Farmers facing tight margins in 2025 are likely looking for places to cut costs. According to an AgWeb poll, equipment purchases were the top area for reduction. Nearly 80% of the more than 1,300 respondents plan to cut machinery expenses. Farmers will increasingly retrofit existing equipment rather than buying new, focusing on cost-effective upgrades.

Farmers are also slowing technology investments. The poll indicates 60% are likely to delay upgrades. Instead, they will maximize the efficiency of current systems. Additionally, 61% plan to use more generic agricultural products. Experts advise caution when making the switch. They emphasize the importance of understanding active ingredients for effective results.

Fertilizer use is another area for savings, with 40% of farmers planning to reduce rates. This is particularly true for phosphorus and potassium. Experts recommend targeting reductions based on soil tests and using banded applications for efficiency. Fertilizer prices remain uncertain, with nitrogen potentially seeing price relief. Potash and phosphate supplies are expected to remain tight.

Experts are urging careful budgeting and risk management to mitigate unpredictable global supply chain disruptions. Prioritizing essential inputs and reevaluating economic returns on investments are key strategies for weathering these challenges.

Read more about potential cost cutting measures here.