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Farmers expect operating loan size to increase in 2026

An ag economist says tighter margins are pressuring cash reserves. 

Jim Mintert says the latest Purdue University/CME Group Ag Economy Barometer shows farmers expect the size of their operating loans to increase in 2026.

“More people expect to see weaker financial performance for their farm in the year ahead than expect to see stronger performance,” he says. “They expect to carry over unpaid operating debt from 2025 into 2026. That suggests an increase in farm stress.”

He tells Brownfield there’s ongoing concerns about the future of the ag economy. 

“If you look at the forecast from USDA that came out the week we conducted the survey, they’re forecasting a season average corn price of $3.90 and a soybean price at $10.10 per bushel. If you look at break even levels for producers across the corn belt, they’re well above those levels.”

Mintert says producers should closely monitor their balance sheets as they start to make decisions for the 2026 crop year. 

The Barometer is a nationwide measure of the health of the U.S. agricultural economy and surveys 400 agricultural producers on economic sentiment each month.

AUDIO: Jim Mintert, Purdue University