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
Higher food costs are showing up beyond the grocery aisle, with some major restaurant chains shrinking their U.S. footprint.
Drought and Planting Shape Weekly State Agriculture Recap
Farmers will soon be asked to help shape some of USDA’s most closely watched crop and inventory reports.
For farm country, that caution can mean higher costs, slower service, and less local investment.
Rayburn Electric Cooperative’s Chris Anderson discusses rapid AI data center expansion, mounting pressure on the electric grid, and impacts on agriculture and rural communities.
Dr. Derrell Peel says long-term price relief will depend more on rebuilding the U.S. cattle herd than increasing imports.

Marion is a digital content manager for RFD News and FarmHER + RanchHER. She started working for Rural Media Group in May 2022, bringing a decade of digital experience in broadcast media and some cooking experience to the team.

LATEST STORIES BY THIS AUTHOR:

Louisiana Lt. Gov. Billy Nungesser took time to visit our Nashville studio and discuss his state’s integral support of CMA Fest with longtime friend, RFD-TV’s own Tammi Arender.
The JBS Australia study documented the carbon footprints of 176 cattle farms that claimed to be implementing regenerative agriculture practices.
Community gardens are believed to increase fruit and vegetable intake in an area, provide educational opportunities, and even lead to community beautification.
Eleven states have confirmed cases of High-Path Avian Flu (HPAI H5N1) in dairy herds, with the latest confirmed outbreak coming out of Minnesota.
With ransomware and other cybersecurity threats on the rise, the U.S. Small Business Association wants to help bolster the resources available to farmers and other rural Americans who operate small businesses.