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NEWS RELEASE

Farm Production Expenditures
July 20, 2001

    TOTAL PRODUCTION EXPENDITURES IN 2000

Northern Plains Regional farm production expenditures totaled $24.2 billion in 2000, up 4 percent from 1999, according to the North Dakota Agricultural Statistics Service. An increase of 2 percent was also noted nationally. Livestock, poultry, and related expenses in the Northern Plains decreased 2 percent. Fuel expense increased 44 percent from last year, which was the largest percentage increase for all expenses. Nationally, fuel expenses increased 32 percent. Farm improvements and construction expenses were up 38 percent in the Northern Plains and 18 percent in the United States. The Northern Plains Region includes North Dakota, South Dakota, Nebraska, and Kansas.

Livestock, poultry, and related expenses accounted for 19 percent of the Northern Plains total production expenses, while rent, farm services, and feed accounted for 12, 11, and 9 percent, respectively. The farm services includes expense items such as custom work, leasing of machinery and equipment, marketing charges, veterinary services, custom feeding, transportation costs, insurance, miscellaneous business expenses, and utilities.

The average expenditures per farm in the Northern Plains for 2000 were $134,015 compared to the United States average of $87,035. In the Northern Plains region livestock, poultry, and related expenses was the leading 2000 expenditure category at $24,889 per farm, nearly 3 times the United States average. The Northern Plains average for rent at $16,593 was over twice the national average; farm services at $14,823, and feed $11,394 were 26 and 1 percent over the national average, respectively.

This report is based on results from the Agricultural Resource Management Study (ARMS) conducted by USDA's National Agricultural Statistics Service. Farms and ranches were contacted between February and April 2001 to collect farm/ranch production and expense data.

FARM PRODUCTION EXPENDITURES, NORTHERN PLAINS AND UNITED STATES, 1999 - 2000
Expenditure - Farm Share NORTHERN PLAINS (KS, NE, ND AND SD) UNITED STATES 1/
Average Per Farm 2/ Total Expenditures Average Per Farm Total Expenditures
1999 2000 1999 2000 1999 2000 1999 2000
- - - Dollars - - - - - -Million Dollars - - - - - - Dollars - - - - - -Million Dollars - - -
Total Farm Production Expenditures 3/ 4/ 126,803 134,015 23,205 24,230 84,195 87,035 184,050 188,500
Livestock, Poultry & Related Expenses 5/ 25,082 24,889 4,590 4,500 7,685 8,311 16,800 18,000
Feed 12,077 11,394 2,210 2,060 11,208 11,312 24,500 24,500
Farm Services 6/ 14,481 14,823 2,650 2,680 11,757 11,728 25,700 25,400
Rent 7/ 15,519 16,593 2,840 3,000 7,274 7,434 15,900 16,100
Agricultural Chemicals 8/ 5,738 6,084 1,050 1,100 3,934 3,925 8,600 8,500
Fertilizer, Lime & Soil Conditioners 8/ 7,049 7,854 1,290 1,420 4,529 4,617 9,900 10,000
Interest 8,197 8,186 1,500 1,480 4,895 5,033 10,700 10,900
Taxes (Real Estate & Property) 5,328 5,531 975 1,000 3,111 3,186 6,800 6,900
Labor 4,727 5,144 865 930 9,012 9,142 19,700 19,800
Fuels 4,098 5,973 750 1,080 2,425 3,232 5,300 7,000
Farm Supplies &
Repairs 9/
8,361 8,628 1,530 1,560 5,764 5,725 12,600 12,400
Farm Improvements & Construction 10/ 2,650 3,706 485 670 3,248 3,878 7,100 8,400
Tractors and Self-Propelled Farm Machinery 3,579 4,010 655 725 2,470 2,493 5,400 5,400
Other Farm Machinery 2,486 3,097 455 560 1,601 1,662 3,500 3,600
Seeds & Plants 11/ 4,754 5,365 870 970 3,294 3,371 7,200 7,300
Trucks & Autos 2,514 2,600 460 470 1,784 1,847 3,900 4,000
1/ Excludes AK and HI. 2/ Total expenditures divided by total number of farms. 3/ Total includes production costs not allocated to any of the 16 expense categories published. 4/ Includes landlord and contractor share of farm production expenses. 5/ Includes purchases and leasing of livestock and poultry. 6/ Includes all crop custom work, veterinary services, custom feeding, transportation costs, marketing charges, insurance, leasing of machinery and equipment, miscellaneous business expenses, and utilities. 7/ Includes public and private grazing fees. 8/ Includes material and application costs. 9/ Includes bedding and litter, marketing containers, power farm shop equipment, miscellaneous non-capital equipment and supplies, repairs and maintenance of livestock and poultry equipment, and capital equipment for livestock and poultry. 10/ Includes all expenditures related to new construction or repairs of buildings and fences, and any improvements to physical structures of land. 11/ Excludes bedding plants, nursery stock, and seed purchased for resale. Includes seed treatment.

FOR MORE INFORMATION CONTACT:
North Dakota Agricultural Statistics Service
NDSU, IACC Bldg., Room 448
P.O. Box 3166
Fargo, ND 58108-3166
Telephone: (701) 239-5306
E-Mail: nass-nd@nass.usda.gov


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