The director of the University of Missouri’s Food and Ag Policy Research Institute (FAPRI) says farmers are expected to receive sizeable farm program payments from the USDA this fall.
“You’ll have corn payments which are significant and cotton payments which are large as well, but it’ll be across the board.”
Seth Meyer tells Brownfield Ag News…
“I can’t really come up with a crop that had great economic conditions for 2025 to 2026 to some extent. And so that’s part of the story.”
He says another element is the higher reference prices included in the One Big Beautiful Bill Act. The latest market baseline from FAPRI has price projections, but not the actual payment amounts. Meyer says the payments haven’t been determined yet.
For the 2025 crop year, he says farmers will get the higher of the Ag Risk Coverage or Price Loss Coverage program.
“These are important elements of the safety net, which helps smooth things out for producers. It doesn’t guarantee you a profit, but it keeps individual events from really hampering agricultural production significantly.”
Additional details on farm income and government costs are expected to be released later this month.
FAPRI is also expecting farm program payments to expand again in fall 2027, when payments on up to 30 million additional base acres begin. More details about farm program sign-up from the USDA are expected soon.
EDITOR’S TAKE:
Unfortunately, crop producers have experienced some pretty tough pricing during the past couple years. And because agriculture is considered a national security interest, government steps in to fill the gap. This could be through farm program payments, such as crop insurance or through supplemental emergency payments like those we witnessed during the trade war with China. Either way, government payments have played an important role in keeping farms/ranches going to serve the public and our national interests. Looks like 2026 will see that pattern repeat.
You should continue to put inventory on AgTruckTrader.com®. Commodity prices are turning slightly upward, government payments will be forthcoming, and farmers/ranchers will continue to purchase trucks. Trucks are a necessity on the farm/ranch and research shows that nearly a million trucks are purchased by farmers/ranchers every year. So, stay ahead of the game and keep your marketing efforts going strong.
