Can your business pay its bills and other financial obligations this year? Or will borrowing more put your business at risk of bankruptcy? Your ability to answer these questions accurately is an important part of managing your business for long-term success. In today’s blog, we’ll review information from a farm’s business records to help you make financially responsible borrowing decisions.
This article was written by Allan Gray, TEPAP Faculty Member
Professor of Agribusiness, Purdue University
Every January for more than twenty years, I’ve spent a Friday in the Hill Country of Texas teaching business strategy to TEPAP Unit I participants. In that time, I’ve watched agriculture go through high prices and low prices, droughts, trade disputes, interest rate swings, and more new technology than any of us could have predicted. The people in the room have changed too. One thing hasn’t: the operations that do well over time are not always the biggest or the best capitalized. They are the ones run by people who keep learning.
Arie de Geus, a long-time strategist at Shell, put it well: “The ability to learn faster than your competitors may be the only sustainable competitive advantage.” I think that applies to a farm or ranch as much as to an oil company.
In agriculture, we usually think of competitive advantage in terms of assets like land, water, equipment, and genetics. Those matter. But a neighbor with a good banker can buy, rent, or copy every one of them. What can’t be copied is the judgment of the person making the decisions. [Read more…] about The Fastest Learner Wins: Why Business Education Belongs on Your Operation’s Balance Sheet
U.S. Peanut Outlook Brief: October 2026
Peanuts on Friday, Mar 06, 2026, in Stephenville, Texas. (Michael Miller/Texas A&M AgriLife)
The U.S. peanut industry enters the 2026/27 marketing year in a period of adjustment. Following an 8.4% increase in planted acreage during 2025/26 and one of the largest peanut crops in recent history, growers responded to lower prices and growing inventories by sharply reducing plantings. U.S. peanut acreage declined approximately 28% in 2026 to about 1.4 million acres, with all major producing states reporting significant reductions. Texas experienced one of the largest declines, with planted acreage falling to approximately 145,000 acres amid weak market conditions and drought concerns. [Read more…] about U.S. Peanut Outlook Brief
Texas A&M Soil and Crop Sciences Professor, Keerti Rathore, Ph.D. collecting cotton on Wednesday, Sep 23, 2026, in College Station, Texas. (Hannah Lang/Texas A&M AgriLife)
As farm profit margins tighten across the Southern Plains, many producers are finding that access to credit is becoming increasingly important and increasingly challenging. Rising production costs, lower commodity prices, and higher interest rates have created financial pressures felt on both sides of the lender’s desk.
Recent discussions among agricultural lenders highlight growing concern about the financial outlook for agriculture. While the industry experienced strong profitability during the years immediately following the pandemic, economic conditions have shifted considerably. Today, many producers are relying more heavily on operating loans to cover input costs and maintain cash flow.
[Read more…] about The Changing Reality of Agricultural Lending
Diamond K Ranch on July 18, 2022 in Hempstead, Texas. (Courtney Sacco/Texas A&M AgriLife Marketing and Communications)
Texas agricultural land continued to gain value in 2026, according to new data released in the USDA’s annual Land Values Summary. For Texas landowners, producers, investors, and rural real estate professionals, the report offers a valuable snapshot of how farm and ranch land values have changed over the past year.
According to the USDA’s latest data, Texas agricultural land values continued their upward trend in 2026, with increases reported across farm real estate, cropland, and pastureland. [Read more…] about USDA 2026 Land Values: Texas Agricultural Land Values Continue to Rise
The O. D. Butler, Jr. Animal Science Complex on Thursday, Aug 21, 2025 in College Station, Texas. (Hannah Harrison/Texas A&M AgriLife)
Producers can monitor weekly market activity on the Cattle Auction Prices page in Ag Economics on the Plains. The page summarizes sales data from four key livestock auctions serving the Texas Panhandle and Rolling Plains: Tulia Livestock (Tulia), Cattlemen’s Livestock (Dalhart), Lonestar Stockyards (Wildorado), and Beaver Livestock Auction (Beaver, Oklahoma).
Last month, we added Beef Cattle Price Trends charts to the Cattle Auction Prices page. In addition to weekly auction data, these charts offer a longer-term view of steer and heifer prices. Weekly prices may fluctuate due to factors such as cattle quality, weather, buyer participation, and the number of cattle offered. Reviewing several months of data helps filter out short-term volatility and highlight overall market trends. [Read more…] about Cattle Auction Prices
Producers across the Rolling Plains continue to face a common challenge: how to maintain profitability while adapting to changing weather conditions, rising input costs, evolving pest pressures, and shifting market opportunities. One of the best ways to evaluate new practices and technologies is to see research results firsthand and hear directly from the scientists and specialists conducting the work.
The 2026 Chillicothe Field Day, hosted by Texas A&M AgriLife Research and Extension, will provide producers with an opportunity to learn about the latest research findings and management strategies relevant to agriculture in the Rolling Plains. The event is scheduled for Thursday, September 17, 2026, at the Chillicothe Research Station. [Read more…] about Research, Solutions, and Results: Join Us for the 2026 Chillicothe Field Day
Field irrigated by a pivot sprinkler system
We are nearing the end of the 2026 growing season, so it’s time to ask an important question. When is the right time to turn off irrigation? In this post, we’ll look at some of the factors that go into this decision. [Read more…] about Factors to Consider When Making Late-Season Irrigation Decisions
Aug. 9, 2022 in College Station, Texas. (Sam Craft/Texas A&M AgriLife Marketing and Communications)
Successful farming and ranching require more than sound production practices. Producers must also navigate financial management, tax considerations, business planning, risk management, and lending requirements. These decisions often play a significant role in the long-term success and sustainability of an operation. [Read more…] about AgFTAP Helps Producers Strengthen the Business Side of Agriculture
Farms and crops in Burleson County on April 28, 2021. (Laura McKenzie/Texas A&M AgriLife Marketing and Communications)
When traditional crop margins become compressed, it is natural for producers to explore alternative cropping opportunities. Specialty crops, niche markets, and emerging commodities often generate excitement because of their potential to increase revenue and diversify farm income.
However, before committing acreage to a new enterprise, producers should carefully evaluate both the opportunities and risks associated with alternative crops. [Read more…] about Considerations Before Making the Switch to Alternative Crops