Tariffs, market shifts and economic constraints hit Montana farmers hard last year. A recent analysis from agricultural economists counted six Chapter 12 farm bankruptcies in Montana in 2025 – triple the 2024 total.
Montana Farm Bureau President Cyndi Johnson says Montana doesn’t usually have many farm bankruptcies, about two a year. But 2025 saw an increase of several more.
Montana Farmer’s Union President Walter Schweitzer says this is an indication of what’s to come if farmers don’t get more support.
"This year, it's going to be worse, because many of them were able to squeeze by last year with the hopes of change this year."
Chapter 12 bankruptcies allow farmers a way to restructure their debt, but that might look like selling off farm assets or land.
Schweitzer says these financial decisions take an emotional toll.
"If you have friends or family that is farming and ranching, give them a call, ask them how they’re doing," Schweitzer says.
According to the U.S. Department of Agriculture, farm debt will reach a record high of $620 billion in 2026. Farm debt has continuously climbed since the mid '90s but only recently surpassed the farm debt highs of the 1980s.
