Sharpen Your Pencils

Farmers faced a tough year in 2025. According to NDSU Extension Ag Finance Specialist Bryon Parman, 2026 isn’t looking to be much better. “The margin is looking pretty tight, mainly because we haven’t seen really any decline in production costs in the last few years,” said Parman. “In fact, we’ve seen some increases depending on whether you’re talking about herbicides, pesticides, fertilizers, things like that.” Low commodity prices don’t help. “We’re going to have to have some sharp pencils this year as we’re doing our budgeting and accounting to make sure that we’re as efficient and as cost effective as we can be.”