DALLAS, Texas (RFD-TV) — Farm finances in the Eleventh Federal Reserve District showed a modest improvement in the third quarter of 2025, helped by widespread summer rains that lifted crop yields and supported pasture conditions. Despite stronger production, bankers reported that low commodity prices continue to pressure farm incomes, especially for row-crop operations entering harvest with several years of weak margins and growing carryover debt. Lenders noted that many farmers are having difficulty preparing 2026 budgets as input costs remain elevated and grain futures remain soft, increasing the likelihood of extended credit and a heavier reliance on government assistance.
Credit conditions reflected these stresses. Loan demand declined during the quarter, even as the availability of funds increased and repayment rates moved only slightly lower. Renewals and extensions continued to rise, suggesting that producers are working to bridge income shortfalls with operating credit. Loan volumes fell across most categories except operating loans. Land markets presented a mixed picture: dryland and ranchland values increased, irrigated land slipped, and cash rents rose for irrigated acres but fell for dryland and ranchland. Bankers also anticipated a downward trend in farmland values heading into winter.
Livestock producers remained a bright spot. Record-high cattle prices continued to bolster ranch incomes and improve repayment strength, creating a clear divide between crop-focused and livestock-focused borrowers as year-end approaches.
Farm-Level Takeaway: Strong yields and higher cattle prices helped stabilize conditions, but weak crop prices and rising carryover debt remain major challenges for Eleventh District farmers.
Tony St. James, RFD-TV Markets Specialist
Even in this strong market, some beef producers are leaving money on the table by not following proven marketing practices.
October 14, 2025 12:03 PM
·
President Trump is expected to press Argentina to take a tougher stance on China in exchange for political and economic support.
October 14, 2025 11:12 AM
·
For rural borrowers, freeing up community-bank balance sheets could mean steadier home loans, operating lines, and ag real-estate financing as winter planning ramps up.
October 13, 2025 04:08 PM
·
Tammi Arender takes us to 3 Board Farm to meet some first-generation farmers who took a leap of faith and, in the process, found a new purpose.
October 13, 2025 02:11 PM
·
Nick Andersen, Nationwide’s VP of Agribusiness Claims, shares tips for managing weather-related risks in agriculture using their new Hail and Wind Alert Program.
October 13, 2025 01:57 PM
·
“Good flies? Is that like a good fire ant?” Miller said. “I don’t know what a good fly is. I don’t know if they’re afraid to kill house flies or stable flies, but I’m ready to kill the screwworm fly.”
October 13, 2025 01:28 PM
·
The American Farm Bureau Federation (AFBF) is urging Congress and the Trump Administration to act quickly on behalf of American agriculture.
October 13, 2025 11:42 AM
·
Better yield measurement means fairer grids, more precise breeding targets, and more dollars for truly efficient cattle.
October 13, 2025 10:45 AM
·
Large animal veterinarian Dr. Rosalyn Biggs with Oklahoma State University warns producers may not be prepared for the real threat of New World Screwworm.
October 09, 2025 01:10 PM
·
