News

50 percent of farms expected to grow over the next five years

A recent survey from Purdue University shows nearly fifty percent of farmers in the Midwest expect their operation to grow over the next five years. 

Ag economist Michael Langemeier says some farms have scaled back on investments that could impact profitability.

“2024 was a very low profit margin year and that’s probably going to continue into 2025,” he says. “Those that were in better financial shape in terms of the balance sheet were also expected to grow. If you’re optimistic about the future, you’re probably in a better financial position.”

He tells Brownfield younger producers are more likely to implement practices with a higher rate of return.

“Sometimes conservation practices, like cover crops, if you just adopt those for a year or two, the returns can be negative,” he says. “If you adpot those things for a longer period of time, it becomes more beneficial.”

Langemeier says farms that want to reduce debt grow at a slower pace over time. 

AUDIO: Michael Langemeier, Purdue University