First look at projected farm input costs for 2026

Jeff Ishee
Dec 19, 2025
2 min read

by Jeff Ishee

Mount Sidney, VA - With only a few days remaining in calendar year 2025, Virginia farmers are already planning ahead for the 2026 growing season.

Crop input prices are expected to rise modestly next year, with fertilizer leading the way, while seed, chemical, fuel, and land costs remain relatively stable. The cost for farm labor is expected to increase in 2026. That’s one reason why we see many Virginia dairy farms and orchards turning to robots and autonomous equipment.

Farmers should expect slightly higher input costs in 2026, especially for fertilizer, chemicals, equipment, and labor. Image credit - Mark Stebnicki — *Farmers should expect slightly higher input costs in 2026, especially for fertilizer, chemicals, equipment, and labor.* ***Image credit - Mark Stebnicki***

Feed costs in 2026 are expected to ease compared to the highs of 2022–2024, with abundant supplies and lower grain prices helping livestock producers. Feed costs are projected to be less of a burden for the poultry industry, though volatility remains possible.

The cattle sector may see an increase in black ink next year. Falling feed costs are cited as a major support for profitability in 2026, alongside strong beef demand.

Overall farm income may see pressure next year. Net farm income is projected to decline sharply in 2026 as government support programs fade. Pro Farmer estimates a drop from $180B in 2025 to $139B in 2026 — a 23% decline.

Specific sectors:

Fertilizer - Up 10-15% vs. 2025 due to global demand, tariffs, and production costs

Chemicals - slight increase due to higher energy and production costs

Seed - Stable, due to the fact that no major shifts are expected

Fuel - Stable, due to energy markets being relatively balanced

Land rent - Holding firm due to the fact that demand for farmland remains steady

Equipment - Slight increase due to inflation and rising machinery repair costs

Farm labor - Slight increase due to the rising cost of living

Hay prices - Stable, with the optimistic hope that drought will not be an issue in 2026. Local hay and forage costs in Virginia could differ from national averages depending on rainfall and pasture recovery.