Ag at a ‘Breaking Point': Farm Survey Signals Growing Stress Across U.S. Agriculture

Margin pressure and competitiveness concerns are shaping cautious outlooks.

Cotton Plant. Cotton picker working in a large cotton field_Photo by MagioreStockStudio via Adobe Stock.jpg

Photo by MagioreStockStudio via Adobe Stock

LUBBOCK, TEXAS (RFD NEWS) — U.S. farmers are increasingly concerned about long-term profitability and global competitiveness, as rising input costs and weaker margins continue to pressure operations across the country.

A new survey from the Southern Cotton Ginners Association, conducted at the Mid-South Farm & Gin Show, found more than 52 percent of respondents expect to be worse off within two years, while only 9 percent anticipate improvement. Over 75 percent believe U.S. agriculture has lost competitiveness in the past five years, with many pointing to Brazil’s lower costs, fewer regulations, and larger production scale as key advantages.

The cost-price squeeze remains a central concern. More than 80 percent of respondents identified commodity prices as a major issue, while 60 percent cited input costs as a primary pressure on margins. That combination is raising concerns about financial viability, with some producers indicating difficulty securing operating loans for the coming season.

Beyond farm-level economics, structural concerns are also emerging. Respondents highlighted consolidation among input suppliers and broader rural economic decline, including land leaving production and a decline in local operators.

Discussions at the event focused on potential solutions, including policy changes and incentives to support domestic production, but uncertainty remains elevated across the sector.

Farm-Level Takeaway: Margin pressure and competitiveness concerns are shaping cautious outlooks.
Tony St. James, RFD NEWS Markets Specialist
Related Stories
Prepare for acute UAN risk and a brief urea shock; maintain steady ammonia and phosphate plans, and monitor potash basis on the coasts.
“A government shutdown impacts all Americans and has serious consequences, including for farmers. It just adds additional uncertainty, disrupts critical services.”
Agricultural exports continue to be a key contributor to rural employment. However, rural businesses still struggle to fill numerous job openings.
Farm debt is climbing to record levels at ag banks, reflecting pressure on crop producers’ finances even as livestock and land values lend stability to the sector.
On Champions of Rural America, Rep. Dusty Johnson underscores the Western Caucus’ ongoing commitment to advocating for farmers and rural communities.
Consumer demand for regional food systems is strong, but the challenge lies in scaling production and infrastructure to meet that growing need.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Brazil’s ethanol growth could shift the corn trade.
Fuel costs are shaping food and demand patterns.
Strong demand persists despite short-term price pressure.
High prices alone may not drive herd expansion.
Cotton may gain demand as polyester costs rise.
Trust with lenders strengthens farm financial decision-making.