Researchers are still projecting negative returns for grain producers even after assistance from Washington, highlighting the extent of the downturn in the agricultural industry.
U.S. farmers and ranchers have access to $10 billion in economic aid as part of the farm bill extension passed at the end of 2024 to offset broad income declines.
However, a new study from the University of Illinois says that the one-time payments likely won’t be enough to reverse deep profit losses for grain producers.
While aid significantly reduces projected losses for 2024 many farmers will still see negative returns even after receiving the assistance, according to research estimates.
Low commodity prices and high production costs have pressured farm margins and contributed to a widespread downturn in the agricultural economy.
With Congress still divided on a farm bill, many producers demanded that an extension include economic aid to improve balance sheets and position themselves to secure loans.
