By Michael Langemeier
A farm goal represents a predetermined target that an individual or a business wants to achieve in the short or long run. Goals help shape the destination of any business, but they are especially vital in production agriculture, where producers face uncertainties such as weather variability, market volatility, and far-ranging policy shifts. The added complexity of family involvement, multi-generational planning, and long-term investment horizons further underscore the need for clearly defined goals to guide strategic and operational decisions.
Family businesses typically set both personal and business goals. Personal goals are often related to financial security, family goals such as statements related to education and leisure time, and values or core beliefs. Business goals vary widely among farms. For example, previous surveys have identified the following common farm goals: survival, maximize profit, maintain or improve standard of living, accumulate assets and net worth, reduce debt, avoid or mitigate low-income years, pass the farm onto the next generation, increase leisure or free time, and improve soil health. These goals are not mutually exclusive and most farmers pursue a combination of them, often with varying emphasis depending on their farm size or type, financial condition, or market outlook. This article presents results from a recent survey pertaining to farm goals, and discusses the relationships between farm goals, producer sentiment, and farm characteristics.
Relative Importance of Various Farm Goals
Using a similar methodology as used to create the monthly Ag Economy Barometer, a survey of 400 U.S. producers was conducted in late February 2025 to assess individual farm goals, producer sentiment, farm growth, succession plans, sustainability and risk preferences, resilience, and adoption of conservation practices. This article focuses on farm goals.
Source : illinois.edu