WEST LAFAYETTE, IND. (RFD NEWS) —Farmer sentiment declined again in June as producers continue to navigate economic challenges, with high input costs remaining the top concern according to the latest Ag Economy Barometer from Purdue University and the Center for Commercial Agriculture.
Dr. Michael Langemeier, senior author of the report and Purdue University professor of agricultural economics, joined us on Tuesday’s Market Day Report to discuss what the latest survey reveals about producer confidence, financial pressures, and expectations for the months ahead.
Langemeier said the June report showed a six-point decline in farmer sentiment, with both current conditions and future expectations weakening. He said high input costs remain the biggest challenge facing producers, with 47 percent of respondents citing them as their top concern.
He noted that many farmers are still feeling pressure from the gap between production costs and commodity prices. The survey found 42 percent of producers said high input costs are limiting improvements in their farm’s financial position this year, while low crop and livestock prices were the second-largest concern.
Despite those challenges, Langemeier said producers remain relatively optimistic about some longer-term indicators. The survey showed farmers continue to have confidence in long-term farmland values, with the long-term farmland value expectations index reaching a record high.
He added that producers also remain hopeful about export opportunities, with 43 percent of respondents expecting agricultural exports to increase over the next five years. Langemeier said that confidence reflects continued belief in global demand for U.S. agricultural products and the importance of maintaining strong trade relationships.
The survey also examined producer views on artificial intelligence and data-driven tools in agriculture. Langemeier said adoption remains in the early stages, with 52 percent of respondents saying they do not yet see a meaningful benefit from those technologies. He noted that farmers are likely waiting for clearer applications that can deliver measurable improvements in productivity, profitability, or risk management.
Looking ahead, Langemeier said he will continue watching commodity prices, input costs, weather conditions, trade developments, and producer investment decisions as the industry moves through the second half of the growing season.
While current conditions remain challenging, he said the survey shows farmers continue to balance short-term economic pressures with confidence in agriculture’s long-term opportunities.
