US Farm Bankruptcies Jump 55% in 2024

Feb 21, 2025

American farm bankruptcies spiked in 2024 amid worsening financial conditions.

Numbers from the American Farm Bureau Federation on Thursday showed US courts reported 216 farm bankruptcies last year, up 55% from a year earlier. That is still 64% below the all-time high of 599 filings in 2019 but does snap a four-year long downtrend in bankruptcies.

In the key Midwest region where corn and soybean crops are largely grown, there were 71 bankruptcy filings in 2024, a hefty 69% increase from the prior year. On a state-by-state basis, Michigan had the largest increase in filings with 12 cases, up from zero in 2023. Eight other states and territories had double-digit filings in 2024, including Nebraska with 15 and Kansas with 10. Iowa recorded 7 bankruptcies in 2024, while Illinois had 4. California had the most bankruptcies at 17.

Net farm income in 2024 reached a four-year low, decreasing nearly 24% in just two years. Lowered revenues and above-average production costs continue to squeeze farmers and ranchers on both sides of the balance sheet, threatening farm liquidity, the farm bureau said. As such, farm operating loans continue to surge to cover expenses.

Row crop markets have experienced sharp decreases in cash receipts for three years, with expected further declines of over 4% and 6% in corn and soybean receipts, respectively, in 2025.

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Video: Agriculture Secretary Rollins Speaks at American Farm Bureau Federation Convention in Anaheim

One of the highlights at the 2026 American Farm Bureau Federation Convention in Anaheim, California, was an address by U.S. Secretary of Agriculture Brooke Rollins. During her remarks, she thanked America’s farmers and ranchers and said the Trump Administration is fully aware that food security is national security.

She also acknowledged the challenging times in Farm Country with low commodity prices and high input costs and said that’s why the President stepped in to help with the recent Bridge Assistance Program.

Montana Farm Bureau Federation Executive Vice President Scott Kulbeck says that Farm Bureau members are appreciative of the help and looks forward to working with the American Farm Bureau Federation and its presence in Washington, DC to keep farmers and ranchers in business.

Secretary Rollins said the Trump Administration is also committed to helping ranchers build back America’s cattle herd while also providing more high-quality U.S. beef at the meat case for consumers.

And she also announced more assistance for specialty crop producers who only received a fraction of the $12 billion Farmer Bridge Assistance (FBA).

It’s important to note that producers who qualify for Farmer Bridge Assistance can expect the Farm Service Agency to start issuing payments in late February. For more information, farmers and ranchers are encouraged to contact their local USDA Service Center.