.m. on April 16. Find out more at cfra.org/events.

The report compiles data from the U.S. Census of Agriculture, U.S. Department of Agriculture Economic Research Service, Bureau for Economic Analysis, and other publicly available data. It is an update of the Nebraska Farm and Food Economy report commissioned in 2010 by No More Empty Pots in Omaha.