Fact Sheet Farm Credit Administration

1501 Farm Credit Drive

McLean, Virginia 22102-5090

June 13, 2013 Contact: Michael Stokke or Christine Quinn,

703-883-4056

E-mail: info-line@fca.gov

Website: www.fca.gov

Fact Sheet on Farm Credit System 

Young, Beginning, and Small Farmer Lending Results for 2012

The following information summarizes the Farm Credit System’s (System’s) 2012 lending 

activity to young (Y), beginning (B), and small (S) farmers and ranchers.

1 Both the number of 

new YBS loans made and the dollar volume of those loans increased in 2012 from that of 

2011.2 The increase in new lending to the three YBS categories exceeded the pace of overall 

System lending to farmers. The numbers and volume of YBS loans outstanding also rose in 

2012.

Young—In 2012, the System made 56,659 loans to young farmers—that is, to those who are 

35 years old or younger. The volume of total new loans to young farmers amounted to $8.8

billion. During 2011, the System made 52,800 loans to young borrowers, totaling $7.5 billion. 

The loans made to young borrowers in 2012 represented 16.5 percent of all farm loans the 

System made during the year and 11.7 percent of the dollar volume of loans made. At the end 

of 2012, the System had $23.1 billion in loans outstanding to young farmers, compared with 

$21.3 billion at the end of 2011.

Beginning—The System made 69,304 loans to beginning farmers—that is, to those who have 

been farming for 10 years or less. The volume of total new loans to beginning farmers 

amounted to $11.5 billion in 2012. During 2011, the System made 61,995 loans, totaling $9.6

billion, to beginning borrowers. The loans made to beginning farmers in 2012 represented 20.2

percent of all farm loans made during the year and 15.2 percent of the dollar volume of loans 

made. At the end of 2012, the System had $35.7 billion in outstanding loans to beginning 

farmers, compared with $34.1 billion at the end of 2011.

Small—FCS institutions made 143,200 loans, totaling $13.2 billion, to small farms (those with 

gross annual sales of less than $250,000) in 2012. By comparison, the System made 137,529 

loans, totaling $11.2 billion, to small farmers in 2011. The loans made in 2012 to farmers in this 

 1 Because the totals for the categories are not mutually exclusive, you cannot add young, beginning, and 

small totals to count total YBS lending. 2 Not all System loans are subject to YBS reporting. The main exceptions are certain leases and 

participations in loans made under the System’s cooperative lending authority. YBS volumes include 

actual advances as well as loan commitments.

-more-
2

category represented 41.7 percent of all farm loans made during the year and 17.4 percent of 

the dollar volume of all farm loans made. At the end of 2012, the System had $44.1 billion in 

loans outstanding to small farmers, compared with $42.9 billion at the end of 2011.

The YBS information is reported separately for each of the three YBS borrower categories 

because the YBS mission is focused on each borrower group separately. Also, loans cannot be 

added across categories because some loans belong in more than one category. If, for 

example, a borrower is less than 35 years old, sells less than $250,000 in farm products per 

year, and has farmed for less than 10 years, the borrower’s loan would be included in every 

category. Therefore, adding the categories together would produce a misleading measurement 

of the System’s YBS lending involvement.

YBS Loans Outstanding as of December 31, 2012

Number of 

loans

Percentage 

of total 

number of 

System farm 

loans

Dollar 

volume of 

loans in 

millions

Percentage 

of total 

volume of 

System farm 

loans

Average 

loan size

Young 

farmers/ranchers 170,875 18.1 $23,110 11.4 $135,247

Beginning 

farmers/ranchers 243,354 25.8 $35,733 17.7 $146,834

Small 

farmers/ranchers 477,248 50.6 $44,123 21.8 $92,453

YBS Loans Made During 2012

Number of 

loans

Percentage 

of total 

number of 

System farm 

loans

Dollar 

volume of 

loans in 

millions

Percentage 

of total 

volume of 

System farm 

loans

Average 

loan size

Young 

farmers/ranchers 56,659 16.5 $8,840 11.7 $156,014

Beginning 

farmers/ranchers 69,304 20.2 $11,483 15.2 $165,697

Small 

farmers/ranchers 143,200 41.7 $13,197 17.4 $92,161

Sources: Annual Young, Beginning, and Small Farmer Reports submitted by each System lender through the Farm Credit Banks. 

Note: A “young” farmer/rancher is defined as 35 years old or younger when the loan is made; a “beginning” famer/rancher has been 

operating for not more than 10 years; and a “small” farmer/rancher generates less than $250,000 in annual sales of agricultural or 

aquatic products. Because the totals are not mutually exclusive, you cannot add across young, beginning, and small categories to 

count total YBS lending.

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