Ag Economy
The April Ag Economists’ Monthly Monitor found most agricultural economists think it could be 2026 before we see Congress final pass a new bill. One reason why is the fact Congress passed $10 billion in ECAP payments late last year.
While 56% of farmers say they believe the ongoing trade disputes with China and other countries will hurt them financially this year, 70% say they believe the U.S. and agriculture specifically will benefit in the long-term.
U.S. Secretary of Agriculture Brooke Rollins testified in front of the Senate Appropriations Committee on Tuesday, fielding questions on everything from USDA’s bold budget cuts and frozen funding to the fate of the nearly $21 billion in disaster aid.
The stakes are high with the latest trade war. While the risks of losing more market share into China are a concern, the upside potential of a trade deal with China could be monumental.
Agriculture is an export dependent business. At peak uncertainty, the industry could go either way: Gain ground with new trade deals or take a big hit as exports further decline.
A new report from Bloomberg Law shows family farm bankruptcies had already increased by 55% last year compared to 2023, and to start 2025, the number of bankruptcies is already exceeding the same time last year.
Growers are grappling with a second consecutive year of waning demand and no home for their grapes. The issue is complex with non-tariff trade barriers hitting the wine industry especially hard and a flood of imports that are creating cheap wine with which U.S. grape growers can’t compete.
Soybeans and cotton are currently taking the brunt of Trump’s still-developing trade policies, and one ag economist thinks its still too early to tell how the situation will impact renewable fuels and land ownership.
The initial round of ECAP payments will only amount to 85% of the per-acre payment to ensure enough funding is available for all farmers who sign up for the program.
On Wednesday afternoon, President Trump announced a series of tariffs, scheduled to start over the next few days, on some of agriculture’s most significant trade partners. Some corn and soybean growers say they are bracing themselves for potentially more financial pain ahead.
The downturn in the ag economy has everyone from farmers and ag lenders to even ag economists concerned. Waning optimism is an overriding theme for the row crop side of agriculture, yet some farmers hope President Donald Trump’s tough stance on trade can get the ag economy back on track longer-term.
The opportunity to participate comes available at a crucial time, as growers are experiencing low commodity prices, high input costs and a variety of trade uncertainties.
The March Ag Economists’ Monthly Monitor found 62% of ag economists think the row crop side of agriculture is currently in a recession, and 85% think the situation will accelerate consolidation on farms and among agribusinesses.
Canadian farmers are on edge as the latest trade war could impact the crops they grow as well as the inputs they need to plant a crop this spring.
The senior senator from Iowa wants E15 approved for year-round use, fair and tariff-free trade, plus more action and a lot less talk regarding tax cuts and budget reconciliation efforts in the Senate.
The majority of respondents in the March Ag Economists’ Monthly Monitor agree the U.S. is currently in a trade war, but who wins? Ag economists say it’s not the U.S., Canada or Mexico but rather Brazil that could come out on top.
According to the Department of Government Efficiency website, these offices are located in 40 states, and the total savings from this move would add up to more than $60 million.
While many farmers are comparing the current threats of tariffs and trade wars to the situation they endured in 2018, Joe Vaclavik believes this time will be better.
President Trump’s new tariffs on imports from Canada, Mexico and China have gone into effect. While the economic consequences are unknown, Secretary of Agriculture Brooke Rollins has promised to have a plan ready for farmers, if needed.
China retaliated swiftly on Tuesday with 10% to 15% retaliatory levies impacting $21 billion worth of U.S. agricultural and food products, moving the world’s top two economies a step closer toward an all-out trade war.
Under the direction of Secretary of Agriculture Brooke Rollins, USDA is ready to roll out a number of programs that have been on hold pending review, and she’s pushing Congress to get to work on finishing a new farm bill.
The look at corn and soybean acreage under current conditions will be among the key focal points during the event, but it will also be key to see how USDA paints an export outlook with so much uncertainty surrounding tariffs and trade.
Time is running out for USDA to issue economic relief payments to farmers in the 90-day window set by Congress. According to some sources, producers are banking on the payments, even making business decisions based on projected payment calculations.
From tariffs and trade to the possible impact of President Donald Trump’s plan to cut regulations and taxes, ag economists surveyed in the latest Ag Economists’ Monthly Monitor weigh in on the main factors driving the ag economy in 2025.
A staggering 345% increase in government payments — from $9.3 billion in 2024 to $42.4 billion in 2025 — is the key factor behind the income boost.
Despite economic concerns, row-crop and livestock producers offered a mostly positive outlook on the future of agriculture.
Trump recently signed three executive orders imposing tariffs on Canada, Mexico and China. This marks the first time a president has used powers granted under the International Emergency Economic Powers Act of 1977.
The Panama Canal is in President Donald Trump’s crosshairs — and he’s pledged to retake control of the strategic waterway due to Chinese influence. He also claims U.S. ships have been unfairly charged for using the canal.
With the farm bill now extended for another year, ARC-CO and PLC support levels for 2025 are now known. A new report from Terrain breaks down the numbers.
U.S. biofuels and corn groups criticized the overall guidance as lacking details on what qualifies for tax credits.