By Jamie Martin
A new data initiative is providing a deeper look into the financial challenges facing U.S. agriculture. The National Association of State Departments of Agriculture and the National Agricultural Law Center recently introduced the Data on Economic and Bankruptcy Trends in Agriculture (DEBT) project.
The effort was created to improve access to agricultural bankruptcy information and support informed decision-making across the industry.
“A goal of our memorandum of understanding with the National Agricultural Law Center was to expand collaboration to inform agricultural policy and education,” said NASDA CEO Ted McKinney. “The DEBT project accomplishes exactly that by providing better data and a more complete picture of the economic conditions U.S. farmers are facing.”
For many years, farm bankruptcy trends were measured mainly through Chapter 12 filings, a bankruptcy option designed specifically for family farmers and fishermen. However, some agricultural operations use Chapter 11 for bankruptcy because they do not meet Chapter 12 requirements.
Recognizing this gap, the DEBT project combines both Chapter 11 and Chapter 12 filings to create a broader view of agricultural financial conditions.
The project reviewed bankruptcy cases filed between January 2021 and June 2026. Researchers identified 1,401 agricultural bankruptcy filings, including 1,200 Chapter 12 cases and 201 Chapter 11 cases.
“DEBT is a first step in gaining a definitive, foundational picture of agricultural bankruptcy filings in the U.S. from 2021 onward,” said NALC Director Harrison Pittman. “We look forward to collaborating with NASDA and others partners and stakeholders in building on this foundation.”
To locate agricultural businesses within Chapter 11 filings, analysts compared federal court records with USDA Farm Service Agency for program data. This process helped identify businesses involved in agriculture and improve the accuracy of the database.
Industry leaders believe the project will become an important tool for monitoring financial trends, understanding regional differences, and identifying emerging challenges in agriculture.
The information can support attorneys, lenders, researchers, policymakers, and agricultural organizations as they evaluate economic conditions and develop solutions for the sector.
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