Farm economic conditions weakening, farmers say

WEST LAFAYETTE, Ind. — The Ag Economy Barometer rose one point in September, but farmers’ perceptions about current conditions on the farm fell seven points — suggesting concern about record-high corn and soybean yields pressuring crop prices.

At the same time, optimism about the future increased five points, with many farmers believing U.S. policy is “headed in the right direction.”

There are also hopes for a potential government support program due to lower commodity prices.

More than 80% of producers think it’s likely or very likely that, in the event that a trade war negatively impacts commodity prices, a program similar to 2019’s Market Facilitation Program will help compensate for agricultural product price weakness.

Other Highlights

• Farmers expect weaker financial performance in 2025 than in 2024.

• Fewer farmers this month said they expect farmland values to rise in the year ahead than in previous surveys this year.

• Weakness in the farm financial outlook spilled over into a weaker capital investment outlook by producers.

• Over half, 53% of the farmers that were surveyed reported using cover crops on at least some of their acreage. Among cover crop users, 40% said they adopted the practice within the last five years, while 9% have used cover crops for more than two decades.

Learn more at purdue.edu/agbarometer.