<![CDATA[ Latest News from American Farm Bureau Federation ]]> http://www.fb.org/latest Find the latest News from The American Farm Bureau Federation - the unified national voice of agriculture. en-US AFBA Copyright Mon, 28 Sep 2026 17:45:27 -0400 Mon, 28 Sep 2026 17:45:27 -0400 Campaign Highlights Real Stories of Iowa Livestock Farmers https://www.fb.org/fbnews/campaign-highlights-real-stories-of-iowa-livestock-farmers https://www.fb.org/fbnews/campaign-highlights-real-stories-of-iowa-livestock-farmers figcaption {text-align:left!important; top:0!important;} figcaption p {margin:0!important;} p:empty {margin:0!important; line-height:0!important;}
  photo credit: Iowa Farm Bureau, Used With Permission

Iowa Farm Bureau’s Real Farmers. Real Food. Real Meat. initiative brings authentic stories of environmental stewardship, animal care and nutritional benefits of meat and dairy products to Iowans.

Launched in 2019, the initiative has several consumer touchpoints. On the Real Farmers. Real Food. Real Meat. microsite consumers can learn more about Iowa farmers’ commitment to sustainability, animal care and providing nutritious food for families. Visitors to the site can also sign up for The Iowa Dish, a newsletter that features the Iowa farmers who work each day to provide safe, nutritious foods; quick bites on food safety, nutrition and foodie trends; and in-season recipes.

  photo credit: Iowa Farm Bureau, Used With Permission

Partnership with Fareway Expands Campaign Reach

One of Iowa Farm Bureau’s strongest allies in the initiative is Fareway Meat & Grocery, an Iowa-based grocery store with outlets throughout the Midwest. For the past four years, Iowa Farm Bureau and Fareway have partnered for Meat the Need, which in 2025 included a donation of 23 pallets totaling 25,000 pounds of meat — the equivalent of 100,000 servings of nutritious protein for Iowans in need — to the Iowa Food Bank Association.

In late spring, Iowa Farm Bureau and Fareway cohost an educational contest called Sizzlin’ Summer Giveaway. By completing a short online quiz that highlighted the value of animal protein as well as farmers’ commitment to animal care and environmental sustainability, participants could win one $200 Fareway meat card from each of Fareway’s 119 Iowa locations. Fareway also awarded one grand prize winner a Pit Boss 2 Burning Griddle, a Fareway meat bundle and barbecue-related swag such as tumblers, folding chairs, grill accessories and more.

  photo credit: Iowa Farm Bureau, Used With Permission

Fun, Food and Learning at the Iowa State Fair

Iowa Farm Bureau also showcases Real Farmers. Real Food. Real Meat. at the Iowa State Fair through signage, interactive games and meat-focused activities. One such activity was the “Pulling for Iowa Farmers” pull-tab cards featuring meat products from commodity partners selling food at the fair. Fairgoers first played an educational game highlighting how farmers raise real meat then received a pull-tab card. If all three tabs revealed the same food — a pork chop, turkey leg or hamburger — they won that item.

In addition, on Farm Bureau Day, Iowa Farm Bureau hosted a statewide cookout contest in which more than 50 backyard chefs competed for nearly $4,700 in cash prizes and the Cookout Contest Grand Champion title. The contest featured categories for pork, beef, lamb and chicken and included a division for youth aged 13-17.

County Farm Bureaus Tap Into Real Farmers. Real Food. Real Meat. Resources

More than three-quarters of county Farm Bureaus in Iowa are also making the most of Real Farmers. Real Food. Real Meat.’s resources, like campaign and print advertising templates, messaging, radio scripts, and logos to wrap grain trucks.

For example, Floyd County Farm Bureau put banners around their county fairgrounds with positive livestock messaging and a QR code that led to the Real Farmers. Real Food. Real Meat. microsite. Greene County uses a RFRFRM-branded picnic table wrap with messages about the nutritional value of meat at various community events.

State Awards of Excellence

Iowa Farm Bureau’s Real Farmers. Real Food. Real Meat. was recognized with a 2026 Award of Excellence in the Engagement and Outreach category. The award was presented at the 2026 American Farm Bureau Convention in January in Anaheim.

