In 1935, the United States had approximately 6.8 million farms. These farms varied in size and type but were overwhelmingly operated by families and individuals, not corporations. Agricultural activity was widely distributed across the country, with many farms producing multiple crops and livestock for both household and regional consumption. At that time, the average farm was around 155 acres.

Over the following decades, this number declined significantly. By 1970, the farm count had dropped to below 3 million. By 2022, it had declined further to just under 2 million, according to the USDA Census of Agriculture. While the number of farms fell, the average farm size increased, reaching over 440 acres by 2022. This was the result of a broader consolidation trend, where fewer operations controlled more land and production.

This shift was shaped by a combination of technological, economic, and policy developments. The adoption of mechanized equipment reduced the need for labor and allowed individual farms to manage larger acreages. At the same time, federal policies—particularly those enacted during and after the New Deal and later in the 1970s—shifted toward encouraging commodity production at scale. Programs such as crop insurance, price supports, and research funding increasingly favored larger, specialized operations.

In livestock agriculture, similar patterns emerged. Beginning in the mid-20th century, companies in the poultry, beef, and pork sectors developed vertically integrated models. These systems allowed firms to manage multiple stages of production, from genetics and feed supply to processing and distribution. Farmers entered into contracts with these integrators, often supplying land, facilities, and labor, while the companies retained ownership of the animals and control over inputs and pricing.

By the early 2000s, these integrated models had become dominant, especially in poultry. According to USDA data, the four largest broiler producers—Tyson Foods, Pilgrim’s Pride (JBS), Sanderson Farms, and Mountaire Farms—accounted for more than 50 percent of the U.S. broiler production. Integration allowed for consistent supply and lower per-unit costs but also reduced the number of independent operators participating in the market.

Processing facilities also consolidated. In 1977, there were over 1,500 federally inspected slaughter establishments for poultry. As of 2022, that number had declined, with most production running through a smaller number of high-capacity plants. These facilities serve broad geographic areas and are highly dependent on efficient transportation and uninterrupted supply chains.

The effects of this structural change are well documented. Farm income is now more concentrated among large operations. According to the USDA Economic Research Service, farms with over $1 million in annual sales represented around 4 percent of all farms in 2022 but generated over 66 percent of the total value of production. Smaller farms, while still numerous, now account for a much smaller share of national output.

In recent years, supply disruptions—such as those during the COVID-19 pandemic, avian influenza outbreaks, and isolated processing facility shutdowns—have illustrated how a streamlined, centralized system can be sensitive to disruption. These events have prompted renewed discussion among policymakers, researchers, and industry groups about the role of regional infrastructure, supply chain diversification, and the long-term viability of small and mid-sized operations.

Farkas Farms operates within this context. Our farm model reflects a historical trend toward consolidation, but also recognizes ongoing efforts to support regionally distributed production. Our focus is on local-scale poultry production with pasture-based systems. While the broader agricultural economy is shaped by structural and policy forces, we believe there is continued value in producing food close to where it is consumed, and in contributing to the broader understanding of how U.S. agriculture has evolved.