Although farmers are projected to plant the biggest crop in a generation this year, net income is expected to fall by 6.5 percent for farmers in 2012, reports Bloomberg.
The size of the crop along with rising costs for diesel fuel and animal feed are expected to cut into profit margins for many farmers. Although prices for many crops are at record highs, prompting the large amount of planting, there is still concern over whether all of the food will sell once it's harvested.
"It could be a very big corn crop this year," Tim Eike, a farmer in Pawnee, Illinois, told the news source. "I'm still worried about demand because some countries may not have the money to pay for these high-priced crops."
One way for farmers to keep costs low is by buying used agricultural equipment online. This is typically more affordable than buying new farm equipment, and allows farmers to shop for the best price. The online auction website IronPlanet offers IronClad Assurance inspection reports with their agricultural equipment, which allow buyers to know about any mechanical issues in advance and cut down on maintenance and repair costs.