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Mon, 28 Sep 2026 10:25:00 -0400
Diesel Prices Remain High as Farmers Ramp Up Harvest https://www.fb.org/newsline/diesel-prices-remain-high-as-farmers-ramp-up-harvest https://www.fb.org/newsline/diesel-prices-remain-high-as-farmers-ramp-up-harvest figcaption {text-align:left!important; top:0!important;} figcaption p {margin:0!important;} p:empty {margin:0!important; line-height:0!important;}
  photo credit: Arkansas Farm Bureau, used with permission.

Diesel prices continue climbing, leaving farmers wondering how long this will continue. Chad Smith looks for the answers.

Smith: Crude oil prices have shown signs of easing, but diesel prices are not following suit, putting even more pressure on the farm economy. Faith Parum, an economist for the American Farm Bureau Federation, said crude oil and diesel prices don’t typically follow the same track.
Parum: The biggest reason we haven't seen those prices come down is because we're seeing a structural supply issue in the economy. Meaning, we're just seeing a lower supply across the world. Obviously, Russia has limited refining capacity due to the war in Ukraine. The Middle East has stopped refining capacities due to the war in Iran, and then there is additional troubles in the Red Sea-that's all continuing to bring that supply down worldwide.
Smith: She said the spike occurring during harvest for much of farm country has squeezed margins even further.
Parum: So that diesel price is directly affecting your bottom line. Smaller margins to account for how expensive diesel prices have gotten, and that's on top of already rising production expenses and already rising fertilizer costs, really putting our producers in even further financial pressure.
Smith: She said it’s hard to predict when or if the prices will begin to come down.
Parum: You know, if everything calmed down tomorrow, we would see some of those fuel prices come back down. But of course, there's a whole lot that is out of control of farmers and ranchers right now. So, continuing to watch the market, see what happens into the next year. We could see some signs of easing, but again, because this is all a global conflict issue, there's a lot that we just don't know right now.
Smith: Learn more on the Intel page at fb.org. Chad Smith, Washington.

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Thu, 24 Sep 2026 00:00:00 -0400
Farmers Renew Call to End Increased Beef Imports https://www.fb.org/news-release/farmers-renew-call-to-end-increased-beef-imports https://www.fb.org/news-release/farmers-renew-call-to-end-increased-beef-imports figcaption {text-align:left!important; top:0!important;} figcaption p {margin:0!important;} p:empty {margin:0!important; line-height:0!important;}
  photo credit: Utah Farm Bureau, Used with Permission

American Farm Bureau Federation President Zippy Duvall today called on President Trump to roll back plans to import an additional 300,000 metric tons of beef into the United States. An American Farm Bureau Federation analysis shows increasing imports has had little impact on ground beef prices at the grocery store. Meanwhile, cattle prices have weakened, with ranchers experiencing losses up to $300 to $400 per head.

“America’s farmers and ranchers are renewing their call to the president to reverse course on his plan to import foreign-raised beef. While we appreciate Mr. Trump’s goal of reducing grocery costs for America’s families, increasing beef imports has not brought prices down.

“Farm Bureau economists tracked 41 locations since Labor Day and found that, on average, prices have fallen only 16 cents per pound. Most prices were unchanged. Families are still facing historically high prices and the threat of a 60% increase in imports over 90 days caused a sharp drop in the prices paid to ranchers for their cattle.

“To put it simply, the plan undercut a fragile recovery in the cattle industry while failing to benefit consumers. We urge the president to stop importing additional beef and focus on long-term solutions that support rebuilding the U.S. herd, which benefits both farmers and consumers who want home-grown beef.”

Read the Farm Bureau Intel on beef prices here.

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Wed, 23 Sep 2026 19:43:00 -0400
Increased Beef Imports Have Not Lowered Prices For Consumers https://www.fb.org/intel/markets/increased-beef-imports-have-not-lowered-prices-for-consumers https://www.fb.org/intel/markets/increased-beef-imports-have-not-lowered-prices-for-consumers figcaption {text-align:left!important; top:0!important;} figcaption p {margin:0!important;} p:empty {margin:0!important; line-height:0!important;}

Key Takeaways

  • Record imports along with the suspension of the tariff-rate quota for beef trimmings have not lowered ground beef prices for consumers. In fact, American Farm Bureau analysis reveals that since the presidential proclamation, prices remained the same as before the tariff-rate quota changed in 30 of 41 tracked grocery stores across the U.S.
  • The market fundamentals that raised beef prices have not gone away. Tight cattle supplies and strong consumer demand continue to support higher consumer beef prices.
  • The August presidential proclamation directs USDA and USTR to monitor whether qualifying imported beef is sold at a discount and allows the quota expansion to be reconsidered if that price relief does not materialize.

