In the News

The update features unique insights into economic drivers impacting agriculture and forestry in the West.

This month’s report includes a Spotlight on foreign land ownership in the western U.S., and data and trends presenting select economic indicators. Additional releases this month include a Drought and Water Update, as well as a Land Value Snapshot.

Major commodity insights

AgWest’s outlook for major commodities is summarized below. Visit AgWest’s Industry Insights for an expanded analysis of each industry, monthly economic headlines, relevant data and trends, and additional special reports. Or download a PDF of the complete report here.

Almonds and pistachios

USDA’s official estimate for the 2025 almond crop came in at 3 billion pounds, a 10% increase from 2024 production levels. Prices fell sharply in response. The 2025 pistachio crop is progressing well, with many estimating that it will come in between 1.5 and 1.6 billion pounds. This level is on par with the 2023 crop, and anywhere from 35-45% larger than the 2024 crop.

Apples

The Washington State Tree Fruit Association forecasts the 2025 apple crop at 142 million boxes, a 10% increase from last season and well above the ten-year average. Cherry prices are down on excess supply.

Cattle

Tight cattle supplies are driving record-high prices across the West. Carcass weights have also shifted higher between July 2023 and July 2025.

Dairy

Dairy producer margins improved in June, with milk margins over feed costs rising to $11.10 per cwt, up $0.70 from May. This improvement was driven by lower feed costs, thanks to favorable weather providing ample feed supplies.

Forest products

Lumber prices held flat in July. Log prices softened across the West in June as improved weather led to greater market supply and building of mill log inventories.

Hay

Western hay prices, overall, are mostly stable but not at levels that support improved profitability. Tariffs and weaker global demand have driven a month-over-month decline in U.S. hay exports.

Lemons and oranges

Navel prices finished the season about where they started, a stark improvement from last season. Valencia harvest is underway and prices are holding steady. Demand should pick up with school coming back in session. Lemon harvest is underway in the coastal region of California. Prices increased in the second half of July, though returns to growers remain limited.

Potatoes

The 2025 potato crop is gearing up for strong yields, due to timely planting and favorable weather throughout the season. Despite significant reductions in contracted acreage, including a 15,000-acre decrease in Washington, harvest in the Pacific Northwest is expected to match 2024 production.

Wheat

Hot, dry weather in the Northwest is accelerating the wheat harvest, while producers still grapple with challenging market prices. However, some financial relief is on the way through new disaster program payments and updated insurance policies.

Wine and wine grapes

Wine grape crops are progressing across the West, with average to above-average cluster counts and sizes. Bunch thinning, vineyard removals and/or minimally managed acres should help to better align supply with demand. Wine sales continue to come in below last season, with off-premise sales down 5% year over year, on-premise sales down 3% and Direct-to-Consumer (DtC) sales down 1%.