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
RFD-TV Farm Legal and Taxation expert, Roger McEowen, with the Washburn School of Law, joined us Monday to break down the changes and explain what producers should know.
North Dakota Farmers Union (NDFU) President Mark Watne joined us Monday to share his perspective on the America First Trade Promotion Program and potential implications for producers.
A booming butterfat market is good for some dairy products but threatens efficiency and margins for cheesemakers unless protein levels catch up
Duane Simpson, CEO of the National Council of Farmer Cooperatives (NCFC), joined us in Monday’s Market Day Report to share his perspective on the USDA’s plan and potential impact on producers.
Land values are increasing faster than farm income, making it more challenging for young and beginning farmers to expand, but supporting equity for current landowners.

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:

Bridge payments are helping, but many producers still face losses and tight margins. AEM’s Curt Blades joins us to discuss how the current farm economy is pressuring equipment demand.
Rising ethanol stocks and softer gasoline demand bear watching, but stronger blending activity and exports offered some support.
Corn export demand remains supportive, but weak pork and rice sales show uneven global demand trends.
Rising poultry supply is pressuring prices despite steady demand.
Brazil’s ethanol growth could shift the corn trade.
Fuel costs are shaping food and demand patterns.