In late August, President Trump issued a proclamation to temporarily expand the tariff-rate quota (TRQ) for lean beef trimmings by 300,000 metric tons or about 661 million pounds. Beef began entering the United States under the lower tariff rate on Sept. 1, 2026. The proclamation “encourages” grocery stores to sell the beef at a 25% discount, without any retailer commitments or enforcement mechanism.

American Farm Bureau Federation tracked daily prices of 80% lean ground beef at 41 grocery stores in 22 states starting Sept. 2, the day after the proclamation went into effect. We selected a variety of chain grocery stores and independent grocers across America, in major cities to rural areas, to see how ground beef prices reacted to the additional supply of beef.

Across our sample, the average price of ground beef barely moved, going from $7.29 a pound on Sept. 2 to $7.13 a pound on Sept. 23 – a reduction of 16 cents or approximately 2%. The chart below tracks the lowest, highest and average price across all stores each day. The average line stays nearly flat for three weeks, never rising above $7.38 or falling below $7.13, even as lower-tariff beef entered the country.

Prices across the 41 stores range from $4.99 to $10.49 per pound, and the typical store charges $7.23. More than half of the stores (22 of 41) charge above $7 per pound, and four charge close to $9 or more, in Denver; Glen Head, New York; New York City and Porterville, California. No store in our sample sells 80% lean ground beef for less than $4.99 a pound, and the lowest prices are found at just three stores, in Michigan and Arizona. Whether shoppers are in a major city or a rural community, they are still paying elevated prices for ground beef.

At 30 of the 41 stores, ground beef costs exactly what it did on Sept. 2. Some stores cut prices for a short time and then went back to their Sept. 2 price. Seven stores ended the period lower, but only three reached the 25% discount the proclamation encouraged. Prices rose at stores in four cities: Des Moines and Davenport, Iowa, up 39% and 38%, respectively; East Lansing, Michigan, up 25%; and Denver, up 11%.

Removal or expansion of the TRQ on ground beef does lower the tariff-related (26.4%) price of bringing that additional imported beef into the United States. This, however, has not translated into lower grocery store prices. Retail prices are based on costs throughout the supply chain. This includes cattle prices, but also processing, transportation, labor and retail margins. In fact, according to USDA’s Economic Research Service, U.S. ranchers only receive 3.3 cents per dollar spent on food in the grocery store after accounting for their costs.

What This Means for the U.S. Cattle Industry

Policies intended to increase imports under the assumption that they will bring down prices for consumers have yet to deliver meaningful savings at the meat counter while creating uncertainty for U.S. ranchers.

USDA's latest Cattle on Feed report highlights the reality that the industry’s challenge is not insufficient imports but a shrinking domestic supply of cattle. September feedlot inventories remain relatively high at 11.16 million head, but placements have fallen sharply as fewer calves move through the beef production pipeline. The U.S. calf crop is expected to be record low at 32.5 million head, 3.8 million head smaller than its peak in 2018, tightening feeder cattle supplies and limiting future beef production.

Ground beef prices have remained historically high despite record imports, while cattle and feeder cattle futures have moved sharply lower since the proclamation. Cash cattle prices in many regions have also fallen, with some farmers and ranchers reporting prices $300 to $400 per head below levels seen just two months earlier.

The result is imports are creating excess supplies but are incapable of lowering retail prices given the many business- and supply-chain-related decisions and interactions along the supply chain that moves beef from the farmer to the dinner plate. Meanwhile, lower cattle prices are discouraging the long-term certainty needed to grow the nation’s cattle herd and restore beef supply.

Ultimately the most sustainable path toward greater beef availability and improved price stability is not larger volumes of imported beef, but expansion of the U.S. cattle herd and growth in domestic beef production.

Conclusion

The expanded import quota was believed by some to bring relief at the meat counter. After three weeks of tracking 41 grocery stores, that relief has not materialized. At 30 stores, ground beef prices are unchanged, and the average price fell just 16 cents — far short of the 25% discount encouraged by the proclamation.

Meanwhile, cattle prices have weakened and ranchers are absorbing losses of up to $300 to $400 per head. Imports may help fill short-term supply gaps, but they do not address the underlying problem of a historically small U.S. cattle herd.

