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
No, it is not some new college course — Clemson has been making blue cheese since 1941, and the product has developed a worldwide following and won some pretty big awards. With good reason — it is fantastic stuff. It is also fascinating to see how it is made. Check out this sneak peek look at the latest episode of Where the Food Comes From, “Clemson Blue.”
October 24, 2023 11:32 AM
·
The machines do all the work at Hickory Hill Milk in South Carolina, and the pampered cows get on-demand service. The team at Where the Food Comes From shares a special, behind-the-scenes account filming the show’s newest episode, Robot Dairy, premiering this Friday, Oct. 20, 2023, at 9:30 p.m. ET on RFD-TV!
October 19, 2023 09:00 AM
·
How does a robot milk a cow?
October 18, 2023 09:00 AM
·
The machines do all the work at Hickory Hill Milk in South Carolina, where the pampered cows get on-demand service. They make a premium cream line of milk you still have to shake. It is so good it is used to make the world-famous Clemson blue cheese.
October 17, 2023 01:55 PM
·
In today’s blog post, RFD-TV Agri-Legal Expert Roger A. McEowen shares some random thoughts on land value and transitioning your farming or ranching business to a new generation.
October 13, 2023 11:31 AM
·
Today’s blog post by RFD-TV Agri-Legal Expert Roger McEowen takes a look at the “preferential payment rule,” a unique bankruptcy provision that can come as a suprise to farmers in financial distress.
October 13, 2023 10:54 AM
·
Acquiring farm or ranch land, as well as the key concepts and issues are the topics of today’s blog post by RFD-TV Agri-legal Expert Roger McEowen.
October 12, 2023 03:01 PM
·
The classification of persons conducting farming operations for a farm landowner—that is the topic of today’s blog post by RFD-TV farm-legal expert Roger A. McEowen.
October 02, 2023 02:27 PM
·
September 14, 2023 12:52 PM
