Farm Economy
Going into the final weeks of the year, many growers across the country are shouldering significant financial strain from land rent payments, rising input costs, and efforts to stay in business and viable until commodity prices improve.
USDA says anticipated trade aid could be announced the first week of December, but ag economists are split on whether payments would provide relief or worsen lingering risks such as high input costs and market distortions.
Reflecting a marked decline in expectations as margins tighten, ag lenders surveyed in mid-2025 report only around 52% of their farm-business borrowers will remain profitable this year.
Beijing’s refusal to buy American and its pivot to Brazil could be less about economics and more to do with politics. “It’s a calculated decision about control and national leverage, not about getting the cheapest beans,” says one ag economist.
Farm economists say today’s ag slowdown “isn’t a collapse, but it’s a grind.” From trade woes to rising costs and consolidation, experts warn recovery could take time, even as livestock markets stay strong.
Some row-crop growers are converting acres, banking on long-term opportunities with beef. Others are staying the course with crops but embracing ways to add some dollars to their bottom line in the short-term.
The government shutdown halts USDA marketing loans, cutting off a vital tool for farmers and adding financial strain during harvest season. Experts warn the impact could deepen.
Iowa farmland values remain strong despite lower grain prices and rising financial stress. Tight supply, local farmer demand and low debt keep land prices surprisingly resilient.
Various programs and reports are on hold. Among them are EQIP and SDRP. Also in jeopardy of being delayed or cancelled is the October WASDE, due this Thursday.
Third-generation farmer Amy France and team at NSP are on a mission to improve buyer demand for the crop domestically and abroad.