The proclamation allows the quota expansion to be reconsidered if savings are not reaching consumers and there is limited relief at the meat counter. The evidence is clear; the proclamation should be rolled back, and ranchers should have the opportunity to respond to free market signals and reduced regulatory burdens to rebuild our nation’s cattle supply.

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Wed, 23 Sep 2026 19:21:00 -0400
Scammers are Impersonating Farm Equipment Businesses https://www.fb.org/fbnews/scammers-are-impersonating-farm-equipment-businesses https://www.fb.org/fbnews/scammers-are-impersonating-farm-equipment-businesses figcaption {text-align:left!important; top:0!important;} figcaption p {margin:0!important;} p:empty {margin:0!important; line-height:0!important;}
  photo credit: Arkansas Farm Bureau, Used with Permission

Originally published on the Federal Trade Commission website, this article alerts farmers to potential farm equipment sales fraud and includes important tips on avoiding these scams, as well as a secure link to report imposters.

The Federal Trade Commission is hearing about a scam targeting some of the hardest working people out there: farmers. Scammers posing as farm equipment businesses are selling (fake) equipment to farmers, who end up empty-handed. Here’s how the scam works and how to avoid it.

It starts like this: you might scroll through social media and see an ad for a tractor. It’s a good price and looks like it’s from a legit business. Or you search online and see a tractor from a business you know, and maybe even bought equipment from before. In either case, when you contact them, they send a purchase agreement and invoice. They typically ask you to send thousands of dollars — usually by wire transfer — as a deposit or full payment, and schedule a delivery date.

What happens next? The delivery never comes. It turns out this was never a legit business and was all a scam. The scammer either stops answering or makes up another excuse (e.g., there’s an issue with the delivery truck). You’re out both the money and a tractor.

How can you (or your local farmer) avoid these and other impersonation scams?

  • Before you buy based on any ad, check it out. Social media companies don’t always vet ads. Do some research by searching online for the company name plus “scam” or “complaint.”
  • Know that the first search results you see might be paid ads. Sometimes scammers place them: they pretend to be a real business but use their own contact info instead. Scroll past those ads to the unpaid search results to help confirm you have the right website or contact information.
  • Never send money to anyone who says you can only pay by wire transfer, gift card, cryptocurrency, or payment app. Scammers prefer these methods because once they’ve collected the money, it’s almost impossible to get it back.

Spot an impersonation scam? Tell the FTC at ReportFraud.ftc.gov.

View the original article on the FTC website here.

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Tue, 22 Sep 2026 13:56:00 -0400
AFBF Appreciates Actions to Modernize Farm Loan Program, More Work Needed https://www.fb.org/newsline/afbf-appreciates-actions-to-modernize-farm-loan-program-more-work-needed https://www.fb.org/newsline/afbf-appreciates-actions-to-modernize-farm-loan-program-more-work-needed figcaption {text-align:left!important; top:0!important;} figcaption p {margin:0!important;} p:empty {margin:0!important; line-height:0!important;}
  photo credit: AFBF

USDA recently moved to streamline the farm loan process, but it’s only one piece of the farm economy puzzle. Chad Smith has the details.

Smith: The USDA has announced several changes to its farm loan program as farmers face tighter margins and greater credit demand. Danny Munch, an economist with the American Farm Bureau Federation, says the changes should help farmers access the program.
Munch: First, they're making a fast-track application process permanent for qualifying direct loan borrowers, which has already reduced processing time by about eight days in the pilot. They're also giving experienced lenders more authority to process guaranteed loans with less paperwork and fewer layers of review. They're also moving away from largely paper-based applications toward electric processing beginning 2027.
Smith: Munch said that while this is a great step toward modernization, the biggest remaining issue is increasing farm ownership and farm operating limits to make sure that reflects the actual cost of farming today.
Munch: Farmland values, equipment costs, production expenses have increased dramatically. The proposed farm bill would raise those limits to $850,000 and $750,000, respectively. It would also increase guaranteed loan limits and double the micro loan limit to $100,000. And there's real demand for those programs.
Smith: He said USDA can improve the loan process but needs Congress to actually increase loan limits through a farm bill.
Munch: They can cut paperwork at USDA, modernize technology, but it can't independently raise those limits without a federal law change. That's why the farm bill is so important. It gives Congress the opportunity to update those limits that actually reflect today's farm economy, and that's why we're hoping to get this farm bill across the finish line soon.
Smith: Stay tuned to fb.org for updates. Chad Smith, Washington.

