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Home » Falling Crop Prices, Rising Costs Put U.S. Farms at Risk

Falling Crop Prices, Rising Costs Put U.S. Farms at Risk

February 4, 20263 Mins Read News
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A new national report from the Modern Ag Alliance argues U.S. farmers are entering one of the toughest stretches in a generation — caught between tightening margins, volatile markets, and uncertainty about the tools they rely on to protect yields.

In the State of the American Farmer (January 2026), the findings reveal an industry in crisis. Farmers are facing rising input costs, declining commodity prices, and growing regulatory uncertainty, contributing to increasing concern about the long-term viability of their operations. In this environment, farmers stress that maintaining access to proven crop protection tools is essential to producing enough food and keeping prices affordable for American families.

The report highlights sharp financial stress across the sector, pointing to input costs continuing to climb while noting that key crops have seen price declines as high as 58 percent since 2022.

It also cites a 60 percent year-over-year increase in farmer bankruptcies, surpassing 2024 totals by mid-2025.

“With operating costs rising and margins slimming, farmers need relief,” Missouri farmer Blake Hurst said. “This begins with lawmakers understanding the realities of modern farming. We need practical policies and continued access to crop protection tools that afford us the stability to do our jobs and produce high-quality food.”

In a letter introducing the report, Executive Director Elizabeth Burns-Thompson writes that the Alliance’s analysis found growing financial strain, tightening regulatory pressures, and uncertainty over whether key inputs will remain available tomorrow.

“Farmers are being squeezed from every direction,” said Burns-Thompson. “This data shows that economic pressure and regulatory uncertainty are colliding on the farm. Policymakers need to understand what this means in real terms—for farmers’ ability to stay in business and for the affordability of America’s food, fuel, and fiber.”

Together, these pressures highlight the urgency of congressional action on a Farm Bill and the need for federal and state policymakers to pursue clear, science-based agricultural policy.

kansas-farmer-soybean-harvest
Image by Robert D Brozek, Shutterstock

Regulation and access to tools

A major theme in the report is regulatory consistency especially around crop protection products. It argues federal pesticide regulation under FIFRA was designed to be uniform and science-based, with Environmental Protection Agency-approved labels serving as the national standard.

The report warns that inconsistent state-level requirements, such as those in California, conflict with federal labeling laws, potentially threatening access to proven crop protection products.

Farmers interviewed emphasize direct engagement with policymakers. Idaho farmer Austin Poulson said, “I think it’s really important that the conversations happen between the people on the ground and the policymakers.”

The report cites survey results suggesting farmers anticipate operational impacts if access to modern crop protection tools narrows — higher costs, lower yields, and added burdens.

Ohio farmer Jon Miller ties it to consumer prices noting that, “Glyphosate is one of the main tools in our toolbox… that would create higher costs for our product… higher products for consumers.”

The report repeatedly points to the urgency of Farm Bill action and a stable, predictable policy environment that prioritizes science-based decision-making, regulatory clarity, and economic viability.

Burns-Thompson closes with a blunt assessment: “What I see today in agriculture reflects a growing and troubling reality: our farmers are hurting.”

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Falling Crop Prices, Rising Costs Put U.S. Farms at Risk

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