Chapter 12 bankruptcies have nearly doubled in the past year for southern farmers.
University of Arkansas economists report more than 100 filings since July 2024. That is nearly double the same time a year ago.
Arkansas saw the biggest jump, going from 4 to 25 cases.
Analysts say high input costs, tight margins, and debt burdens are hitting smaller operations hardest. Experts urge farmers to plan carefully and take advantage of support services, including the National Agristress Helpline.
Related Stories
Financial matters in farming can be frustratingly complicated, especially when it comes to the process of filing for bankruptcy. That is the topic tackled in today’s blog post by Farm-Legal Expert Roger A. McEowen—the definition of “insolvency” for purposes of the exclusion from income of CODI.