Photo by Land O’Lakes, Inc for Unsplash
Family farms are the backbone of American agriculture, comprising 97% of U.S. farms and ranches and operating 91% of farmland. A recent report from the U.S. Department of Agriculture’s Economic Research Service (USDA ERS) shows that, although the majority of these family farms are small, larger family farms generate the greatest share of production value.
According to USDA ERS, small family farms, defined as those with gross cash farm income of less than $350,000, make up 86% of all U.S. farms. However, despite their prevalence, they operate only 40% of agricultural land and contribute just 17% of the nation’s total production value.
In contrast, large-scale family farms, those earning $1 million or more in gross cash farm income, account for only 5% of all farms, yet generate 50% of total production value and operate a third of agricultural acres.
There are also key differences in production value, with large-scale family farms dominating many commodities. For example, in 2024, these farms accounted for the majority of production value in dairy (73%), specialty crops (58%), beef (52%), cotton (52%) and cash grains and soybeans (51%).
Small family farms, conversely, dominate in hay, poultry and egg production. In 2024, they accounted for 51% of the value of hay production and 35% of the value of poultry and egg production.
“Large or small, family farms play a vital role in American agriculture. This strong family connection is one reason why sustainability is such a priority. These farms protect the land not only for their own livelihoods but also for future generations. For them, farming is deeply personal,” says Abby Rinne, sustainability director at the U.S. Soybean Export Council (USSEC) and a member of the USSA Management Council.