Iowa Farm Troubles Continue, But Farmers Always Find Their Footing

A recent report projects a troubling 24% decline in Iowa’s agricultural income for 2026, marking a continuation of a challenging three-year stretch for corn and soybean growers. This downturn has rippled beyond the fields, impacting the broader Iowa economy with layoffs in agriculture-related manufacturing and beyond.

While the numbers may look daunting, Iowa farmers have a long history of weathering the storms that come with the natural ebb and flow of agriculture. Farming is never without its cycles. Periods of growth and profit are often followed by challenges and adjustment.

What sets Iowa’s farming community apart is its deep-rooted resilience and multi-generational ability to adapt and persevere.

For many families, farming is more than a livelihood; it’s a legacy. They’ve faced droughts, market fluctuations and policy shifts. Each time, they emerge stronger thanks to spirits of innovation and collaboration — sometimes from sheer grit alone.

Smart steps Iowa farmers can take now

So, what can producers do during this downturn? Our tenured team of agricultural finance experts has a few ideas, mainly centered on sharpening that pencil and utilizing local experts. 

Focus on the numbers. It’s crucial for producers to have a strong understanding of production costs and a clearly defined breakeven. Knowing that number helps inform rational, timely marketing decisions when opportunities for profit arise.

Get strategic. Put a financial plan down on paper before the first seed goes into the ground. This framework supports sound decision-making across planting, marketing and capital or equipment investments.

Surround yourself with experts. Lenders, marketing advisors and other trusted ag professionals— particularly those with a solid book of local farm families and businesses — can be invaluable resources when evaluating breakeven scenarios and profitability prospects. They may also be able to suggest ways to enhance things like liquidity, security and financial control for a farming operation. 

Consider other sources of income carefully. Diversification often requires upfront investment, so it’s important to evaluate potential returns and ensure the ROI justifies the added risk.

Resilience built on a community of commitment

In times of uncertainty, it’s the strength of local partnerships that carries agriculture forward. Anyone can lend when conditions are good. It’s during challenging seasons that community banks prove their value by standing close to the people they serve.

At Bank Iowa, that belief guides everything we do. Resilience is more than a tradition. It’s a promise. And, it’s one we share with fellow community banks as we work together, sharing insights and supporting Iowa agriculture. Side by side, we’re committed to helping farmers weather the storms and build a stronger farming legacy.