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
Agronomy experts explain why standing crop residue protects soil and reduces costs for crop growers, while shredding often yields little benefit at higher costs.
January 14, 2026 08:00 AM
·
Freight volatility increasingly determines export margins, making logistics costs as important as price in marketing decisions.
January 14, 2026 06:00 AM
·
Texas Agriculture Commissioner Sid Miller today unveiled a bold plan to protect the nation’s prime farm and ranchland from the rapid spread of data centers.
January 13, 2026 03:36 PM
China’s beef policy risk stems from domestic volatility, making export demand inherently unstable. Jake Charleston with Specialty Risk Insurance offers his perspective on cattle markets, risk management, and producer sentiment.
January 13, 2026 02:13 PM
·
USDA flash corn sales, Cattle on Feed and Inventory reports, and beef packer antitrust concerns dominate January agricultural market news.
January 13, 2026 01:53 PM
·
Larger grain stocks increase supply pressure, but strong fall disappearance — especially for corn and sorghum — suggests demand remains an important offset.
January 13, 2026 01:02 PM
·
Record corn and sorghum crops boost feed grain supplies, while reduced soybean and cotton production tighten outlooks for oilseeds and fiber markets.
January 13, 2026 12:53 PM
·
Food prices increased in December, but not as much as expected, according to the latest Consumer Price Index from the U.S. Bureau of Labor and Statistics.
January 13, 2026 12:46 PM
·
Lewis Williamson with HTS Commodities joined us to provide analysis on the January WASDE report and expectations for grain markets going forward.
January 13, 2026 12:34 PM
·
