Wednesday October 07 Ag News - Input Costs Top Farmer Conern - Dairy Margin Coverage Enrollment Open - USDA Launches Seed Sovereignty Initiative - EPA Begins Reallocating RFS Volumes - World Without Cows Documentary - and more!

Farmer sentiment drops as concerns about input costs increase

In the September Purdue University/CME Group Ag Economy Barometer survey, 52% of respondents cited higher input costs as their top concern, marking a new record high. Alongside an 18-point drop in the Index of Current Conditions, overall farmer sentiment weakened in September, falling from 135 points in August to 123. Although the Long-Term Farmland Value Expectations Index also reached a new high of 168, up 5 points from August, the Index of Future Expectations fell 9 points, as more respondents expected their operation to be worse off financially (35%) than better off (22%) a year from now. The survey was conducted among 400 farmers across the nation from Sept. 14-18.

“Producer sentiment this month reflects a growing divide between concerns about the near term and expectations for the longer term,” said Michael Langemeier, the barometer’s principal investigator and director of Purdue’s Center for Commercial Agriculture. “While higher costs and financial pressures are clearly shaping producers’ views of current conditions, strong expectations for farmland values point to a more positive outlook for some aspects of the agricultural economy.”

Growing pessimism about financial prospects over the next 12 months was reflected in the Farm Financial Performance Index, which fell from 103 in August to 90 in this month’s survey. This negative outlook on current financial conditions coincided with a 6-point drop in the Farm Capital Investment Index to 39.

This month’s survey included three sets of questions for corn and soybean producers, covering expectations for cash rents, cover crop use, and soybean exports and competitiveness. A majority of producers (73%) expected cash rents to remain the same in 2027. Of the 22% who expected cash rents to increase next year, about 47% anticipated an increase of 0% to 5%. A little less than half (46%) of this month’s respondents said they currently plant cover crops, with about one-third of those indicating they have planted cover crops for more than 10 years, and 15% said cover crops are planted on a majority of their acreage. Twenty-two percent of respondents indicated that they have planted cover crops in the past.

When asked about the future of U.S. soybean exports over the next five years, 37% of corn and soybean producers expect U.S. soybean exports to increase, while 10% anticipate a decline. However, competitiveness remains a concern for many producers comparing U.S. soybean production with Brazil’s; just under 20% of respondents said they were not concerned about the U.S. position relative to Brazil.

The Short-Term Farmland Value Expectations Index fell 1 point to 126 in September, while the Long-Term Farmland Value Expectations Index climbed to a new high of 168. Respondents cited alternative investments, inflation and interest rates as the three factors expected to have the greatest influence on farmland values.

Since July 2025, producers have been asked whether they believe the U.S. is headed in the “right direction” or on the “wrong track.” The share of producers who said the U.S. was headed in the right direction averaged 71% in the final six months of 2025 and 62% in the first six months of 2026. That share fell to between 51% and 54% in July and August before dropping below 50% in September. September marks the first time since the question was introduced that fewer than half of respondents said the U.S. was headed in the right direction.



Dairy Margin Coverage Enrollment Is Now Open
Fred M. Hall, Northwest Iowa Extension Dairy Specialist

Dairy producers have an opportunity to strengthen their risk management plans as enrollment for the 2027 Dairy Margin Coverage (DMC) program is now open through December 18, 2026.

Administered by USDA's Farm Service Agency, DMC provides financial protection when the difference between the national all-milk price and average feed costs falls below a producer-selected coverage level. Producers may elect coverage levels from $4.00 to $9.50 per hundredweight, with the highest coverage level offering the greatest protection against tightening margins.

Current market projections suggest DMC may provide value in 2027. Milk prices are forecast to remain in the low-$20-per-hundredweight range, while feed costs are expected to approach $12 per hundredweight. As a result, average DMC margins are projected at approximately $9.34 per hundredweight, remaining below the maximum $9.50 coverage level for much of the year.

