{"id":992022,"date":"2026-08-10T00:14:26","date_gmt":"2026-08-10T00:14:26","guid":{"rendered":"https:\/\/www.europesays.com\/us\/992022\/"},"modified":"2026-08-10T00:14:26","modified_gmt":"2026-08-10T00:14:26","slug":"economic-pulse-as-losses-deepen-action-needed-to-help-stabilize-the-ag-economy-shaw-local","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/us\/992022\/","title":{"rendered":"Economic Pulse: As losses deepen, action needed to help stabilize the ag economy \u2013 Shaw Local"},"content":{"rendered":"<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Crop farmers continue to face elevated production costs, lower commodity prices and tight margins \u2014 with no relief on the horizon.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Multiple years of high input costs, declining crop prices, trade uncertainty, global energy volatility and negative margins have weakened farm balance sheets and reduced working capital.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Without additional support, more farmers will face difficult decisions about whether they can continue operating into the next crop year.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Congress and the administration have already taken important steps to respond to these economic headwinds.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">In late 2024, lawmakers passed the American Relief Act, which included $10 billion in aid for row crop farmers through the Emergency Commodity Assistance Program to address economic losses from the 2023 and 2024 crop years.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">The Farmer Bridge Assistance Program provided $11 billion in short-term economic relief to row crop farmers, while the U.S. Department of Agriculture initially reserved another $1 billion for specialty crop and sugar assistance for losses felt in 2025.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">USDA later finalized $1.625 billion specifically for eligible fruit, vegetable and tree nut growers through the Assistance for Specialty Crop Farmers Program, an increase from the amount originally set aside, with sugar assistance addressed separately.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Combined, these programs provided more than $23 billion in economic assistance. But some sectors of agriculture are projected to face yet another consecutive year of losses, leaving cumulative shortfalls that remain well beyond the support provided to date.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">An analysis by the American Farm Bureau Federation projects 2027 will mark a sixth year of negative returns over total costs for most major row crops. Specialty crop farmers are experiencing similar financial strain.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">At the same time, fertilizer and fuel prices remain volatile, with the Iran conflict adding additional pressure to those markets.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Corn losses are projected by AFBF to increase from $131 per acre this year to $167 per acre next year, with soybean losses projected to increase from $80 per acre to $138 per acre and wheat losses projected to increase from $114 per acre to $145 per acre.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">In total dollar terms, corn accounts for the largest projected loss at $15.8 billion, followed by soybeans at $11.6 billion and wheat at $6.6 billion.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Near-term economic assistance is needed to help farm families offset trade-related losses and increased input costs intensified by geopolitical conflict.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Longer-term policy solutions are also needed to strengthen the farm economy beyond immediate assistance.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Swift implementation of farm bill improvements, protecting interstate commerce from a patchwork of state laws, stronger risk management tools including better data collection and publication to support more effective options for specialty crop producers, and domestic market-expanding policies can help improve demand, provide certainty and reduce the risk of further farm closures.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Together, short-term assistance and long-term policy solutions will help protect rural communities and ensure farmers can continue producing the food, fuel and fiber Americans rely on.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\"><b>Farm aid fate still uncertain<\/b><\/p>\n<p><img decoding=\"async\" alt=\"Glenn &#x201C;GT&#x201D; Thompson\" src=\"https:\/\/www.europesays.com\/us\/wp-content\/uploads\/2026\/08\/L6PVJVN4NJDXRJB5E4JGOJEOYM.jpg\" width=\"1440\" height=\"0\" loading=\"lazy\"\/><\/p>\n<p class=\"ImageMetadata__MetadataParagraph-sc-1gn0vty-0 ijEZZk image-metadata\">Thompson (Provided photo\/House Committee on Agriculture)<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">The House moved to head-off a potential shutdown before this fall\u2019s critical midterm elections by advancing a bill to fund the federal government through Dec. 4.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">The measure passed by just two votes. Approval in the Senate will likely be a challenge.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Included in the $95 billion budget reconciliation package is $12 billion in additional agricultural assistance.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">The 216-to-214 vote on July 21 sends the stopgap, known as a continuing \u200bresolution, to the \u200bSenate, where Republican leaders are \u200cexploring \u2060their own short-term funding bill in negotiations with Democrats.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Without action by \u200bCongress, \u200bfunding \u2060for most federal agency programs will \u200bexpire at midnight \u200bon \u2060Sept. 30, the end of the current \u2060fiscal \u200byear.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">The new funding would add to $12 billion in aid the administration has already disbursed to farmers this year, as the industry sags under high \u200bproduction costs and low crop prices, made worse by trade policies and the war with Iran.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">House Agriculture Committee Chairman Glenn \u201cGT\u201d Thompson said the additional assistance is necessary as many farmers continue dealing with significant economic challenges.<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">\u201cAmerican producers are currently staring down the barrel of $80 billion in uncovered farm losses since 2023,\u201d the Pennsylvania Republican said. \u201cThat\u2019s even with the commodity program payments and the bridge assistance program that President Trump initiated last fall.\u201d<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">Also still lingering on the legislative docket is the farm bill \u2014 which was enacted in 2018 and has since been extended three times, with the current extension set to expire at the end of September \u2014 as well as year-round E15 and help for farmers dealing with catastrophic natural disasters like the wildfires in California and the freeze in Florida.<\/p>\n<p><img decoding=\"async\" alt=\"James Henry\" src=\"https:\/\/www.europesays.com\/us\/wp-content\/uploads\/2026\/08\/AEGCJZQGUJBDNNCPGD4KQA6QVI.jpg\" width=\"1440\" height=\"0\" loading=\"lazy\"\/><\/p>\n<p class=\"ImageMetadata__MetadataParagraph-sc-1gn0vty-0 ijEZZk image-metadata\">Henry (AgriNews photo)<\/p>\n<p class=\"default__StyledText-sc-xb1qmn-0 gBIiEi body-paragraph\">James Henry is the executive editor of Illinois AgriNews and Indiana AgriNews.<\/p>\n","protected":false},"excerpt":{"rendered":"Crop farmers continue to face elevated production costs, lower commodity prices and tight margins \u2014 with no relief&hellip;\n","protected":false},"author":3,"featured_media":992023,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[12],"tags":[64,9708,79,5495,61803,397764,364004,397765,104397,266,135,1802,80,43742,130,67,132,68,7168,313,51996],"class_list":["post-992022","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-corn","tag-economy","tag-energy","tag-ethanol","tag-farm-bill","tag-farm-bureau","tag-farm-family-life","tag-fertilizer","tag-inflation","tag-markets","tag-military","tag-politics","tag-soybeans","tag-trade","tag-united-states","tag-unitedstates","tag-us","tag-usda","tag-weather","tag-wheat"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/117068332070402986","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/992022","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=992022"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/992022\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/992023"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=992022"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=992022"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=992022"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}