Government programs are only a “band-aid” when it comes to the farm economy, according to an economist

Other policy shifts are likely to impact ag exports. One economist warns products could start to build up and says government programs only go so far.

“Yes, government programs help, but that’s sort of a band-aid. And in the long term, there’s not a lot of risk management tools either. And so you think about crop insurance, it’s a year over year change, that it helps with working capital, can only last us so long. So these trade implosions is just an issue where we don’t have a lot of risk management. We don’t have a lot of policy programs to help fix that. And that’s why we’re thinking about that. I just, I think that the, the long tail on that could be really, really challenging,” said David Widmar.

Widmar also warns margins are likely to feel squeezed for some time. He tells aginfo.net more cuts will likely need to come before there is any kind of noticeable relief.

Related Stories
Jeramy Stephens, with National Land Realty, says that despite today’s economic headwinds, farmland remains a resilient asset — and understanding local conditions is key to making sound decisions.
FarmHER Christina Woerner McInnis joined us to discuss the next episode of “FarmHER + RanchHER” and her decision to run for Alabama Ag Commissioner.
The U.S. pork industry is staying vigilant in keeping its supply safe from foreign animal diseases like African Swine Fever.
“American soybean farmers—who are already reeling from your sweeping tariffs—deserve better.”
The shutdown is yet another hurdle for producers navigating a challenging year marked by high input costs, volatile markets, and uncertain trade conditions.

LATEST STORIES BY THIS AUTHOR:

Beef industry groups seem to agree — market-based pricing, not federal intervention, best supports rancher livelihoods and long-term beef supply stability.
Cattle groups say additional imports would offer little relief for consumers but could erode rancher confidence as the industry begins to rebuild herds.
Harvest Pace, Logistics, and Input Costs Drive Fall Decisions
The USDA’s latest Hogs and Pigs Report caught some analysts off guard. Inventories came in lower than expected, signaling tighter supplies ahead, even as producers return to profitability this year.
Over the past decade, Tractor Supply has expanded its support through sponsorships and youth programs, all part of its broader mission to invest in the future of agriculture.
Understanding how these tax provisions interact will be key for farmers planning long-term equipment purchases or transfers within the family.