Published April 19 2013
ND cropland rental rates rise
Forum News Service
North Dakota farmland rental rates continue to climb, with some counties seeing an annual increase of more than 20 percent, a newly released survey says.
Its a pretty explosive market. The survey captures that, says Andy Swenson, a North Dakota State University farm management specialist who analyzed the survey.
The widely watched annual survey, used by some farmers and landowners in the state to help set rental rates, was conducted in late January by the National Agricultural Statistics Service, an arm of the U.S. Department of Agriculture. The North Dakota Department of Trust Lands commissioned the survey.
Swenson is uncertain whether land values will continue to rise but doesnt think theyll drop sharply in the near future.
Rental rates for pasture also have increased across North Dakota, the survey found.
High crop prices have caused some ag producers to begin raising crops on what had been pasture, Swenson says.
So theres a little less pasture, which increases demand for it, Swenson says. I dont think it has a huge impact, but it has to contribute (to higher pasture rental rates) somewhat.
Knutson writes for Agweek