WASHINGTON, D.C. (RFD NEWS) — U.S. farm price relationships weakened further at the end of 2025 as prices received by producers declined while costs continued to climb, tightening margins across much of agriculture. USDA’s December Agricultural Prices report (PDF Version) shows broad pressure on livestock values alongside modest relief in select crop markets.
The December Prices Received Index fell 3.1 percent from November and 4.6 percent from a year earlier. Crop prices were mixed, with the Crop Production Index down 2.4 percent month to month but still 3.4 percent above December 2024. Livestock prices drove most of the decline, with the Livestock Production Index dropping 5.7 percent from November and 13 percent from a year ago. Lower prices for cattle, milk, eggs, and lettuce outweighed gains in broilers, corn, grapes, and calves.
At the same time, input costs continued to rise. The Prices Paid Index increased 0.3 percent from November and stood 8.5 percent higher than a year earlier. Higher costs for feeder cattle, feeder pigs, nitrogen, and concentrates offset lower fuel, feed, and forage prices.
The ratio of prices received to prices paid slipped to 79, underscoring ongoing margin stress.
Farm-Level Takeaway: Falling livestock prices combined with higher input costs continue to squeeze farm profitability heading into 2026.
Tony St. James, RFD NEWS Markets Specialist
Farm CPA Paul Neiffer joined us to break down the recent Fifth Circuit Court decision overturning a prior Tax Court decision on self-employment tax for limited partners, the ruling’s impact on farmers, and potential next steps in Congress.
January 23, 2026 02:00 PM
·
Americans for Prosperity Arkansas Director Ryan Norris talks energy infrastructure, regulatory reform, and the role of critical minerals in supporting rural America.
January 23, 2026 01:54 PM
·
Rural population growth and stabilizing economic indicators point to post-pandemic recovery, but uneven income, shifting industries, and regional divides remain key challenges for rural communities.
January 23, 2026 08:00 AM
·
Large-scale land purchases signal rising competition for ranchland, reinforcing its value while reshaping long-term access and control in rural agriculture.
January 23, 2026 07:00 AM
·
Moderate oil prices may ease fuel costs, but continued caution in the energy sector could limit rural economic growth.
January 22, 2026 06:00 PM
·
Decoupled base acres may amplify income inequality and distort planting decisions as farm program payments increase.
January 22, 2026 12:56 PM
·
The Farm Bureau is making an urgent call to Congress for more farm support. Colton Lacina with Farmers National Company joined us to discuss farmland values and how market dynamics for the year ahead reflect stabilization rather than collapse.
January 21, 2026 12:30 PM
·
Corn and wheat exports remain a demand bright spot, while soybeans are transitioning into a more typical late-winter shipping slowdown.
January 21, 2026 10:36 AM
·
Despite rising costs and growing food insecurity, meat demand remained strong in 2025 as higher-income consumers offset cutbacks elsewhere. Economists break down the K-shaped economy, upcoming USDA cattle reports, livestock production outlooks, and renewed debate over beef imports and country-of-origin labeling heading into 2026.
January 20, 2026 02:47 PM
·
