AUDIO: Joana Colussi, Purdue’s Center for Commercial Agriculture
An ag economist says farmers expect farmland values to remain strong according to the latest Ag Economy Barometer.
Joana Colussi with Purdue’s Center for Commercial Agriculture says the long-term farmland value expectations index reached a record high in September.
“Alternative investments, interest rates, and inflation were all mentioned as the three factors having the biggest influence on farmland values,” she says. “This is also largely explained by increasing diesel and fertilizer prices.”
She tells Brownfield rising production costs continue to impact farmers’ future decision making.
“We have seen farmers hold off on major investments over the past few months,” she says. “This is expected to continue. High input costs are the main factor limiting the improvement in their farm’s financial situation.”
Colussi says more than 70 percent of this month’s respondents also expect cash rents to remain relatively steady next year.
The USDA says U.S. farmland values averaged $4,500 per acre in 2026, up 3.4 percent from 2025.
