Caleb Ragland, president of the American Soybean Association (ASA) and soybean farmer from Magnolia, Kentucky, addressed the U.S. Senate Judiciary Committee today during a hearing focused on competition in the seed and fertilizer industries. Speaking before lawmakers, Ragland highlighted the mounting financial pressures that threaten the viability of U.S. soybean farms.
Ragland emphasized that soaring production costs combined with declining commodity prices have created a perilous environment for farmers. “Commodity prices have fallen by an average of 50% since 2022, at the same time farm production costs continue to skyrocket,” he said. He projected that soybean growers could face a net market loss of $109 per acre this year.
The ASA president warned that inflation for critical inputs—seed, fertilizer, pesticides, fuel, and farm equipment—has become one of the most significant threats to farm profitability. “Farm profitability for row crops like soybeans will continue to remain in peril if input costs remain static at current levels,” Ragland stated.
During his testimony, Ragland urged Congress and the administration to take immediate steps to reduce production costs and prevent further closures of family farms. He outlined three key policy priorities for stabilizing the sector:
- Tariff relief on essential agricultural inputs, including fertilizers, seeds, pesticides, machinery, and parts.
- Finalizing biofuel policy, including Renewable Fuel Standard (RFS) volume obligations and guidance on the 45Z Clean Fuel Production Credit, to expand domestic markets for soy.
- Targeted farmer assistance to help producers manage severe market losses and negative basis impacts.
Ragland concluded by stressing that swift policy action is necessary to protect the economic sustainability of U.S. soybean farmers and ensure the long-term health of the country’s agricultural sector.
