In a new statement, Scott Lincicome, Vice President of General Economics, highlights growing financial pressure on U.S. farmers:

“Thanks in large part to US trade policy, American farmers are facing one of the widest gaps in a decade between what they pay to produce food and what they earn from selling it. Tariffs have inflated expenses such as fertilizer, fuel, labor, and feed, while closed export markets have pushed down prices received for crops and livestock. The result is a historic — and government-inflicted — crunch heading into the next growing season.”

Indexes tracking expenses such as fertilizer, fuel, labor, and feed show that costs have eased only modestly while prices received for crops and livestock have fallen more quickly, widening the gap heading into upcoming seasons.

If you’d like to speak with Lincicome, feel free to reach out to Emily at esalamon@​cato.​org.