CoBank 2026 Outlook: Global Grain Surpluses, Heavier Carcasses, and Tech Expansion Shape the Year Ahead

CoBank’s 2026 Year Ahead Report cites global grain oversupply, easing inflation, rate cuts, and major data center growth that could reshape rural America.

NASHVILLE, TENN. (RFD-TV) — New data this week offers a look at what the agriculture sector could face next year. CoBank’s 2026 Year Ahead Report identifies several areas it believes will shape the industry.

On the grain side, CoBank estimates a global oversupply. They warn U.S. farmers will face many hard choices before spring planting. For proteins, economists said heavier carcasses and smarter feeding will be key priorities in the year ahead.

Regarding the overall economy, CoBank said core inflation will likely soften further in the second half of the year. Economists also expect more interest rate cuts in 2026, following three modest cuts in 2025.

Digital infrastructure is also a key component of the report. CoBank reports a surge in demand for data centers, and rural towns are often ideal locations. While there has been pushback, they say companies like Microsoft and Amazon are writing big checks to be part of those communities, forecasting that communities rejecting data center projects could trigger significant financial losses for rural areas in the months and years ahead.

READ MORE: CoBank - Ample global supplies and trade uncertainty will burden markets in 2026

Related Stories
Expanding cheese exports are strengthening U.S. milk demand and reinforcing global competitiveness.
Strong global demand and falling stocks suggest continued price volatility for U.S. coffee buyers despite record world production.
U.S. dairy producers remain the primary growth engine globally, while tightening supplies in Europe and New Zealand could support export demand for American dairy products.
Fewer acres and stronger prices suggest disciplined hop production is supporting market balance despite lower output.
Benchmark machinery costs against those of similar-sized, high-performing operations to inform equipment and investment decisions.
Record pace corn exports are helping stabilize prices despite softer global grain production and ongoing supply competition.
Broader export demand helps stabilize prices and supports stronger marketing opportunities over time.
Rising production underscores the importance of marketing discipline and margin protection as milk supplies expand.
Farms and major food companies use AI to improve efficiency and forecast demand. Still, developers said that training AI for different uses is only possible with support from knowledgeable workers.

Marion is a digital content manager for RFD-TV and The Cowboy Channel. She started working for Rural Media Group in May 2022, adding a decade of experience in the digital side of broadcast media and some cooking experience to the team.

LATEST STORIES BY THIS AUTHOR:

Dirt Diaries is where women in agriculture pull back the curtain and get real. The latest episode features Zoe Kent, known online as Farm with Zoe!
The Consumer Price Index rose 0.4 percent in August, led by higher shelter, food, and gasoline prices. Year over year, inflation is up 2.9 percent.
The Arkansas Farm Bureau takes us there for a tour of the facility that will expand livestock education in a key agricultural region.
The Cotton Jassid previously detected in Georgia has now made its way to the Lone Star State.
RealAg Radio host Sean Haney joins us for a Canadian perspective on President Trump’s controversial tariff rollout, lower court rulings, and upcoming review by the U.S. Supreme Court.
The Interior Department is proposing to repeal the Bureau of Land Management’s Public Lands Rule. This move would make huge strides to empower local decision-making and restore balance between conservation and protecting rural livelihoods tied to these public lands.