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Tue, 22 Sep 2026 00:00:00 -0400
Has MAHA Become Mainstream? https://www.fb.org/intel/consumer/has-maha-become-mainstream https://www.fb.org/intel/consumer/has-maha-become-mainstream figcaption {text-align:left!important; top:0!important;} figcaption p {margin:0!important;} p:empty {margin:0!important; line-height:0!important;}

The Make America Healthy Again movement is leaving its mark on discussions around food and agriculture. Although support for MAHA has cooled a bit as the label becomes increasingly politicized, the movement’s impact is unmistakable. In fact, recent polling shows that most Americans are not immune to MAHA’s influence as it continues to shape consumer perceptions.

From an influx of discussions around how our food is grown and processed, MAHA has left many Americans concerned about, or at least questioning, what is safe and healthy for themselves and their families. These concerns matter for agriculture as more Americans are further removed from the farm and have a harder time sorting through what’s true and not true. To be clear, there are certainly opportunities for improvements in diets and how food is produced, but the volume of misinformation has never been quite so loud. The average American doesn’t have regular, if any, opportunities to engage directly with farmers or see for themselves. Thankfully, trust in farmers and ranchers remains high. How can farmers and others in agriculture jump into the discussion, build on that trust, and address growing concerns? Is it too late?

Let’s answer the latter question first: no, it is not too late. But we do need to look at the landscape to engage thoughtfully. How we engage comes down to our spheres of influence and channels for communication. According to research by the American Farm Bureau and Morning Consult, 41% of Americans get their information about food and farming from friends and family. Trust research from Edelman shows an even higher percentage of adults leaning on friends and family when it comes to their health, with 71% citing their personal circles as their most trusted source, coming in just behind medical experts and their doctors (78%). That same poll from Edelman also shows that 70% of adults believe at least one divisive health claim popularized by the MAHA movement.

The mainstream effect of MAHA reaches agriculture most noticeably on the topic of pesticide safety. American Farm Bureau and Morning Consult research shows that 7 in 10 Americans are concerned about pesticide use in agriculture. Research from Pew shows similar levels of concern with a study that cites 69% of Americans concerned about “harmful chemicals” on farmland and 78% concerned about “harmful chemicals” in their food.

Concern does not always translate to an extreme stance, but it shouldn’t be brushed aside, either. Perceptions around the safety of chemicals in agriculture cover a broad range of views and are often rooted in a desire to better understand how food is grown and how that impacts health. When you dig further into these concerns, there is an opportunity to discuss how pesticides are used safely and how these tools even contribute to some regenerative practices.

So then, how can these concerns be tackled head on? First, by listening. Every conversation looks different, but every engagement matters and starts with the same foundation: shared values. A mom who is concerned about the cost of her grocery bill may simply be looking for reassurance that non-organic produce is safe and nutritious. All farmers can share how careful they are to use just what is needed when it comes to pesticides. They can also share how they rely on years of careful independent research and review by career scientists at the Environmental Protection Agency. On the other hand, a Gen Z shopper who is concerned about soil health and environmental impacts may find it compelling to learn about how all types of agriculture, both conventional and organic, employ regenerative practices to keep farmland healthy for generations to come.

Topics like health and affordability are natural places to find common ground. And as food inflation continues to be a top concern for consumers, affordability should not be siloed off from discussions around nutrition. A recent Associated Press poll found that 8 in 10 Americans have changed their grocery shopping habits because of rising food costs. When it comes to the wellbeing of our family and friends, no one wants to put a price tag on health. But health and affordability can go hand-in-hand. Shoppers should enter the grocery store with an understanding of how their food is grown as they look to make the best choices for their families. This is another opportunity for farmers to meaningfully enter the conversation as a trusted voice.

Cost also plays an important role on the farm, but navigating financial pressures does not mean sacrificing safety. For example, protecting crops from pests and disease is critical to getting those crops from the farm to the market to provide safe, nutritious and affordable food. This is where consumers appreciate transparent conversations, even if they disagree on certain farming practices. Research consistently shows that pairing shared values with science-backed messaging increases openness with consumers who are hungry for facts from people they trust: farmers and ranchers. 

