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
Expanding chicken supplies are likely to keep prices under pressure in early 2026 despite steady demand growth.
Prompt removal of Christmas trees and careful handling of decorations reduce winter fire risk during an already high-demand season for emergency services.
Reduced winter placements indicate tighter fed cattle supplies and greater leverage during peak-demand months.
AFBF Economist Faith Parum provides analysis and perspective on the Farmer Bridge Assistance Program—what commodity growers should know and potential remedies for producers facing crop losses where that aid falls short.
In a post to social media, Trump said Venezuela will buy American agriculture products and will use the money from oil sales to make it happen.
Federal nutrition policy is signaling a stronger demand for whole foods produced by U.S. farmers and ranchers. Consumer-facing guidance favors animal protein, but institutional demand may change little under existing saturated fat limits.

LATEST STORIES BY THIS AUTHOR:

A look at the legislative year ahead as lawmakers return to Washington with a slate of trade concerns to tackle in 2026—from new Chinese tariffs on beef imports to the USMCA review this summer.
Shaun Haney, Host of RealAg Radio on Rural Radio SiriusXM Channel 147, joined us with his 2026 cattle market outlook and insights on beef prices.
Farmer Bridge Assistance payments provide immediate balance-sheet support heading into 2026, but remain a short-term bridge rather than a substitute for long-term market recovery.
The New Year is here, but in Oregon, some ranchers and livestock producers are still trying to recover from record wildfires back in 2024.
The U.S. Forest Service takes us on the same journey from a tree farm in Nevada across America to experience the magic of Christmas in the U.S. Capitol.
Rep. Randy Feenstra, R-IA, details how the “One, Big, Beautiful Bill” Act (OBBBA) supports farmers, biofuels, and rural communities with tax breaks, crop insurance relief, and ag infrastructure.