Rural Mainstreet Index Slumps on Farm Cost Worries

Rural Mainstreet Index Falls Amid Farm Economy Concerns

The Rural Mainstreet Index, a key indicator of regional economic health, declined to 44.7 in September, down from 50.3 in August, according to Creighton University's Heider College of Business. Readings below 50 indicate economic contraction.

Bankers across the 10-state region pointed to higher fuel and fertilizer costs as major concerns for farmers, with 53% citing rising fertilizer prices and 47% noting soaring fuel prices. Farm equipment sales also remain weak, with a September index of just 25, marking the 37th consecutive month below growth-neutral.

The negative impact of tariffs on local agriculture and livestock economies was also a major concern, with 79% of bankers reporting a negative effect. Creighton University's Ernie Goss, PhD, Jack A. MacAllister Chair in Regional Economics, noted that 'pessimism from higher fuel and fertilizer costs exceeded the optimism stemming from higher grain prices.'