Montana's agricultural sector had an excellent year, producing an estimated $3.2 billion of sales in 2008 and an estimated $1 billion in net farm income. Nationally, farm household income for 2008, which includes off-farm income, is projected to increase by 10%, substantially larger than the 2001-2007 average. The 2009 Montana agricultural outlook for both crops and livestock is promising with lower, but still relatively strong prices for crops and livestock. In Montana, wheat production increased by nearly 10% from 149.8 million bushels in 2007 to 164.7 million bushels in 2008. US cattle inventories have been relatively stable since 2007. Beef prices in 2008 have been influenced by higher feed grain prices, import and export demand, and domestic consumption. In the summer of 2008, with strong grain and livestock cash and futures market prices, many Montana agricultural producers were guardedly optimistic about their financial prospects in 2009.