MINNEAPOLIS, MINNESOTA (RFD NEWS) — Economic growth across the Federal Reserve’s Ninth District continued in 2025, but agriculture remained a weak spot as lower commodity prices, high costs, and trade uncertainty weighed on farm states. That was a key takeaway from discussions at the Minneapolis Fed’s Regional Economic Conditions Conference held in early January.
While overall gross domestic product (GDP) expanded, growth was uneven and often volatile. In states such as North Dakota, South Dakota, and Montana, agriculture played a central role in shaping economic outcomes, though not always positively. Farm profitability remained under pressure from depressed prices, elevated input costs, and high land rents.
Trade policy added another layer of strain. Economists noted that shifting tariff policies and retaliatory trade actions disrupted export markets critical to farm income. The stop-and-start nature of those policies made planning and risk management more difficult for producers.
Farm-Level Takeaway: Agriculture remains a key drag on regional growth amid weak prices and policy uncertainty.
Tony St. James, RFD NEWS Markets Specialist
Outside the farm sector, labor markets cooled but remained relatively tight, limiting relief on wage and service costs faced by agriculture. Construction and infrastructure shortages continued to drive up energy and transportation costs, indirectly affecting farm operations.
Looking ahead, conference participants said agriculture’s performance will remain closely tied to price recovery, export stability, and input cost moderation, all of which will shape rural economic conditions in 2026.
The Tennessee Department of Agriculture is helping connect veterans with resources to pursue careers in farming and agriculture.
November 14, 2025 03:45 PM
·
As economic pressures continue to squeeze agriculture, ag lenders are signaling a more cautious outlook for farm profitability heading into next year, particularly among grain producers facing lower commodity prices and higher operating costs.
November 14, 2025 02:10 PM
·
USDA released the November WASDE Report on Friday, the first supply-and-demand estimate to drop since September, just before the 43-day government shutdown.
November 14, 2025 12:22 PM
·
U.S. Trade officials announced new deals with El Salvador, Guatemala, Ecuador, and Argentina, as well as a steep reduction in tariffs on Swiss imports.
November 14, 2025 11:58 AM
·
AFBF economist Faith Parum breaks down the potential impact of the proposed policy change to allow year-round sales of E15 biofuel.
November 13, 2025 02:34 PM
·
The request follows pressure from the American Sheep Industry Association (ASIA), which called for a formal investigation into whether lamb imports from Australia and New Zealand have cut into the U.S. market share.
November 13, 2025 02:22 PM
·
Learn the conditions farmers must meet to qualify for this new three-year tax deferral on farmland sales, how much it could save, and other details to consider.
November 13, 2025 01:57 PM
·
RFD-TV farm legal expert Roger McEowen digs into the details on how to make your rural property dreams a reality — and avoid a living nightmare.
November 13, 2025 01:24 PM
·
The facility will increase the range of sterile fly release and bolster preparedness for New World Screwworm.
November 13, 2025 01:15 PM
·
