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Farm bankruptcy filings totaled 580 between June of 2019 and June of 2020, an eight percent increase over those 12 months. The American Farm Bureau says a six-month comparison shows the number of new Chapter 12 bankruptcy filings slowed during that time. The Midwest, Northwest, and the Southeast are the regions hardest hit by bankruptcies, accounting for 80 percent of the total U.S. filings. Wisconsin was the number one state with 69 filings, followed by 38 in Nebraska. Georgia and Minnesota each had 36 filings. While the year-over-year filings increased during June, the number of new filings slowed during the first six months of this year compared to the first half of 2019. From January to June of 2020, there were 284 new Chapter 12 bankruptcy cases, 10 fewer than the same time last year. The reduction in filings coincides with the aid distributed through the CARES Act that compensated farmers and ranchers for losses incurred over the first six months of the year. “The fact that we saw bankruptcy filings slow during the first half of this year shows how important the economic stimulus efforts have been to keeping farmers above water,” says AFB President Zippy Duvall. “But the economic impact of the pandemic is far from over.”

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