The lowest projected margin is expected in July 2027 at approximately $8.57 per hundredweight, creating the potential for indemnity payments, particularly on Tier 1 production. Producers should carefully evaluate coverage options and consider how DMC fits into their overall risk management strategy.

Recent improvements to DMC have increased program benefits by expanding Tier 1 eligibility from 5 million to 6 million pounds, updating production histories to better reflect current operations, and allowing producers to lock in coverage through 2031 at a 25% premium discount through the multi-year election option.

Producers who previously elected multi-year coverage must still certify milk marketing, sign an annual contract, and pay the $100 administrative fee to maintain coverage.

Dairy producers are encouraged to contact their local USDA Farm Service Agency office to review coverage options and complete enrollment before the December 18 deadline.



Bob and Robby Jewell Receive Iowa Leopold Conservation Award

Bob and Robby Jewell of Decorah have been selected as the 2026 Iowa Leopold Conservation Award® recipients.

The $10,000 award honors farmers, ranchers, and forestland owners who go above and beyond in their management of soil health, water quality, and wildlife habitat on working land.

The Jewells’ 1,600-acre farm, Jewell Enterprizes, in located in Winneshiek County. They grow corn, soybeans, alfalfa, cereal grains, and raise organic turkeys, pastured pork, and beef cattle. They were presented with the award at an on-farm event.

Sand County Foundation and national sponsor American Farmland Trust present Leopold Conservation Awards to private landowners in 28 states. In Iowa, the award is presented with Conservation Districts of Iowa and Practical Farmers of Iowa.

Given in honor of renowned conservationist Aldo Leopold, the award recognizes landowners who inspire others with their dedication to environmental improvement. In his influential 1949 book, A Sand County Almanac, Leopold advocated for “a land ethic,” an ethical relationship between people and the land they own and manage.

Earlier this year, Iowa landowners were encouraged to apply, or be nominated, for the award. Applications were evaluated by an independent panel of agricultural and conservation leaders from Iowa.

ABOUT THE JEWELLS
Father and son, Bob and Robby Jewell, farm amid the unique Driftless Area, a rugged, unglaciated landscape teeming with biodiversity.

Their 1,600-acre farm encompasses large forest tracts, coldwater springs, and riparian habitat along the Upper Iowa River and Ten Mile Creek. With its steep slopes and high erosion potential, the Jewells are acutely aware of their land’s vulnerability, both economically and environmentally.

For the Jewells, farming on this ecologically sensitive landscape has always demanded an adaptive mindset. They utilize no-till practices, diverse crop rotations, and cover cropping to reduce erosion and increase soil health while improving water infiltration and drought resilience.

Their land stewardship is also demonstrated through maintaining buffer zones along waterways and restoring native oak savanna habitat on their forested lands. These practices enhance biodiversity and resilience in one of Iowa’s most threatened ecosystems.

To ensure permanent land protection, the Jewells placed 696 acres under an Agricultural Land Easement with the Natural Resources Conservation Service and the Iowa Natural Heritage Foundation in 2017. It was the largest such easement in Iowa at the time.

They manage an additional 95 acres in Iowa’s Emergency Watershed Program and maintain over 600 acres of forest, creating a powerful mosaic of working lands and permanent habitat. Such efforts not only conserve their own land but also protect public natural resources downstream.

Bob Jewell began transitioning to organic practices in 1996, recognizing that long-term viability meant aligning production with environmental responsibility. Unlike many Iowa farms focused exclusively on corn and soybeans, the Jewells also raise alfalfa and cereal grains -- important for soil health and reducing exposure to market volatility.

Since the 1950s, the Jewell family has raised thousands of commercial turkeys. This year they created a direct-to-consumer revenue stream by raising 2,000 free-range organic turkeys. Robby also has an emerging pastured pork enterprise. He raises hogs within a silvopasture system -- an uncommon approach in Iowa, where conventional confinement production dominates the pork industry. By marketing pork, turkey, and beef directly to consumers, the Jewells emphasize transparency, animal welfare, environmental stewardship, and premium product quality.

