Strength in farm real estate markets provided support to the agricultural sector amid ongoing financial challenges. According to the Tenth District Survey of Agricultural Credit Conditions, nonirrigated cropland values and cash rents increased slightly in the fourth
Credit conditions in the District remained weak, but deteriorated at the slowest pace in more than four years. Despite some signs of stabilization, geographic disparities persisted across the region.
Land values were stronger on the eastern side of the District, while farm income and credit conditions were weaker in the west.
Bankers commented that trade relief payments provided notable support to farm finances in 2019, but many also indicated that underlying weaknesses in the sector continued to be driven by low agricultural commodity prices.