GFB News Magazine

UGA Ag Forecast: 2026 to be challenging

by Jennifer Whittaker

Posted on February 17, 2026 1:20 AM

From left, UGA CAES Dean & Director Dr. Nick Place moderated a panel discussion during the annual Ag Forecast event made up of Colquitt County vegetable producer Kent Hamilton, Ga. Sen. Russ Goodman, and Georgia FSA Director Duncan Johnson. The panelists discussed ag topics such as labor issues, crop production costs & USDA farm programs. Hamilton was the 2025 Sunbelt Ag Expo Southeastern Farmer of the Year. Goodman chairs the Georgia Senate Agriculture & Consumer Affairs Committee and grows blueberries and timber. / Photo by Jennifer Whittaker

The UGA College of Agricultural & Environmental Sciences (CAES) held its 2026 Ag Forecast in Tifton Jan. 23. The annual event included economic analysis and projections from UGA CAES economists. 

Economic outlook for Georgia crops

Amanda Smith, a senior public service associate with the UGA CAES, shared insights about the coming year. The 2026 outlook for cotton remains challenging, Smith said, due to Brazil’s rising production, China buying less U.S. cotton, and global stocks exceeding demand. Growers will need to carefully manage expenses with cotton futures in the high 50-cents to low-60 cents/pound.

U.S. and Georgia peanut growers are expected to plant high acreage this year as they did in 2025. Georgia forward contracts are expected to range from $400-$425/ton at most, Smith said.

Georgia farmers are expected to plant more acres of corn in 2026, while soybean and wheat acres are expected to be similar to 2025. Projected prices for corn, soybeans and wheat are near or below the break-even cost of production, so tight margins are expected to continue this year for these crops.

Blueberries are expected to again lead the Georgia fruit and tree nut sector in 2026. Overall, consumer and grower price indexes should remain strong this year.

Total acres of harvested vegetables are expected to decrease in 2026, but the value of production will continue to grow because of yield increases due to good production practices. The consumer price index for vegetables is expected to remain strong this year.

Consumers are expected to eat more fresh vegetables this year, up from last year.

Overall economic outlook

Dr. Ford Ramsey, UGA CAES associate professor, said the overall 2026 U.S. economic forecast calls for the second consecutive year of slow economic growth due to trade wars and restrictive immigration policies. The U.S. economy is expected to grow by about 2% this year. Inflation rates will likely fall toward the Federal Reserve’s target inflation rate of 2%.

Changes to farm bill programs in the 2025 One Big Beautiful Bill Act, disaster assistance and economic assistance payments will be important to keeping farmers afloat, Ramsey said, as many commodities will continue to experience cost-price squeeze. Livestock prices will also help.

Interest and H-2A labor rates, fuel and electricity farm expenses are expected to decrease as fertilizer costs increase in 2026.          

Visit  https://gfb.ag/25caesagimpactreport to read the latest Georgia Ag Impact Report published by UGA CAES.