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Higher 2027 costs put focus on early farm input purchases

An ag economist says 2027 is expected to be another record cost year for farmers.

Ben Brown with University of Missouri Extension says input cost increases will be seen across all crops.

“For fuel, fertilizer and interest rates all are expected higher in 2027 relative to where we were in 2026,” he says. “While we do have increased commodity prices expected for 2027, the increase in input cost is certainly eating away at any profitability.”

Brown says there’s some pre-purchasing of inputs happening for next year, but it’s not widespread yet. As farmers consider those purchases, he encourages farmers to know how it aligns with your farm business.

“Taking advantage of these early season discounts do tend to work in producers’ favor, but they have to fit within a broader plan.”

He says stronger commodity prices could provide some relief in 2027, but higher input costs are expected to eat away at those gains, making disciplined cost and risk management critical.