KBRA Financial Intelligence

Bank Director: Tariffs, Labor Shortage Squeeze Farmers’ Already-Tight Margins

Data from KBRA Financial Intelligence's recent Insight report, Farm Lending Growth Slows Amid Federal Subsidy Surge, was highlighted in a featured article published in Bank Director’s 1st Quarter 2026 issue.

Bank Director’s Emily McCormick examines the outlook for agricultural lending amid the emergence of financial and political headwinds that are pressuring farm income. Associate Director Sean McGovern provided his perspective, highlighting subdued crop prices and significant inflationary pressures facing farmers. “The crop prices are just not going up at the same rate as inflation... That may partially explain why you saw an explosion in ag production lending growth year-over-year.” Farm income has risen only 0.8% since 2022, while expenses surged 7.3%.

Read the full article here: Tariffs, Labor Shortage Squeeze Farmers’ Already-Tight Margins