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
According to November’s Cattle on Feed Report, Nebraska now leads the nation in cattle feeding as tighter supplies continue to reshape regional market power and long-term price dynamics.
Lower U.S. and Mexican production means tighter sugar supplies and greater reliance on imports headed into 2026.
The agriculture workforce remains strong and diverse, offering meaningful pathways for students pursuing careers that support the food and farm economy.
Richard Gupton of the Agricultural Retailers Association explains a new resource designed to help farmers comply with ESA-related pesticide label requirements.
Lower tariff rates and new rail-service proposals may improve corn movement efficiency during early-season marketing.
Early Cattle-on-Feed estimates point to slightly tighter cattle supplies, reinforcing the need to monitor prices and timing for winter marketing.
Farmland values remain stable, but weakened credit conditions and lower expected farm income signal tighter financial margins heading into 2026.
Dalton Henry, with U.S. Wheat Associates, joined RFD-TV to provide insight on what the pending trade frameworks may mean for American wheat growers.
Urea and phosphate see the biggest price relief from tariff exemptions, but nitrogen markets remain tight, and spring demand will still dictate pricing momentum.

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:

Joe Peiffer with Ag & Business Legal Strategies advises farmers on end-of-year financial planning, including preparing records, avoiding common credit mistakes, and evaluating equipment purchases for 2026.
Lewie Pugh with the Owner-Operator Independent Drivers Association (OOIDA) discusses the gap in truck driver education programs and how it impacts road safety and supply chain economics.
She joined us on Monday’s Market Day Report to share more about her new cookbook, “Dishes and Devotions: Make Every Day Delicious,” which recently hit #1 in Amazon’s Cajun & Creole Cooking category.
$11 billion will go to row-crop farmers immediately, with $1 billion set aside for specialty crops.
Eastern Region VP Joey Nowotny of Delaware joins us on FFA Today to talk about his new leadership role and an exciting year ahead for the National FFA Organization.
Cattle imports from Mexico remain stalled amid the New World screwworm outbreak. At the same time, Tyson closures add pressure on Nebraska producers and markets ahead of the USDA’s upcoming Cattle on Feed Report.