US farmers face rising production costs for corn, soybeans, sorghum and wheat
In Ukraine, UkrAgroConsult reported that the U.S. Department of Agriculture (USDA) projects that production costs for major field crops in the United States could reach record levels by 2027. Corn, soybeans, sorghum and wheat are all expected to see continued increases in input expenses, driven by persistent inflation and elevated input prices, according to the report.
According to USDA estimates, production costs are forecast at around $952 per acre for corn, $701 for soybeans, $477 for sorghum and $428 for wheat. Farmers say the main pressure points remain fertilizers, fuel, seed, machinery maintenance and land rental costs, which continue to squeeze margins across the sector.
The report also noted that agricultural economist Brad Lubben from the University of Nebraska–Lincoln said inflation has been the dominant factor pushing costs higher since the COVID-19 pandemic. He added that trade tensions and global security shocks have further amplified volatility in input markets, keeping expenses at structurally high levels.
Lubben noted that uncertainty around fertilizer and diesel prices makes long-term planning increasingly difficult for producers.
Category: Food & Agriculture
