Purdue News
Purdue News
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February 6, 2004 Ag census shows numbers up for big, small farms in IndianaWEST LAFAYETTE, Ind. - Indiana agriculture is evolving into a two-class system: large farms and small farms. That's OK, however, because there's room for both in food production, said Chris Hurt, Purdue University agricultural economist. Preliminary data from the U.S. Department of Agriculture's 2002 Census of Agriculture indicated the only farm categories with increases since 1997 were operations with 10-49 acres and those with 1,000 acres or more. Mid-size farms, which make up the majority of Indiana's agricultural infrastructure, experienced the largest decline. The Indiana Agricultural Statistics Service (IASS), based at the Purdue Research Park, reported early census results Wednesday (2/4). A final report, including county-level data, will be issued in June. The initial findings aren't surprising, Hurt said. "We have a sort of two-pronged approach to agriculture in Indiana," he said. "We've got farms trying to move into that commercialized, industrialized agricultural sector. We're also seeing growth in small-scale farms." In the five-year census period, Hoosier farms of 1,000-1,999 acres grew from 2,735 to 2,832 - a 3.5 percent increase. Farms of 2,000 acres or more jumped nearly 39 percent, from 713 in 1997 to 991 in 2002. "What we see happening is large farms are trying to get larger as a strategy for driving costs lower and for trying to increase family incomes," Hurt said. "They're doing that by using more technology and increasing efficiency through adaptation of that technology." At the other end of the scale, farms between 10 acres and 49 acres in size rose about 4 percent in the 1997-2002 period, from 17,937 to 18,601 - figures that dispel the notion that small farms are nearing extinction. Part of the growth in small farms can be attributed to urbanites moving to the country and engaging in limited farming activities, Hurt said. Others are professional farmers who've changed their business focus, he said. "This group is saying, 'We can't compete with the large farms and we can't get bigger, so what can we do as a smaller operation?' There are a whole lot of things going on, where smaller farm operations are finding ways to get closer to the consumer with roadside stands, farm markets and even delivering meat directly to consumers. "We even have buffalo and elk being produced in Indiana and sold to consumers. There's been a large growth in meat goats in Indiana. There's the area of organic foods and processed foods, and some farm families are producing baked products and selling them - breads, cookies and pies. Some are moving into agricultural tourism, with such things as farm mazes in cornfields, pumpkin patches, hayrides, fall festivals and those kinds of things." The three medium-size farm categories - 50-179 acres, 180-499 acres and 500-999 acres - fell 18 percent, 20 percent and 13.5 percent, respectively. Farms in the 50-179 acre range ranked first among all size categories, with 18,669 farms. "Many of those farms in the middle may be finding it difficult to generate sufficient family income from their farm operations," Hurt said. "Their choices are to get larger or move off the farm, in terms of employment. I think we see farm families in that situation moving in both directions." Total Indiana farm numbers were down in 2002, reflecting a national trend, said Greg Preston, state agricultural statistician with the IASS. "In 2002 Indiana had 60,271 farms, which is roughly a 9.6 percent decrease from 1997," Preston said. "That compares to an overall 4 percent decrease in the number of farms in the United States." As farm numbers statewide slipped, so, too, did total farm acreage. There were 15.06 million acres devoted to farmland in Indiana in 2002. "Indiana, like many other states in the United States, experienced a loss of farmland over the five-year period," Preston said. "That includes cropland, forest land and land around the homestead. From 1997 to 2002 we lost about 400,000 acres, which translates into about 90,000 acres of land lost each year." Much of the acreage was lost to development and urban outgrowth. Ag census data indicated little change in farms moving up or down in average sales, Preston said. The biggest change was in farms with sales of less than $2,500. Farms in that category grew 8 percent between 1997 and 2002, to 36 percent of all Indiana farms. "That could be because some farms are breaking into new markets, such as berries or U-pick operations," Preston said. Other highlights from the Indiana ag census included: • Individual or family farms made up 89 percent of the state's farms in 2002, up 3 percent from five years earlier. Partnerships were 6 percent of the state total in 2002, with corporate farms a mere 4 percent. • Women helped manage nearly 25 percent of all farms. • More census participants considered farming their primary occupation in 2002 than in 1997. • Hoosier farmers averaged 53.7 years old in 2002, up from 52.3 years old in 1997. The average age of U.S. farmers was 55.3 years old in 2002. "There's always been concern about the age of farmers," Hurt said. "We continue to see that age creep upward. There is a concern that over the next generation or so not enough young people will return to agriculture. On the other hand, it is an industry that will draw sufficient young people if there are sufficient returns in the industry. "There really is no lack of people who have the interest or the passion for farming. What there is is a lack of land resources for all the people who would like to be involved in farming operations. What we clearly will see is that we do not need as many people in the commercial aspect of farming as we have now because of the ability of each individual to produce so much more." The 2002 Census of Agriculture was conducted in 2002 through mid-2003. About 83,000 census forms were mailed to farm residents in Indiana alone. Additional preliminary census data is available online. Writer: Steve Leer, (765) 494-8415, sleer@purdue.edu Sources: Chris Hurt, (765) 494-4273, hurtc@purdue.edu Greg Preston, (765) 494-8371, gregory_preston@nass.usda.gov Ag Communications: (765) 494-2722; Beth Forbes, bforbes@aes.purdue.edu Related Web sites:
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