Hawkeye Reporter

As harvest season progresses, concerns are rising among Iowa farmers about the state of the U.S. farm economy. Senator Chuck Grassley, a long-time family farmer and Iowa’s senior U.S. Senator, has highlighted several warning signs that he believes could lead to financial difficulties similar to those experienced during the 1980s Farm Crisis.

Grassley pointed out that many of today’s challenges echo those from four decades ago, including high borrowing costs, increased prices for fuel and fertilizer, low grain prices, and global trade uncertainty—especially with China. He noted that these factors are putting pressure on farmland values and making it harder for farmers to secure credit.

“There’s rising concern the farm economy is heading in the wrong direction,” Grassley said. “Recently, Farm Aid celebrated its 40th anniversary and I applaud this organization for shining a spotlight on struggling farmers. As Iowa’s senior U.S. Senator, I’m working to ensure Congress and the White House don’t sit on the sidelines.”

Grassley stressed that food security is linked to national security and emphasized the importance of preventing another collapse like in the 1980s. He expressed frustration over recent trade negotiations with China, noting that American soybean exports have suffered as a result.

“I want to know why soybean exports to China weren’t part of recent negotiations at the U.S.-China trade meeting in Spain,” Grassley said. “America’s farmers already faced a steep trade deficit compounded by the Biden administration’s failure to pursue and expand trade agreements with our partners overseas. So, when the world’s largest soybean customer hasn’t purchased a single U.S. soybean during this crop year, the American farmer is in a world of hurt.”

Grassley also mentioned hearing from agricultural lenders who warn that some farmers may need to sell land to pay bills—a situation reminiscent of past crises.

He outlined several steps he is taking in response: advocating for aid packages in Congress; supporting improvements to the farm safety net included in recent tax law changes; promoting renewable fuels through policies such as nationwide E15 sales; and pushing for greater price transparency in fertilizer markets.

Additionally, Grassley discussed his bipartisan Fertilizer Research Act aimed at boosting innovation and competition in agriculture inputs. He joined other lawmakers urging Secretary of Interior Doug Burgum to add phosphate—a key fertilizer ingredient—to the U.S. Critical Minerals List, which would lower input prices for farmers and encourage domestic production.

“The List of Critical Minerals informs investment, incentives and permitting processes designed to reduce U.S. dependence on foreign adversaries and disruptions to our supply chains,” Grassley said.

Grassley continues efforts both locally through meetings with constituents across Iowa’s counties and nationally by raising awareness among policymakers about risks facing American agriculture.