USDA’s Economic Research Service forecasts net farm income to be at 100.9-billion dollars for 2011, that’s up 21.8-billion or 28 percent from 2010. Net farm income reflects income from production in the current year, whether or not sold within the calendar year. The agency predicts net cash income to be 109.8-billion dollars, up 17.- billion or 18.9 percent from 2010, and 34.2-billion above its 10-year average.

According to ERS, net value added is expected to increase by almost 23.9-billion dollars in 2011 to 153.7-billion. Net farm income and net cash income are both projected to exceed 100 billion for the first time in 2011. However, the rates of increase in both income measures show slight decreases from the previous year. The 2011 inflation-adjusted forecasts of net value added of agriculture to the U.S. economy and net cash income are the highest values recorded since 1974.

Agriculture Secretary Tom Vilsack was quick to point out that – today’s farm income forecast shows that the American brand of agriculture continues to be a bright spot in our nation’s economy. And this is making a real difference for America’s farm families, whose household income was up 3.1 percent in 2010 and is forecasted to increase 1.2 percent in 2011.

A combination of factors has made these numbers possible including growth in cash receipts, off-farm employment, and a record high of 137.4-billion dollars in FY 2011 farm exports.