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Farmers face another round of higher costs heading into 2027

Farmers are bracing for a more expensive harvest and 2027 growing season.

American Farm Bureau vice president of public policy and economic analysis John Newton says fuel and fertilizer costs are a major concern.

“Going into this fall when prices are still elevated, they’re above where they were before the Strait of Hormuz closure. And then diesel prices, they spiked (and) hit a record $5.41 a gallon in Illinois in early May. They cooled off a little bit in July, but they’ve started to move back higher again.”

He tells Brownfield despite an improvement in commodity prices, the cost of inputs is erasing profits.

“I mean everything is more expensive today than what it was a few years ago. Machinery is more expensive, land is more expensive, cash rents are more expensive, labor’s more expensive, taxes, interest rates, seed costs, fertilizer costs. I can’t find a single line-item that’s more affordable today than what it was a few years ago.”

Newton says Farm Bureau supports efforts in Congress to provide another round of economic assistance to farmers.