farm debt

When Congress allowed Affordable Care Act tax credits to lapse, healthcare premiums spiked for millions of Americans — especially self-employed farmers and ranchers. That added cost is multiplying the stress on their already stretched balance sheets.

Corn and soybean growers have seen several years of low commodity prices and increased costs for supplies like fertilizer and fuel. That has many farmers worried about whether they'll turn a profit this year and drawn some comparisons to a dark time in American agriculture.

Higher costs and lower prices are squeezing farmers out of profitability. That's led many to file for bankruptcy as a last resort to find aid.

Farm aid promised last December is still months away from being paid out to fruit and vegetable growers. But industry groups say it won't be enough to get them through tough market conditions.

The U.S. Department of Agriculture plans to send "bridge" payments to farmers who grow soybeans, cotton and other crops before March. Commodity groups and economists say the aid brings relief to farmers and their lenders, but they need long-term solutions.

Some Midwestern soybean farmers are selling their beans to be crushed and turned into soybean meal and oil. But economists say domestic processing won't be enough to offset the drop in Chinese demand.

Lawmakers also continued funding for a farmer suicide prevention hotline.

Farmers continued to take on more debt through the first quarter of 2025, prolonging a trend from last year. That's as farm incomes have shrunk over the last couple of years, and some worry President Trump's tariffs could make economic conditions tougher.