Last week, Farm Credit Administration Chairman and CEO Dallas Tonsager House Agriculture Committee members at a hearing the farm credit system is working well. However, he says there is great concern about the deteriorating farm economy.

He says commodity prices have been dropping, while input costs have stayed relatively high and that’s pressuring margins.

Tonsager says some producers are restructuring their debt to get cash to operate but that’s not a good idea long term.

Tonsager says he’s encouraging the Farm Credit Administration and other lenders everything they can to help struggling borrowers and particularly beginning and small producers.