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Farm Price Distress in Perspective
Good harvests, disruptions to international trade, and demand shifts have reduced recent and forecast prices for several important farm commodities, but other commodities continue to fare reasonably well in the market.
Current and projected farm prices for grains and oilseeds are especially low during the 2025 harvest season compared with the past few years. However, current and projected livestock prices and incomes, which account for the majority of farm revenue, are unusually high.
As with other industries, farm input prices, including labor costs, have risen with inflation. Nonetheless, forecasts show that for the agricultural sector as a whole, returns to farm operators in 2025 will be well above net returns of most recent years.
Current and projected farm prices for grains and oilseeds are especially low during the 2025 harvest season compared with the past few years. However, current and projected livestock prices and incomes, which account for the majority of farm revenue, are unusually high.
As with other industries, farm input prices, including labor costs, have risen with inflation. Nonetheless, forecasts show that for the agricultural sector as a whole, returns to farm operators in 2025 will be well above net returns of most recent years.
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