Key Takeaway:
- National Corn Growers Association survey shows 80% of farmers believe U.S. farm economy is in or near a crisis
- 65% of respondents are more concerned about financial conditions compared to last year
- Farmers plan to cut back on equipment purchases, fertilizer use, and seek off-farm income
- NCGA leaders urge Congress to pass the Nationwide Consumer and Fuel Retailer Choice Act of 2025 to expand E15 fuel sales
- Experts highlight higher interest rates and tighter credit as additional challenges for producers
NCGA Survey Highlights Growing Concern
The National Corn Growers Association released new survey results indicating widespread anxiety among farmers about the state of the U.S. farm economy. In the survey of 1,034 farmers conducted by Farm Journal between August 28 and September 10, 80% of respondents said they believe the farm economy may be or is on the brink of crisis, while nearly half (46%) said the country is already near that point. Additionally, 65% reported being more concerned about their farm financials now than one year ago.
NCGA Leaders Call for Congressional Action
“Farmers are in a lot of economic pain right now,” said Illinois farmer and NCGA President Kenneth Hartman Jr. “It’s a four-alarm fire in the countryside, and we need members of Congress to act fast to remove barriers to markets. Passing legislation for the year-round, nationwide sale of higher blends of ethanol would be an important first step in addressing this problem.”
NCGA leaders emphasized that passing the Nationwide Consumer and Fuel Retailer Choice Act of 2025 could help alleviate economic stress by allowing consistent, year-round access to E15 fuel blends.
Economic Pressures and Community Impact
“These findings point to a once-in a generation problem for the agricultural economy,” said NCGA Chief Economist Krista Swanson. “The survey findings suggest that this crisis could have a long reach, affecting every area of the economy, as farmers are less likely to make purchases and will certainly make budget cuts that could affect their local communities.”
Survey responses show that many farmers are considering delaying equipment purchases, reducing fertilizer applications, and seeking additional off-farm income. The backdrop includes what experts describe as the largest three-year decline in net cash receipts in U.S. history, driven by lower crop profitability, falling prices, and elevated input costs.
Interest Rates and Credit Access
“In the current environment, interest rates are more expensive, and the rate curve is steeper,” said Dr. John Newton, an economist and executive head of Terrain Ag, an offering of leading Farm Credit associations. “As a result, there is less flexibility for lenders on payment terms, and efforts to assist distressed borrowers may not ultimately lower their cost structure.”
Newton underscored the importance of expanding market access, echoing NCGA’s position that homegrown biofuels like ethanol could provide a much-needed outlet for corn production.
Potential Impact of E15 Expansion
A study released by the National Corn Growers Association this week estimated that consistent year-round access to E15 fuel could add $25.8 billion to U.S. gross domestic product, increase household incomes by $10.3 billion, support 128,000 additional full-time jobs, and provide additional demand for excess corn crops at full adoption.