Another conservation component to Jewell Enterprizes is grazing cattle on their cropland, which closes nutrient loops, improves grazing management, and reduces reliance on costly off-farm inputs.

Bob and Robby’s forested areas support diverse wildlife including turkey, deer, and numerous migratory bird species traveling the Mississippi Flyway. Springs on the property help sustain trout habitat in Ten Mile Creek, a rare coldwater system in Iowa. Thousands of paddlers pass through this section of the Upper Iowa River each year, experiencing firsthand the Jewells’ commitment to preserving natural beauty.

The Jewells have also developed an innovative partnership with the City of Decorah to compost municipal wood chips for use as livestock bedding. Once enriched with manure, the material is returned to their organic fields, improving soil structure, increasing organic matter, and recycling valuable nutrients.

Bob and Robby are quiet but impactful leaders. They regularly host college students and faculty for soil health field studies, and open their farm to local leadership programs, conservation professionals, and other farmers. Guests see a farm that is not only productive, but inspirational.

With roots deep in the soil and eyes on the future, Bob and Robby Jewell embody the values of the Leopold Conservation Award: ecological awareness, land stewardship and innovation.

ACCOLADES
“The Jewells show us that a working farm can thrive in an ecologically sensitive landscape while taking care of our precious natural resources and feeding our community,” said Sally Worley, Practical Farmers of Iowa Executive Director. “That kind of thoughtful stewardship is something we can all learn from.”

“Bob and Robby Jewell have demonstrated that implementing conservation practices and a successful and profitable farm can go hand in hand. Their commitment to conservation, coupled with their leadership and willingness to share ideas with their neighbors, makes them very deserving of this award,” said Dien Judge, Conservation Districts of Iowa Executive Director.

“These award recipients are examples of how Aldo Leopold’s land ethic is alive and well today,” said Kevin McAleese, Sand County Foundation President and CEO. “Their dedication to conservation is both an inspiration to their peers as well as a reminder to all how important thoughtful agriculture is to clean water, healthy soil, and wildlife habitat.”

“As the national sponsor for Sand County Foundation’s Leopold Conservation Award, American Farmland Trust celebrates the hard work and dedication of the award recipients,” said John Piotti, AFT President and CEO. “At AFT we believe that exemplary conservation involves the land itself, the practices employed on the land, and the people who steward it. This award recognizes the integral role of all three.”

Among the outstanding Iowa landowners nominated for the award were finalists: James Hepp of Rockwell City. Last year’s recipients were Landon and Anne Plagge of Latimer.

Sand County Foundation’s Iowa Leopold Conservation Award is made possible through the generous support of American Farmland Trust, Conservation Districts of Iowa, Practical Farmers of Iowa, Farm Credit Services of America, Soil Regen, Nancy and Marc DeLong, Iowa Agriculture Water Alliance, Iowa Farmers Union, Leopold Center for Sustainable Agriculture, Leopold Landscape Alliance, and USDA Natural Resources Conservation Service of Iowa.



Ricketts Statement on Executive Order on Red-Dyed Diesel

U.S. Senator Pete Ricketts (R-NE) released the following statement on the President’s Executive Order temporarily allowing use of red-dyed diesel on highways:

“I appreciate the Administration’s willingness to find new ways to bring down costs for our farmers and ranchers during harvest. The temporary highway use of red-dyed diesel will help with transportation and supply chain costs, like transporting machines to the field. We will continue working to ensure Nebraskans get the relief they deserve.” 



Naig Thanks President Trump and Gov. Reynolds for Providing Diesel Tax Relief for Iowa Farmers During Busy Harvest Season

Iowa Secretary of Agriculture Mike Naig today issued the following statement in response to President Trump and Iowa Gov. Kim Reynolds’ actions temporarily allowing farmers to use non-taxed, off-road diesel in agricultural and trucking equipment that support on-road harvest activities. The action will provide some federal and state fuel tax relief for farmers facing high diesel prices during harvest.

