The National Corn Growers Association (NCGA) recently released its economic outlook for 2026 outlining six key forces expected to drive corn prices and farm margins in the year ahead. The forecast underscores the need for new and expanded markets for corn growers.
“As the report shows, U.S. corn production is increasing with sustained high corn acres and productivity gains," said report author and NCGA Chief Economist Krista Swanson. "Global corn production is at a record and growing. Without a shift in demand, rising domestic and global corn supply adds downward pressure on corn prices for U.S. farmers unless new demand materializes."
Financial strain stays top of mind for growers facing near-record production costs and low corn prices. The 2026 forecast cost is only 1% lower than the record $928 per acre in 2022, but the forecasted $4.10 per bushel market year average corn price is 37% lower than $6.54 for the 2022 crop.
Despite the challenges noted, the outlook identifies significant opportunity, not only in the near term but also in the long term with growth potential for ethanol in emerging markets beyond on-road use that has bolstered corn in recent decades.
"Amid high production levels, expanding and diversifying demand is essential," said Swanson. "Decisions made this year-on trade, energy policy and ethanol expansion-will shape the future profitability and resilience of the U.S. corn industry."
NCGA is pushing for passage of legislation that would expand access to fuels with 15% ethanol blends across the nation during summer months. The organization is also working to expand foreign market access and encouraging renewal of the USMCA.
Read the Economic Outlook
EDITOR’S TAKE:
This type of report is an important tool when working with elected officials and policymakers. Congress could and should pass the E-15 legislation which would be very beneficial to corn producers by helping to absorb some of the expanding production. Similarly, Congress, USDA and various commodity organizations can each assist with the expansion of overseas markets. By working cooperatively, each of the entities mentioned can play an important role with funding, market development programs and producer involvement.
Make sure you train your team to identify farmers/ranchers when they walk into your dealership. Once they are identified, the conversation should include, as a CAD member, how you add value to the transaction. Emphasize that you offer AgPack®, CAD Protect, AGwagon and much more, all designed to improve their truck buying or leasing experience.
