This graph shows the growth and decline of mining, coal production and red meat production in Arkansas in the fourth quarter of 2013, compared to the national average.
Following a lackluster fourth quarter in the state’s agricultural economy, farm income is expected to continue a decline in the first quarter of this year.
The findings were released in the Federal Reserve Bank of St. Louis’ “Burgundy Book” on Thursday.
In a trend seen across the U.S., commodity prices fell abruptly. Soybean prices, which make up 43 percent of the total crop, fell 11 percent from a recent peak in June. Corn, which makes up 11 percent of the crop, saw a more severe decline but numbers for Arkansas were not available.
A western Arkansas rancher said “corn is about half of what it was last year,” according to the report.
“Lower grain and soybean prices, higher input costs, and a reduction in USDA farm program payments are my top concerns for my business in 2014,” one central Arkansas farmer, who was not identified, said in the report.
Arkansas’ coal production was down 57.1 percent, compared to a 0.5 percent increase across the country.
“However, overall coal production in Arkansas is quite small and subject to extremely large swings,” the report said.
Also down significantly in Arkansas was red meat production, which fell 64.8 percent compared to totals one year ago. In the U.S., red meat production was down 0.5 percent.
“However, Arkansas comprises the smallest share of national production among the District states,” the report said. “Consequently, the Little Rock Zone has a small impact on overall trends in the District.”
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