“Thank you to President Trump and Gov. Reynolds for taking action to provide temporary fuel tax relief for Iowa farmers during the busy harvest season,” said Secretary Naig. “Diesel is a major expense, especially at a time when farmers are facing tight margins, high input costs, and uncertainty in the farm economy. Allowing farmers expanded use of off-road diesel could lead to significant savings this fall, providing financial relief when they need it most.”



ASA Statement on Emergency Diesel Fuel Tax Relief

The American Soybean Association expressed appreciation following the signing of an Executive Order on Emergency Tax Relief on Diesel Fuel. The Order will allow the temporary use of dyed diesel for on-road transportation with the federal fuel tax deferred at this time. ASA is urging the administration to ultimately waive these deferred taxes for farmers.

“As U.S. soybean farmers move the 2026 harvest to market, ASA thanks President Trump for his Executive Order that seeks to address high fuel costs impacting our bottom lines,” said ASA Vice President Dave Walton, a soybean farmer from Wilton, Iowa. “This policy will align with actions taken by many soybean-producing states already, and ASA is encouraged by the administration’s continued focus on agricultural affordability.”

ASA supports today’s Executive Order and urges the administration to ensure farmers do not have to pay future deferred taxes for fuel use and are held harmless for residual dyed diesel that may remain in fuel tanks following the expiration of this Order on December 31, 2026. Farmers should maintain records of their dyed diesel use during this period in the event the deferred taxes ultimately become due. Further, ASA continues to support policies that preserve the integrity and solvency of the Highway Trust Fund and ensure the continued ability to make timely repairs and improvements to our nation’s roads and bridges.   



Iowa Corn Growers Welcome Diesel Fuel Price Relief for Farmers

Tuesday, farmers received welcome news on diesel price relief as harvest kicks off this week across the state. The actions allow farmers to use non-taxed, off-road diesel in agricultural and trucking equipment that temporarily supports on-road harvest activities. The action will provide some federal and state fuel tax relief for farmers facing high diesel prices during harvest. 

“Farmers appreciate President Trump and Iowa Governor Reynolds’ announcement to provide fuel price relief,” said Iowa Corn Growers Association President Steve Kuiper, who farms in Knoxville, Iowa. “Diesel fuel is a major input cost impacting farmers’ bottom line,  especially when we are facing tight margins in an uncertain farm economy. Allowing farmers expanded use of off-road diesel will help provide financial relief when they need it most during harvest.” 

High input prices are impacting farmer profitability, and Iowa Corn is working to deliver on Iowa corn farmer priorities. Earlier today, U.S. Secretary of Agriculture Brooke Rollins announced the $180 million Seed Sovereignty Initiative to strengthen U.S. Agricultural Security. The announcement was made at Iowa corn farmer Will Cannon’s farm in Prairie City, Iowa, following a panel discussion with local farmers on the future of agricultural innovation.  

“Iowa Corn continually pushes to advance research that enhances our farmers’ ability to grow corn more efficiently and cost-effectively,” said Kuiper. “Seed technology is at the very core of modern agriculture. Investing in research helps ensure Iowa farmers remain sustainable and profitable, while ensuring they have access to a competitive market to purchase their seed genetics. Having Secretary Rollins join us on an Iowa farm to highlight this investment underscores the critical role our corn farmers play in driving national agricultural innovation.”



USDA Announces $180 Million Seed Sovereignty Initiative to Strengthen U.S. Agricultural Security

Tuesday, U.S. Secretary of Agriculture Brooke L. Rollins announced a $180 million investment to launch the U.S. Department of Agriculture’s (USDA) Seed Sovereignty Initiative, a major effort to both strengthen U.S. agricultural security by protecting the plant genetic resources that underpin American agriculture and enable breakthroughs in U.S. agricultural innovation.

