2004 Review: Kentucky farm cash receipts are estimated for 2004 to be $3.97 billion, up 14 percent over 2003. Cash receipts at this level would represent a record high for the Commonwealth. Farm cash receipts since 1990 have been relatively flat averaging $3.362 billion (range from $3.1 to $3.6 billion).
So the 2004 estimate would be above trend and represent a record cash receipt level. Our analysis suggests that the combination of higher sales for traditional commodities as well as generally higher prices explains most of the increase in farm cash receipts for 2004. Net farm income also likely increased significantly during 2004 due to higher receipts and modest increases in the cost of most inputs; however, energy prices were up sharply during 2004.
Both crops and livestock cash receipts registered gains with crops increasing 14 percent over 2003 levels while livestock increased nearly 13 percent. Crop enterprises that registered significantly higher cash receipts during 2004 included corn (41 percent), soybeans (22 percent), and wheat (17 percent). These three crop enterprises represented $185 million increase of the total $214 million for all crops.