Regardless of what is trending, farmers and ranchers can assure their friends, neighbors and communities that modern agriculture isn’t about choosing between safety and affordability. Thanks to a commitment to doing the right thing, along with innovation, strict regulation, decades of research, and careful stewardship, farmers are already prioritizing both.

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Mon, 21 Sep 2026 07:00:00 -0400
Farmers Pleased with Senate Ag Committee Farm Bill Passage https://www.fb.org/newsline/farmers-pleased-with-senate-ag-committee-farm-bill-passage https://www.fb.org/newsline/farmers-pleased-with-senate-ag-committee-farm-bill-passage figcaption {text-align:left!important; top:0!important;} figcaption p {margin:0!important;} p:empty {margin:0!important; line-height:0!important;}
  photo credit: Arkansas Farm Bureau, used with permission.

The Senate Ag Committee finally moved its farm bill through to the full Senate for a vote. Chad Smith has more on what’s next.

Smith: The Senate Ag Committee approved its version of the farm bill on a 12-11 party line vote. Brian Glenn, director of government relations for the American Farm Bureau, said it’s a big step forward in the push for a new farm bill.
Glenn: We are one step closer to a full final farm bill, and I will say that we are as close as ever. With the House already passing a strong bipartisan bill, we will need to continue to keep the pressure on, and we need lawmakers to come together and pass a strong bipartisan five-year farm bill by the end of the year.
Smith: With all the difficulties farmers and ranchers face in this economy, Glenn said the Senate bill “meets the moment” in many ways.
Glenn: It is comprehensive. It provides program and policy updates across all 12 titles. These are programs that have not been addressed since 2018. It updates loan limits and enhances financing options and the credit title. It includes year-round E15 to boost the farm economy.
Smith: He talked about what’s next in the farm bill process.
Glenn: House and Senate committee staff will need to work through differences between the House Farm Bill and the Senate Ag Farm Bill over the next two months. We need a strong bipartisan Farm Bill by the end of this year.
Smith: Chad Smith, Washington.

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Thu, 17 Sep 2026 15:58:00 -0400
Diesel Prices Surge as Global Supplies Tighten https://www.fb.org/intel/markets/diesel-prices-surge-as-global-supplies-tighten https://www.fb.org/intel/markets/diesel-prices-surge-as-global-supplies-tighten figcaption {text-align:left!important; top:0!important;} figcaption p {margin:0!important;} p:empty {margin:0!important; line-height:0!important;}

Key Takeaways

  • Diesel prices are rising as harvest begins across the country. The national average on-highway diesel price reached $6.285 per gallon, up more than $2.50 from the same week last year. Farm diesel prices are also climbing, reaching $5.45 per gallon on Sept. 4, up from $3.02 a year earlier.
  • Crude oil prices have increased about 14% since the beginning of September while inventories remain low.
  • Higher fuel costs are compounding on already tight budgets. Even as the grain market rallies and crop revenues are projected to improve, increased production costs continue to keep major row crops below breakeven.

Diesel prices are on the rise as harvest begins across the country, adding another cost for farmers during one of the most fuel-intensive times of the year. On Sept. 14, the national average on-highway diesel price reached $6.285 per gallon, up from $5.97 the week before and up more than $2.50 per gallon from the same week last year, an increase of nearly 70% year over year.

Diesel used for farming purposes is generally exempt from the 24.4-cent-per-gallon federal highway fuel tax, with state tax treatment varying by state. Even with that exemption, farm diesel prices have climbed sharply. The average farm diesel price reached $5.45 per gallon on Sept. 4, up from $3.02 a year earlier, an increase of about 80%.

This increase, along with rising fertilizer prices, is due to several disruptions in the global energy markets. First, the closure of the Strait of Hormuz has limited a major shipping route for global oil markets. Additionally, attacks on infrastructure by Houthi rebels in the Bab al-Mandab Strait in the Red Sea, paired with limited refining capacity in Russia due to the ongoing war, continue to reduce global supplies. These major disruptions continue to push crude prices and diesel higher.

Farmers need diesel, especially during harvest season. Tractors, combines and irrigation equipment are all fueled by diesel, and once crops leave the field, it's critical to transportation throughout the agricultural supply chain. Higher diesel prices drive costs higher for farmers and throughout the supply chain as transportation gets more expensive.