This initiative will provide much-needed investments in USDA’s Agricultural Research Service (ARS) National Plant Germplasm System (NPGS), which houses more than 600,000 accessions representing over 16,000 species. Using this funding, USDA will sequence collections of major crops to unlock the tremendous potential of the plant genetic resources the United States holds and identify critical gaps.

“Since President Trump returned to office, he has made it clear that we are putting American farmers first. For too long, the future of our crops and our seeds has not been a priority. That changes today, because we cannot afford to depend on foreign adversaries for next year’s crop,” said Secretary of Agriculture Brooke L. Rollins. “Today’s announcement is another example of this administration focusing on the inputs our agriculture industry depends on and ensuring a future where our farmers are the most productive in the world.”

Foreign competitors are actively acquiring and sequencing plant genetic resources from around the world. Meanwhile, the United States has not yet capitalized on the genetic information within U.S. collections, which is not fully sequenced. The Seed Sovereignty Initiative will help close that knowledge gap and reduce the risk of future foreign dependence.

“America’s agricultural resources are a strategic national asset,” said Deputy Secretary Stephen Vaden. “We need to survey our domestic resources, understand where we are vulnerable, and ensure the United States never has to rely on foreign competitors for critical agricultural resources.”

Over two years, USDA will characterize and sequence numerous NPGS collections and use advanced technologies, including artificial intelligence, to identify valuable traits. This work will help USDA and American researchers respond more quickly to emerging pests and diseases and support the development of new crop varieties to benefit U.S. farmers and consumers.

“The National Plant Germplasm System contains tremendous untapped potential for American agriculture,” said Dr. Scott Hutchins, USDA Under Secretary for Research, Education, and Economics and Chief Scientist. “Modern sequencing will allow us to unlock that potential and put it to work for American farmers, providing them a strong advantage.”

The Seed Sovereignty Initiative will move USDA from preserving America’s agricultural genetic resources to fully understanding and strategically using the resources to strengthen American agriculture.

USDA is also expanding its existing Memorandum of Understanding with the U.S. Department of Justice to strengthen competition in agricultural input markets, with a continued robust emphasis on seeds. The expanded partnership will help ensure American farmers have greater transparency, stronger competition, and more choices in the seed marketplace.



EPA Begins Process to Restore Lost RFS Demand from Refinery Exemptions

On October 2, the U.S. Environmental Protection Agency sent to the White House Office of Management and Budget (OMB) for review its draft rule to reallocate the Renewable Fuel Standard (RFS) volumes lost due to 29 refinery exemptions granted in August. At the time, EPA stated it would “propose to reallocate 100 percent of the… [exempted volumes]… into the 2026 and 2027 Renewable Volume Obligations (RVOs) before the end of October 2026.”

“IRFA is pleased to see the process move on time,” stated Iowa Renewable Fuels Association (IRFA) executive director Monte Shaw. “Missing the October deadline would send the wrong message at the wrong moment. Earlier this year, the EPA’s robust RFS rule helped spur biofuels demand and prompted idled plants in Iowa to resume production. Any delay would create unnecessary uncertainty and call into question the reallocation commitment. We don’t want to see biofuels plants go back offline. We’re watching this closely and thank the EPA for moving forward.”

Nearly all proposed agency rules go through OMB’s interagency review process before being formally proposed. Once cleared, the agency can propose a draft rule, take public input, and ultimately finalize a rule.

“EPA's decision to fully restore waived RFS volumes was a big win,” added Shaw. “As opposing interests will continue to try to derail the reallocation plan, markets want to see that EPA is on track to get the rule done on time. Farmers and biofuels producers are counting on EPA to provide the market certainty that will power growth opportunities.”



