Thursday, December 5, 2024
HomeAg NewsUSDA Says Farm Share of Food Dollar Dipped Further in 2022

USDA Says Farm Share of Food Dollar Dipped Further in 2022

America’s farms received 14.9 cents per dollar spent on domestically produced food in 2022 as compensation for farm commodity production. This portion called the farmer’s share is a decrease of 0.3 cents from a revised 15.2 cents in 2021.

The farm share covers operating expenses and input costs from non-farm establishments. The remaining portion of the U.S. food dollar is called the marketing share, which covers the costs of getting domestically produced food from farms to points of purchase. That includes the costs of transportation, processing, and selling to consumers. One of the factors behind the long-term downward trend in the farm share is an increasing proportion of food-away-from-home spending.

Farms get a lower portion of dollars spent on food away from home because of the added costs of preparing and serving meals. The Economic Research Service uses input-output analysis to calculate the farm and marketing shares of a food dollar.

RELATED ARTICLES
- Advertisment -

Latest Stories