This shock comes at a time when margins are already thin, and farmers are facing record-high production costs. USDA forecasts farm fuel and oil expenses at approximately $22 billion in 2026, up nearly 29%, or almost $5 billion, from 2025. Despite increased grain prices, farmers are expected to operate below breakeven once again. This could potentially carry over into the 2027 crop year as the disruptions continue.

Crude Oil Moves Above $100 a Barrel

Crude oil prices continue to rise, reaching over $100 a barrel in September. October West Texas Intermediate crude oil futures closed at $102.56 per barrel on Sept. 16, down from $105.83 the previous day. October WTI futures were $90.22 per barrel on Sept. 1, an increase of roughly 14% in just over two weeks. The increase follows prices near $70 per barrel earlier this summer.

Crude prices, however, are not solely responsible for rising diesel prices. Diesel prices also reflect refinery capacity, inventories and demand for the finished product. When supplies of refined fuel are tight, diesel prices can increase faster than crude oil and can remain elevated even when crude prices temporarily retreat.

U.S. Distillate Inventories Remain Tight

U.S. inventories provide relatively little cushion against those market disruptions. Distillate fuel inventories, which include diesel and heating oil, fell from approximately 127.2 million barrels in January to 109.4 million barrels in June, a decline of nearly 18 million barrels, or about 14%.

When stocks are high, the market has more flexibility to respond to refinery outages, transportation disruptions or stronger demand. When inventories are already tight, those same disruptions can translate into larger and faster price movements.

Current stocks are also low compared with levels during much of the past decade. U.S. distillate inventories regularly exceeded 140 million barrels during portions of the 2010s and climbed well above that level in 2020. Since then, inventories have generally remained much tighter.

U.S. Fuel Supplies Serve a Global Market

At the same time, U.S. refiners are supplying a significant amount of distillate fuel to international markets. The United States exported approximately 456 million barrels of distillate fuel in 2025, compared with about 473 million barrels in 2024. Imports totaled only about 58 million barrels in 2025. Mexico remained the largest market for U.S. distillate exports in 2025, accounting for about 17% of total exports. Other major destinations included Chile, Brazil, the Netherlands and the United Kingdom.

That trade reflects the structure of the U.S. refining system, particularly along the Gulf Coast where refineries are closely connected to international markets. Exports themselves are not new, but they become more important to watch when global fuel supplies tighten. Higher international prices can increase demand for U.S.-produced fuel at the same time domestic inventories are already limited.

Bottom Line

The timing of the diesel price increase is particularly challenging for agriculture. Harvest requires long hours of equipment use, and crops must then be transported from fields to elevators, processors and ports. Those fuel costs can accumulate quickly across an operation.

Farmers have also entered this period with limited room to absorb another increase in expenses. Commodity prices have struggled to keep pace with elevated production costs, making increases in diesel another hit to already tight margins. Until crude prices ease, global fuel supplies improve or U.S. inventories rebuild, diesel is likely to remain a significant source of cost uncertainty for farmers heading through harvest and into the 2027 production year.

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Thu, 17 Sep 2026 11:40:00 -0400
Farmers Applaud Senate Ag Committee Farm Bill Passage https://www.fb.org/news-release/farmers-applaud-senate-ag-committee-farm-bill-passage https://www.fb.org/news-release/farmers-applaud-senate-ag-committee-farm-bill-passage figcaption {text-align:left!important; top:0!important;} figcaption p {margin:0!important;} p:empty {margin:0!important; line-height:0!important;}

American Farm Bureau Federation President Zippy Duvall commented today on the Senate Committee on Agriculture, Nutrition, and Forestry vote to advance the farm bill to the full Senate.

“We applaud members of the Senate Agriculture Committee who recognize the critical support the farm bill provides for America’s farmers and ranchers. We appreciate Chairman Boozman’s leadership in moving this legislation forward and we urge lawmakers in the House and Senate to advance a farm bill to President Trump’s desk.

“It’s been almost a decade since Congress last passed a farm bill. In the past 10 years, more than 200,000 family farms have gone out of business, as farmers grappled with a pandemic, global unrest, rising expenses and falling prices paid for the food they grow. A new, modernized farm bill will help give farmers the tools they need to survive continued and unforeseen challenges ahead.

“More than 100 farmers and ranchers descended on Washington this week to send the message that we’re counting on Congress to work together to advance a bipartisan farm bill. A strong farm bill ensures an abundant and safe food supply. It benefits every family in America, regardless of their political affiliation.”

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Wed, 16 Sep 2026 16:05:00 -0400