(SPRINGFIELD) A recent report from Bloomberg Law showed family farm bankruptcies increased 55% in the U.S. last year compared to 2023 and the number of such filings is trending even higher so far this year as farmers deal with lower commodity prices and high production costs. The USDA projects farm sector debt could increase 3.7%, that’s equivalent to $19.8 billion, this year. Overall, the number of new bankruptcy cases was relatively low for the nation as a whole in 2024 at 216, but the total is up significantly from 139 the year before. So far, through the first quarter of 2025 compared to a year ago, another 82 new bankruptcy cases have already been filed. However the USDA projected U.S. farm debt-to-asset levels could improve slightly in 2025 with working capital to increase 3.9%.
