STUTTGART, AR – Arkansas farmers are raising urgent warnings about a deepening crisis that threatens not only their livelihoods but the very fabric of rural communities across the state. At a packed hearing Tuesday at the Grand Prairie Center in Stuttgart, industry leaders, producers, and economists painted a stark picture of soaring costs, plummeting profits, and a looming wave of farm closures that could devastate schools, local businesses, and entire towns.
The House Agriculture, Forestry, and Natural Resources Subcommittee relocated its meeting from the Capitol to accommodate farmers amid harvest season. Nearly 100 attendees shared personal stories and data, emphasizing the need for immediate aid to bridge the gap until federal relief arrives in October 2026 under the recently passed “One Big Beautiful Bill.”
A Legacy Under Threat
For many, the stakes are generational. Leslie Rogers, president of the Arkansas Crop Protection Association, highlighted how the current economic climate endangers family legacies built over decades. “It doesn’t just threaten our livelihoods—it promises to strip away what hard-working Arkansans have acquired through generations,” Rogers said.
Rep. DeAnn Vaught, a second-generation farmer and subcommittee co-chair, grew emotional as she described the ripple effects. “This isn’t a small ripple—it’s going to affect all of rural Arkansas,” Vaught warned. “Our schools, county budgets, city budgets—those towns will dry up.”
Third-generation farmer Johnny Reidher from Des Arc called it a “snowball effect,” noting how farm failures impact supporting industries. Fifth-generation rice farmer Sydney Robinett added a human touch: “It’s in my blood. But the bad dreams are going out of business—the uncertainty of who’s going to buy your crop.” Robinett described the stress as something that “gets in bed with you,” keeping farmers awake at night.
Row Crops: Widest Disparity in 25 Years
Dr. Hunter Biram, an assistant professor in agricultural economics at the University of Arkansas, presented data showing Arkansas agriculture valued at $13.5 billion in 2024—9% of the state’s GDP, ranking eighth nationally and first in the South. Per capita output stands at nearly $4,400, also topping the region.
Yet, net farm income for row crops has plummeted. From 2015 to 2026 projections, expenses consistently outpace revenue, with government assistance providing a thin buffer. For 2025, projected cash receipts for major crops like soybeans (highest), corn, cotton, rice, peanuts, and winter wheat are overshadowed by expenses, with soybeans facing over $1.6 billion in costs against similar receipts.
Biram noted the disparity between crop prices received and farm expenses is the largest in 25 years, with input costs 47% higher than prices nationwide. Row crop farmers have become more productive on the same acreage since 1948, but Chapter 12 bankruptcies (ag-related) in the South through June 2025 already exceed 2021-2024 totals, with Arkansas leading the pack.
Historical trends show the number of farms unchanged since 1860, but average sizes have grown as consolidation accelerates. Rural populations in farming-dependent areas continue to decline, down 0.3% since 2020 after a decade of losses.
Livestock and Poultry: Rising Costs, Shrinking Herds
Dr. James Mitchell, assistant professor and associate director at the Fryar Price Risk Management Center, focused on livestock and poultry. Annual steer prices have risen sharply since 2022, with 4-500 lb. steers at $406, 5-600 lb. at $367, and 7-800 lb. at $307 in 2025.
Cow-calf production costs have surged to over $1,200 per cow, driven by feed, pasture rent, and other expenses. Cattle inventories follow 10-12 year cycles, with biology delaying responses and drought accelerating liquidations. Arkansas inventories have fallen sharply over the past decade, reflecting five years of high costs and poor profitability.
Farms with beef cows have declined from 28,818 in 1997 to 19,467 in 2022, while cows per farm have risen, indicating scale advantages for larger operations. Retail beef prices have climbed to $9.18 per pound, far above pork ($5.01) and broiler ($2.49), pushing beef higher through 2027.
Poultry remains a bright spot, with Arkansas leading in corn (4.55 million tons) and soybean (2.94 million tons) feed demands. Broiler production has grown alongside soybeans, supported by a robust grain base and rural infrastructure.
Mitchell’s summary: High prices may replenish herds but not farms, as the sector grows capital-intensive and interest-rate sensitive.
Urgent Calls for a Bridge
Bankers like Kirk Vansandt stressed the timeline: “It’s going to take a bridge to get us from right now to fall of 2026.” Without swift aid, 25-40% of farmers may exit, with Vansandt estimating one in three. Arkansas led Southern states in 2024 farm bankruptcies and is on track again in 2025.
Proposals included tax relief on capital expenditures, fuel, parts, and maintenance. Rep. Stephen Meeks questioned state funding’s feasibility, noting it diverts from other struggling families. Industry reps clarified they seek no handouts but necessities in a unprofitable market.
As Vaught concluded, her voice breaking: “February next year is way too late. By November, farms will have shut down—and they’ll never reopen.”
The hearing underscores Arkansas agriculture’s anchor role, supporting seed dealers, hardware stores, and tax bases for schools and hospitals. Without intervention, the state risks losing family farms that sustain rural life.
For resources, contact the University of Arkansas Division of Agriculture at jlmitche@uark.edu or hdbiram@uark.edu.
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For more information on livestock, click here.
