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Crops

Brazil Heads for a Record Soybean Harvest as Farm Margins Approach Breakeven

Brazil is projected to produce a record 6.5 billion bushels of soybeans in the 2025-26 crop season, but farm margins are expected to fall to their lowest level in nearly two decades. Lower soybean prices, elevated production costs, and weak port premiums are compressing profitability for Brazilian farmers, raising questions about whether the country’s rapid soybean acreage expansion can continue.

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Indiana and Ohio Set the Benchmark for Soybean and Corn Basis, Respectively

Corn basis across the Eastern Corn Belt has remained relatively stable compared to last month, but regional differences remain significant. Ohio currently sets the benchmark for corn basis, with positive levels in parts of the state, while Iowa continues to post the weakest levels. Soybean basis has been more volatile, with strengthening through late February followed by recent declines across most districts. Indiana continues to lead the region with the strongest soybean basis levels. While historical patterns suggest basis should strengthen into spring, recent week-to-week volatility highlights the importance of monitoring local markets closely. Producers can track conditions using Purdue’s Crop Basis Tool.

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U.S. and Brazil Soybean Competitiveness: Farm-Level Costs and Returns

This article compares farm-level soybean costs and profitability in Iowa and Mato Grosso from 2020–2024. Brazilian farms face higher direct input costs, while U.S. farms carry heavier land-related overhead. Structural cost differences help explain Brazil’s sustained profitability and ongoing competitiveness in global soybean markets.

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Corn Basis is Stable Across the Eastern Corn Belt, but Soybean Basis Varies

Corn basis remains steady across much of the Eastern Corn Belt as markets transition to May futures contracts, with particularly strong local basis levels in central Ohio and northern Indiana. Meanwhile, soybean basis shows significantly more volatility, with widening spreads across districts and notable weakness in Iowa. Ethanol plants continue to offer firm premiums relative to local delivery points, while soybean crush plant basis has softened in several states. Producers can use the Purdue Center for Commercial Agriculture’s Crop Basis Tool to compare local ethanol and crush plant basis levels and evaluate current pricing opportunities against historical averages.

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What 2026 Crop Budgets Mean for Profitability and Cash Rent Decisions

Margins remain tight for 2026. Purdue’s latest crop budget estimates show soybean rotations maintaining a contribution margin advantage over corn, while breakeven prices for both crops remain well above expected market prices. Negative projected earnings could slow machinery purchases and put pressure on cash rents, making careful cost management and crop budgeting essential.

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Farm Income Outlook for Indiana

Farm income in Indiana gets a boost in 2025, but 2026 projections show renewed financial pressure. Here’s what’s driving receipts, expenses, and net income.

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Are Autonomous Farm Machines Economically Ready Yet?

Are autonomous machines financially competitive on today’s farms? Purdue research analyzes the real economics — from labor costs to hardware and subscription fees — and what it will take for autonomy to make sense at scale.

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Crop Basis Trends Up Across the Eastern Corn Belt, but Regional Variance is Significant

Corn and soybean basis levels have improved across much of the Eastern Corn Belt in early 2026, though large regional differences remain. Learn what’s driving basis strength—and how to track your local opportunities using Purdue’s Crop Basis Tool.

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Crop Net Return and Farmland Market, Presentation at Fort Wayne Farm Show

Michael Langemeier presented at the Fort Wayne Farm Show on January 14, 2026, on crop net returns prospects and the farmland market.

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The Right Way to Cut Costs

Tight margins often trigger cost-cutting decisions, but not all cuts improve profitability. This article explains how marginal analysis can help producers evaluate fertilizer, seed, and seeding rate decisions to protect returns when prices are low.

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