New estimates reveal 2022 weather disasters caused $21 billion in ag losses

Weather disasters in 2022 caused more than $21 billion in agriculture losses – the third costliest year on record.

“Massive losses across the board.”

Danny Munch with American Farm Bureau said their survey found than 95 percent of the losses were caused by drought and wildfires. “With the others linked with other severe weather like tornadoes, the derecho in June and some of the hurricanes.”

And, the breakdown for crops, “About a third is from forage and rangeland losses-$6.3 billion, followed by corn-$4.5 billion, cotton-$3.2 billion, and wheat $2.6 billion.”

Munch says the Great Plains was the hardest hit region as drought rapidly expanded and intensified last year.

He tells Brownfield that $11billion were paid out in indemnity and risk management programs. “That leaves just under half – about $10.4 billion – that was not covered by risk management programs. That could mean folks didn’t have insurance, outside coverage level or there is no risk management option in place.”

Munch says AFBF’s estimates don’t include any payments from ad hoc disaster programs.

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