By Mary Hightower
Weighed down by low commodity prices, heavy fuel and fertilizer outlays and the costs of war, disease and weather, Arkansas’ net farm income is expected to fall for the fourth straight year, with farmers enduring on government support.
The Rural & Farm Finance Policy Analysis Center’s spring report is forecasting Arkansas’ net farm income to be $3.38 billion in 2026, relatively stable compared to 2025’s $3.32 billion.
Arkansas’ crop and livestock receipts — the value of production — were projected to fall to $11.8 billion, down $626 million or 5 percent from 2025 and $2.2 billion, or 16 percent, from 2022. Crop receipts are projected to decline for the third straight year from a high of $5.53 billion in 2023 to the current 2026 projection of $4.17 billion mostly driven by depressed commodity prices."
“Overall, the 2026 farm income outlook reflects a shift away from broad-based market-driven gains toward increased reliance on policy support,” the report said.
“It’s very concerning,” said Hunter Biram, extension economist for the University of Arkansas Division of Agriculture, one of the authors.
Wars, disease and weak demand
“Sustained production with no real drivers in demand continues to keep prices low,” Biram said.
“From a historical perspective, crop receipts minus expenses have been negative seven of the last 10 years, with the greatest losses being in 2024 and 2025 at around $1.5 billion each year,” Biram said.
Source : uada.edu