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Higher prices don’t always guarantee higher profits. New Purdue research examines the tradeoffs between organic and conventional crop production, including yield differences, cost structures, and the factors driving farm-level profitability.
Read More about Conventional and Organic Enterprise Net ReturnsWhen margins tighten, knowing your true cost per acre becomes a critical management tool. A new Indiana-specific calculator helps farmers estimate costs, determine breakeven prices, and evaluate how changes in yield and markets affect profitability.
Read More about New Tool Helps Indiana Farmers Calculate True Cost of ProductionFor most farmers, nailing down a precise cost of production per acre is a difficult task. Although broad ranges, informed guesses, and averages from several previous years are helpful, tight margin years emphasize the need for precise cost accounting. In response to the current margin environment, a team of Agricultural Economics graduate students, with the support of the Indiana Soybean Alliance and the Indiana Corn Marketing Council, developed an interactive tool and a support helpdesk to help Indiana farmers calculate their production costs. Built specifically for Indiana and grounded in region-specific benchmarks across six Indiana production regions (North, Northeast, West Central, Central, Southwest, Southeast), it gives farmers an accurate and locally relevant benchmark.
Read More about Indiana Cost of Production CalculatorU.S. corn production costs remain structurally higher than Brazil’s, driven largely by higher land expenses. Meanwhile, Brazil’s second-crop system allows producers to spread fixed costs across soybeans and corn, reinforcing its competitive position in global markets. Using standardized economic data from the agribenchmark network, we compare corn production costs and returns in Iowa and Mato Grosso from 2020 to 2024.
Read More about How U.S. and Brazilian Corn Production Costs CompareCover crops offer measurable soil health benefits, but their financial impact varies depending on yield performance and input cost savings. This article uses scenario analysis to examine how producers can evaluate conservation practices alongside profitability and other farm goals.
Read More about Cover Crop Net Returns and Soil Health ImprovementsA contingency plan is a course of action designed to help a business determine how to respond to possible future events. Contingency plans are often referred to as “Plan B”. One of the most common contingency plans used by a business, particularly a small business, relates to how to respond to the departure or absence of key personnel. Contingency plans relating to how to respond to changes in projected cash flow are also important. Given the recent increase in input prices for fertilizer and fuel and wide variability in expected prices, it would be prudent for a farm to examine the sensitivity of their cash flow and repayment capacity to changes in crop prices. This article illustrates the use of contingency plans for a case farm in southwest Indiana.
Read More about Contingency Planning with Cash Flow ShortagesThe May 2026 Ag Economy Barometer showed farmer sentiment weakened for the second consecutive month, but the headline only tells part of the story. Rising input costs, uncertainty about farm profitability, and concerns about the broader economic environment continue to weigh on producer outlooks. In this extended discussion, Michael Langemeier and Joana Colussi share what the survey results may mean for farm profitability, investment decisions, farmland values, labor challenges and producer views on AI (artificial intelligence) in agriculture, and the direction of the U.S. economy.
Read More about Beyond the Headlines: May Ag Economy Barometer Insights & ImplicationsFarmer sentiment slipped again in the latest Purdue University–CME Group Ag Economy Barometer, with producers continuing to point to one dominant issue shaping their outlook. High input costs remain the #1 concern—and they’re influencing everything from investment decisions to expectations for 2026.
Read More about Input Costs Remain Farmers’ Top Concern | May 2026 Ag Economy BarometerFarmer sentiment dropped again in May as the Purdue University-CME Group Ag Economy Barometer declined from 121 points in April to 119. The Current Conditions Index fell by 8 points, while the Future Expectations Index increased by 1 point. The percentage of respondents who listed high input costs as their biggest concern was 51% in May, reaching a new high.
Read More about Farmer Sentiment Slips Again as High Input Costs Remain Top ConcernNew research from Purdue’s Ag Economy Barometer shows major differences between farms expecting to grow and those planning to stay the same size. The findings reveal how sentiment, financial outlook, risk tolerance, and investment expectations shape future expansion decisions.
Read More about Explaining Differences in Farm Growth Expectations