It’s no secret a margin squeeze is impacting row crop farmers from across the U.S. Even with nearly $10 billion in direct payments set to be sent to farmers through the American Relief Act of 2025 passed by Congress, the forecast for margins in 2025 doesn’t look to improve.
USDA’s 2024 net farm income forecast released in December showed crop cash receipts were expected to end the year at $246.2 billion, a decrease of $25.0 billion (9.2 percent) from 2023. USDA says combined receipts for corn and soybeans are forecast to fall $23.5 billion; however, vegetable and melon receipts are expected to increase.
According to USDA’s forecast, corn receipts are expected to fall by $16.6 billion, or 20.8 percent.
Farmers are looking at ways to cut back. Whether it’s reducing fertilizer applications or shopping for more generic products to use on the farm, crucial decisions are being made so farmers can weather the current downturn.
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