Bipartisan Group Warns Congress of Potential Ag Industry Collapse

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February 04, 2026

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by Joshua Baethge (Farm Progress) In letter to congressional ag committees, former USDA and farm group officials cite Trump’s policies as causing “tremendous harm” to U.S. agriculture. -- A bipartisan group of former USDA and farm group leaders warned Congress about the farm economy’s deteriorating state. In a Feb. 3 letter to House and Senate ag committee leaders, they said current conditions represent a potential “widespread collapse of American agriculture.”

“The policies of this administration have caused tremendous harm to U.S. agriculture,” the letter states. “Farmer bankruptcies have doubled, barely half of all farms will be profitable this year, and the U.S. is running a historic agriculture trade deficit.”

Included among the 27 signers were leaders from corn, soybean, pork, barley, wheat, dairy and biofuel industries. Joining them were former government officials from both political parties with ag market and farm policy expertise.

According to at least three sources, multiple current farm group leaders were aware of the letter but were not directly involved in writing it.

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9 solutions offered

As for solutions, the letter lays out a nine-point plan to improve the agriculture economy. Those points include:

Immediately exempt all farm inputs from tariffs.
Repeal tariffs that are disrupting agriculture export markets.
Pass Trade Promotion Authority to enable the administration to pursue and secure meaningful, enforceable, free trade agreements that can be passed by Congress and have the full force and effect of law.
Direct the administration to prioritize the negotiation of binding trade agreements with countries that need our agricultural products and that can help offset other market disruptions.
Encourage the administration to expeditiously complete the review of the U.S.-Mexico-Canada Agreement, favorably resolve the pending dairy dispute settlement case with Canada, and ensure that the USMCA is extended for the next 16 years.
Pass legislation to enable nationwide E15, year-round ethanol,\ and sustainable aviation fuel to boost domestic markets for U.S. corn and soybeans.
Pass a new farm bill.
Pass farm labor reform including reform to the H-2A program.
Restore funding for land-grant agriculture research, critical USDA staffing, and domestic and international food aid programs.

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Administration pushes back

Trump administration officials disputed the sharp criticisms leveled in the letter. When asked for reaction, a USDA spokesperson countered that the president is utilizing “all the tools available” to ensure farmers have what they need to continue their operation.

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Solutions over politics?

Superlative-heavy responses from USDA have become commonplace during the Trump administration. Spokespeople regularly blame all of agriculture’s ills on the Biden administration. Conversely, Trump is touted as “the best” or “the most” no matter the situation. While the Feb. 3 letter strongly criticizes the administration’s policies, it was not intended to be a political statement, according to one signer.

“This is a bipartisan group, and we just want to get this conversation going,” said Jon Doggett, former CEO of the National Corn Growers Association.

That conversation began in a small group last spring between Doggett and three or four others across the country who formerly worked in agriculture. They were concerned by Trump’s tariff plans and began having weekly calls to discuss important issues. That conversation group soon expanded to others who had dedicated their lives to agriculture. Eventually, the group decided it was time to draft a letter.

Since last spring, Doggett said he’s grown even more concerned about agriculture after witnessing events such as Trump’s “chaotic” tariff policy and his escalating deportation efforts.

“What does tariffs against the EU over Greenland have to do with me getting my soybean crop sold?” he asked.

According to Doggett, more people in agriculture need to have these types of conversations. He’s heard from many farmers who have opinions to share but are not comfortable doing so in casual conversations after church or at the local coffee shop.

While he is quick to point out that not every solution needs to come from Washington, he contends it’s important for lawmakers to be involved and know what kinds of conversations are happening around the country.

“We are in no way, shape or form trying to supplant the work that is done by trade associations and others. We just want to expand opportunities to have a conversation,” Doggett said. “Sometimes you’ve got to bring up some uncomfortable things in order to start a conversation, and here we are.” READ MORE

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Ag Policy Blog: Purdue: Farmer Sentiment Falls Sharply Over Ag Economy, Outlook for Exports (DTN Progressive Farmer)

Excerpt from DTN Progressive Farmer: More than half of farmers surveyed in the Purdue University/CME Group Ag Economy Barometer said they will use their Farmer Bridge Assistance (FBA) payments to pay down debt.

Producers responding to the survey took a dive in optimism in January. Purdue economists noted the January barometer survey was Jan. 12-16, while USDA's January World Agricultural Supply and Demand Estimates (WASDE) report came out Jan. 12. Crop prices fell sharply after the WASDE reported a larger corn crop than expected.

Half of the farmers who responded to the survey said their farm operations are worse off than a year ago. Looking a year ahead, 30% expect worse financial performance compared to 20% who expect better financial performance.

The monthly barometer shows farmer sentiment dropped from 136 in December down to 113 in January. The barometer saw a spike of optimism when President Donald Trump was elected last year, but the barometer has fallen back down in recent months.

Gauging current and future conditions, the Current Conditions Index dropped 19 points while the Future Expectations Index dropped 25 points.

"Among the five indices that make up the (Ag Economy Barometer) AEB Index, the largest decline was in the question asking participants whether U.S. agriculture would have good times or bad times in the next five years. The index for this question fell from 122 to 88, marking its lowest point since September 2024," Purdue economists stated.

Looking at farm equipment, only 4% of respondents indicated they plan to increase farm machinery purchases over the next year. The Farm Capital Investments Index declined to its lowest level since October 2024.

More farmers expect to take out larger operating loans than a year ago at 21% compared to 18% last year. Of those producers taking out larger loans, 31% expect to do so because they were carrying over unpaid operating debt from last year, up from 23% in 2025.

Despite an array of announcements about trade, farmers are also more pessimistic about exports. More producers expect agricultural exports to decline over the next five years -- 16% compared to just 5% in December. READ MORE