August U.S. Ethanol and DDGS Exports Build

U.S. ethanol exports expanded 6% in August to a five-month high of 211.8 million gallons (mg), supported by sizable gains across most major markets. Canada remained the leading destination, with shipments climbing 14% to 84.8 mg, accounting for 40% of total U.S. ethanol exports and 58% of denatured fuel shipments. Exports to the European Union increased 2% to 51.6 mg, with most shipments entering through the Netherlands, while the EU remained the principal destination for undenatured fuel ethanol. Shipments to the United Kingdom jumped 52% to 19.5 mg, a 13-month high, and exports to Colombia surged 163% to 12.7 mg. Vietnam pulled back 44% to 10.4 mg following record-high shipments in July. Collectively, these five markets accounted for 85% of total U.S. ethanol exports in August. Other sizable destinations included Peru (8.0 mg), South Korea (6.7 mg), Mexico (5.7 mg), and Guatemala (4.8 mg). Brazil remained essentially absent from the market for the fifth consecutive month. Through August, U.S. ethanol exports totaled 1.62 billion gallons, running 12% ahead of the same period last year.

No U.S. ethanol imports were recorded in August, leaving year-to-date imports below 500,000 gallons.

U.S. exports of dried distillers grains (DDGS), the animal feed coproduct generated by dry-mill ethanol plants, advanced 18% in August to 1.30 million metric tons (mt)—the highest monthly volume since August 2015. Mexico remained the leading destination, with shipments rising 12% to 214,091 mt. Exports to Indonesia leapt 40% to a record 203,258 mt, while shipments to South Korea increased 13% to 155,816 mt. New Zealand also set a record, taking 143,066 mt. Exports to Vietnam declined 12% to 109,884 mt, while shipments to Turkey surged 234% to 80,820 mt. The remaining 30% of August DDGS exports were distributed across another 30 countries. Through August, U.S. DDGS exports totaled 8.57 million mt, 13% above the same period in 2025.



World Without Cows documentary coming to U.S. theaters 

The World Without Cows documentary is coming to theaters in the U.S this October. After a five-year journey to bring this film to life, this is a big moment to experience it on the big screen.

Find participating theaters, showtimes, ticket information and more about the theatrical release on the World Without Cows website worldwithoutcows.com. The first showing will be Oct. 9 at the AMC River East 21, Chicago, IL and will be attended by filmmakers Michelle Michael and Brandon Whitworth, and executive producer, Dr. Mark Lyons. Shows are also scheduled on Oct. 14 at select theatres in Illinois, Wisconsin, Missouri, Iowa, Ohio, Kentucky, Nebraska, Texas, Minnesota, North Dakota and Pennsylvania. Check back often as more theaters are being added daily.

Make a night of it and bring your crew. Bring your family, friends and colleagues to fill theaters across the U.S. with people ready to rethink the role of cows in the future of our planet. Sold-out showings can lead to broader theatrical release and the simple act of you and your network showing up is powerful support of World Without Cows.

Cows are tied to some of the biggest questions facing humanity: how we feed a growing population, protect the planet, and provide adequate nutrition in communities around the world. Against a backdrop of climate change, food insecurity, and rising protein demand, World Without Cows challenges what we think we know about cows, climate, health, and the future of our planet. Through a global journey spanning 22 countries and five continents, the film explores the complex relationship between food, sustainability, biodiversity, and the people whose lives hang in the balance.

Award-winning journalists Michelle Michael and Brandon Whitworth spent five years filming in more than 40 locations, in conversation with farmers, ranchers, scientists and environmental experts. What they found was far from simple: when it comes to cows, it's not black and white.

“The journey showed us that there is no single simple solution to the world’s greatest challenges,” said filmmaker Michelle Michael. “I don’t think the world wants simple answers. It wants a better understanding of how our global food systems work, and that need has never been more urgent than it is right now.”

“Our hope is that World Without Cows creates a new baseline for how people engage in hard conversations,” said filmmaker Brandon Whitworth. “The film wasn’t made to be an echo chamber. It was made to bring people together to ask difficult questions about complex issues and be open to different perspectives.”

"Cows have become a symbol in the climate conversation, but the reality is far more complex. By exploring this issue from many angles and in such diverse geographies, the filmmakers give us a much more insightful and hopeful outlook than we might have expected," said executive producer Mark Lyons.

For more information, visit https://worldwithoutcows.com.