Tag Archives: cotton acreage decline

Georgia Farmers Face Tight Margins Despite Strong Yields in 2025

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Tifton, GA |

As 2025 came to a close, Georgia farmers found themselves reflecting on yet another year of economic uncertainty—one defined by rising input costs and commodity prices that continued to lag behind. Despite seeing high yields across many row crops, those numbers didn’t always translate to profit.

“The 2025 crop year was a really bountiful year in terms of production for a lot of the row crops—here in Georgia, as well as in the rest of the United States,” said Amanda Smith, Senior Public Service Associate with the University of Georgia. “We’re looking at a large production of corn, a large production of soybeans, large production of peanuts, particularly here in Georgia. We did see production down in terms of cotton because of fewer planted acres. But yields were great.”

While those yields may sound promising, Smith explained they had little impact on prices.

“Even though there were lower acres in some of the commodities, yields were really great. And so, we’re still looking at pretty good production. And that’s not really helping to change prices too much from where they are,” she added.

Still, there’s cautious optimism heading into the new year. Relief payments through programs like the Farm Bridge Assistance Program and the One Big Beautiful Bill are expected to go out in 2026. That, combined with more stable input costs, could give producers some breathing room.

“Some of the good things that I’m seeing from a cost standpoint is that interest rates should be a little bit lower next year,” Smith noted. “We’ve seen some relief from that standpoint. Also, from a crop insurance standpoint, there’s going to be higher subsidies on the premiums for growers. So, crop insurance should be more affordable for producers next year. And we’ve also seen fuel prices remain down.”

As farmers begin preparing for the upcoming planting season, Smith says the first step should be taking stock of where things stand—something that can be greatly aided by tools available through UGA Extension.

“Really, the biggest piece of advice for growers is that they have to know their cost of production,” she emphasized. “There are enterprise budgets available that the University of Georgia puts together on the different commodities. They can use that as a template and guide and put in their numbers based on what production practices they plan to use—whether it’s irrigation, conservation tillage or the specific inputs they plan to utilize. Go down to the penny and know what their cost of production is. Because once they know that, then they can figure out what their break-even price is and see if they can forward price some of the commodities that they’re growing and try to lock in a profit.”

By: Damon Jones

New Farm Bill Brings Relief to Cotton Growers, But Challenges Remain Amid Declining Acreage

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Tifton, GA |

With Georgia ranking as the second largest cotton-producing state in the nation, ensuring growers are up to date on recent policy changes is critical for the industry’s future. Recognizing that need, the National Cotton Council recently hosted a series of informational meetings across the state to help farmers navigate the shifting legislative landscape.

“We are doing these across the cotton belt… and really, it’s important for growers to understand what the new provisions are of the One Big Beautiful Bill Act,” said Gary Adams, President of the National Cotton Council. “This is going to affect some of the decisions that they have to make, particularly as they move towards the 2026 crop. And really, with the financial situation that’s out there right now for growers, it couldn’t have come at a better time.”

The legislation offers a degree of relief and clarity amid uncertainty, as the most recent Farm Bill—passed seven years ago—had become increasingly outdated.

“We started this process in 2021,” said Taylor Sills, Executive Director of the Georgia Cotton Commission. “We were hoping we were going to have a Farm Bill in 2023 and then one in 2024. And we’re very grateful to have gotten the assistance from Congress and the administration… but it certainly was a long time coming. The safety net was still there. The holes just got bigger.”

For many producers, the big question is whether the updates will bring tangible economic relief. Adams says they will.

“There’s a significant increase in the reference price… that’s up about fourteen percent,” Adams explained. “There’s also an opportunity for some farms to add base acreage. And then, finally, there’s some critical changes for crop insurance that’s going to give more affordable options to growers to provide higher levels of coverage.”

Still, industry leaders acknowledge that policy changes alone won’t fix everything.

“The cotton industry is in a rough spot right now,” Sills said. “These policy changes are beneficial, but they’re not everything that’s going to help a producer’s bottom line. There are other issues the industry is tackling—some of which are policy-related—but all are focused on demand and consumption.”

That challenge has become more urgent as cotton acreage in Georgia continues to shrink.

“Producers in the state are really facing a hard time,” Sills added. “We’re the lowest in cotton acreage that we’ve been since 1992 or 1993… that’s a big enough alarm in my opinion.”

As the state’s cotton community works to rebuild and adapt, the recent meetings served as a timely opportunity for farmers to gather information, ask questions, and plan for what’s ahead.

By: Damon Jones