The annual study, which had responses from more than 1,400 farmers across the United States and Canada, reveals a significant demographic shift and an accelerating appetite for digital-first financial and marketing tools.
For the first time in the report’s history, farmers under the age of 50 represent nearly 38.4% of the respondent pool, a sharp increase from 28.8% just one year ago. This younger demographic is bringing a new level of technological maturity to the farm, with a strong focus on efficiency and mobile-first operations.
Key themes from the 2026 State of the Farm report
AI starts in the office, not the field-For the first time, Bushel asked farmers about AI. Fourteen percent said they are using AI tools on their farm today.
Among larger farms using AI, 50% said they use it for business or financial analysis.
Only 25% said they use AI for yield prediction or agronomy, showing early adoption centers more on business management than in-field advice.
Grain marketing keeps moving onlineDigital tools for grain marketing rose from 21% in 2024 to more than 31% in 2026.
Today, 56% of farmers said they use an app or software for grain marketing.
Artificial Intelligence in Agriculture Market Size & Growth
Among farmers under 50, 54% said they are somewhat or very likely to use an app or website to submit a firm offer or sell grain, even though many still do not have that option today.
Financial pressure shows up in greater use of financingBushel found sharp year-over-year increases in the use of financial products, likely reflecting tighter margins and higher capital needs.
Equipment financing rose to 39.1% in 2026 from 28.0% in 2025; operating loans rose to 38.9% from 29.6%; and real estate loans rose to 31.2% from 21.6%.
Farmers who use ag retailer financing are more than three times as likely to say digital tools matter most when choosing lenders compared to farmers who use traditional or other financing sources.
Payment expectations and payment reality are still far apart
Farmers under 50 showed the biggest disconnect in how they get paid for grain versus how they want to get paid.
While 82.8% said they are currently paid by paper check, only 54.9% said paper check is their preferred payment method.
That 27.9-point gap was the largest of any demographic in the report.
AI in South Africa Farmers
South African farmers are increasingly turning to Artificial Intelligence (AI) to modernise their operations, boost productivity, and tackle major challenges such as climate change, water scarcity, high input costs, and labour shortages.AI is being used in several practical ways on farms. Through precision farming, drones, satellites, and sensors work together with AI to monitor crop health, detect pests and diseases early, check soil conditions, and help farmers apply exactly the right amount of water, fertiliser, and chemicals. This leads to less waste and lower costs. AI tools also analyse weather patterns, soil data, and past records to give better advice on when to plant and to predict harvests more accurately.
Smart irrigation systems powered by AI are particularly valuable in South Africa, as they calculate the precise amount of water crops need. In orchards and livestock farming, AI-powered drones — such as those developed by the South African company Aerobotics — can count fruit on trees, monitor tree health, and make managing large farms much easier. Even smallholder farmers are benefiting through simple mobile apps and SMS services that deliver AI-based advice on weather, pests, and market prices.Leading the way are commercial farmers in the fruit, wine, grain, and sugarcane industries. South African success stories like Aerobotics are now serving farmers not only locally but across the rest of Africa.
Local startups such as CropSense AI and Flokify are also creating tools designed specifically for South African conditions. The government and organisations like GreenCape are working to make these technologies more accessible to smaller farmers as well.Farmers using AI are already seeing real benefits, including higher yields, lower input costs — sometimes saving between 15% and 30% on chemicals and water — better quality produce, and improved sustainability. The technology is also helping them meet strict export and compliance standards.However, challenges remain. The high cost of technology, poor internet connectivity in rural areas, limited digital skills among some farmers, electricity problems, and concerns about data privacy are slowing down wider adoption.In 2026, AI is one of the fastest-growing trends in South African agriculture.
While bigger commercial farms are moving ahead quickly, more support is needed to bring these tools within reach of smallholder farmers. Experts believe that AI, together with other new technologies, will play a very important role in helping South Africa grow more food using fewer resources in the years ahead.
