Recent USDA data highlights a growing imbalance producers are feeling every day in the field.
By October 2025, the Prices Paid Index climbed to 154.6, while the Prices Received Index fell to 120.5. Put simply:
• It now costs producers ~50% more to grow crops than it did in 2011
• Yet commodity prices are only ~21% higher over that same period
That 34-point spread is the widest gap we’ve seen in at least a decade.
This isn’t about short-term market volatility, it reflects deeper structural pressures: rising input costs, tighter margins, and increasing capital risk for producers and landowners alike.
📉 How are you seeing this margin compression show up in your operation or portfolio?
💬 What questions should the ag industry be asking right now?
💧 Limited water does not have to mean limited options. Klamath Basin landowners enrolled more than 11,000 acres in water-conservation programs, balancing water use with operational and financial needs. Understanding available programs and how they fit into the broader operation can create a stronger path forward. Root Agricultural Advisory helps agricultural businesses evaluate their options… Understanding Your Water Options
🌱 Knowing your farmlands value, understanding buyer priorities, and identifying potential risks early can give you more control once negotiations begin. Our five-day Step-by-Step Guide to Unlocking Farmland Value helps landowners and advisors prepare before the property reaches the market. Start the guide through here.
Root Agricultural Advisory
2670 S. Eagle Rd. Meridian ID 83642
(208) 753-2333 info@rootagadvisory.com
