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Farm Expenses Climb Again: US Production Costs Hit $490.3B in 2025, Says USDA
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1010 WCSI
American agricultural producers faced another grueling financial landscape in 2025, with total farm production expenditures climbing 1.9% to reach an estimated $490.3 billion, up from $481.3 billion in 2024.
According to a newly released USDA National Agricultural Statistics Service (NASS) report, the national average farm production expenditure rose 3.1% to $263,955 per farm.
Crop vs. Livestock DivergenceThe 2025 data highlights a stark financial divergence between crop and livestock operations:Crop Farms: Total expenditures dropped 6.6% to $235.3 billion (averaging $284,017 per farm).
The largest expenses for grain and row-crop producers centered on labor ($30.8 billion), farm services ($30.5 billion), rent ($28.8 billion), and fertilizer, lime, and soil conditioners ($28.3 billion).
Livestock Farms: Total expenditures climbed 11.2% to $255.0 billion (averaging $247,804 per farm).