Before the start of the Iran conflict, 2026 farm economics was shaping up to be in a better position than 2025. Chris Gavin, President of 1870’s Holding Company, says this improvement was not only due to government payouts and the One Big, Beautiful Bill, but also because of crop insurance subsidies.
“The government payments—the bridge payment currently being distributed, along with the ARC and PLC payments tied to what we marketed last fall—look like they’re going to provide another boost to farmers’ net income,” says Gavin.
“We still don’t know what yields will look like yet, but we’ve done some work on break-even levels for farmers. And with the crop insurance deadline having passed on March 15, those decisions are now set—everyone’s made their choices.”
Gavin adds that for his family’s operation, they’ve taken a different approach than in past years by investing more heavily in crop insurance for the 2026 crop, using tools such as HarvestIQ to help build a safety net.
“What the Big, Beautiful Bill has done is help raise that safety net,” adds Gavin. “Overall, I’d say farmers are in pretty good shape. Their balance sheets are solid—though liquidity has tightened, mainly because of machinery payments. That’s taken a toll on cash flow. But in terms of net worth and equity, farmers are still in a strong position.”
Amid these uncertainties, farmers are relying on a stronger safety net, careful planning, and technological tools to navigate the season ahead.
More from the Spring Ag Roundtable: 2026 FS Spring Ag Roundtable Day 1 | Prairie Communications, LLC
