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Texas Farms and Ranches: Agriculture History, How Farms Make Money and Strategy

Guide updated November 2026

Texas farms and ranches are the largest livestock engine in the country. The 2022 USDA Census of Agriculture counted 230,662 farms on 125,471,325 acres, with an average size of 544 acres and about $32.2 billion in agricultural products sold. About 77 percent of that value came from livestock, led by cattle, with 12,543,300 head on 131,815 farms.

Texas agriculture at a glance
Farms and land in farms230,662 farms on 125,471,325 acres (2022 Census of Agriculture)
Top commoditiesCattle and calves, cotton, hay, grain and other crops; livestock is about 77 percent of sales
Market value of ag products soldAbout $32.2 billion in 2022, up from about $24.9 billion in 2017
State agriculture departmentTexas Department of Agriculture, established 1907, Austin
Land-grant extensionTexas A&M AgriLife Extension Service
Farm BureauTexas Farm Bureau

Agriculture in Texas: A Short History

Texas agriculture grew up around open range cattle, and the state still rewards operators who can manage large acreage with limited labor. Historic ranches such as King Ranch, founded in 1853, Four Sixes, founded in 1870, and Waggoner Ranch, which dates its start to 1849, built their names on cattle drives, breed development and land accumulation. Those same operations still shape how ranching is done in the state.

The Texas Legislature established the Texas Department of Agriculture in 1907, and its commissioner is elected statewide. The Texas Family Land Heritage program, run by the department, recognizes farms and ranches held by one family for 100 years or more. Later chapters of Texas farm history involve irrigation on the High Plains, which depended heavily on the Ogallala Aquifer after the 1950s drought, and a long shift toward fewer, larger operations.

How Farms in Texas Make Money

Commodity sales

Livestock dominates. In the 2022 Census, livestock, poultry and their products brought in about $24.9 billion and crops about $7.2 billion, of $32.2 billion total. The cattle herd is steady at about 12.5 million head, but the number of farms with cattle fell from 152,882 in 2017 to 131,815 in 2022, which means the same herd is concentrating in fewer hands.

Value-added and direct sales

Most Texas calves and crops move through commodity channels, but ranches and growers increasingly add value through registered seedstock, horses, branded or direct beef and processed products. The GO TEXAN program of the Texas Department of Agriculture exists to promote Texas products, and operations such as King Ranch show how a breed, a brand and licensing can all earn from the same herd.

Agritourism, leases and diversification

Hunting leases, oil and gas leases, recreation and tours are real income lines for Texas land. Wexford Ranches, the 2026 Texas Leopold Conservation Award recipient, reports income from beef cattle, oil and gas production, hunting leases and rent from cotton fields. Waggoner Ranch lists oil, farming, recreation and real estate beside its cattle.

Agriculture Strategy for Texas Farms

Soils, water and climate

Texas spans humid East Texas, Blackland Prairie, the Rio Grande brush country and the dry High Plains, so strategy starts with the ecoregion. On the High Plains, irrigated agriculture depends on the Ogallala Aquifer, which underlies 111.8 million acres in eight states and supplies water for more than 40 percent of U.S. feedlot beef cattle. More than 95 percent of the water pumped from it goes to irrigation. Cotton acres show how water and prices interact: all cotton fell from 5,778,244 acres in 2017 to 2,337,631 in 2022.

Production and risk

Drought and wildfire are the recurring risks. FSA is currently taking Emergency Conservation Program signups for wildfire damage in several counties and for storm and flood damage in others, with deadlines in November 2026. Moderate stocking is a proven defense: Four Sixes Ranch reports about 30 acres per cow/calf pair to help the herd survive drought. Pair that discipline with crop insurance, livestock risk programs and conservation cost-share through NRCS.

Technology and inputs

Water infrastructure, remote monitoring and brush management pay off across large ranches. San Pedro Ranch, the 2021 Texas Leopold winner, has compiled 90 years of rainfall data and uses regenerative grazing, prescribed burns and brush management on 23,000 acres. MT7 Ranch, the 2024 winner, uses prescribed burning with rotational grazing and manages feral pigs on more than 19,300 acres. Use extension and Texas Department of Agriculture prescribed burn resources to plan inputs, and invest first in water and fence.

Farm Business Strategy in Texas

Margins and markets

Cattle feeding is concentrated on the High Plains, close to the Ogallala-irrigated feed base. Margins are set by calf prices, feed and land costs, so competitive operators control cost per cow, retain ownership or sell genetics when possible. The Census shows average market value of products sold per farm rose from $100,332 to $139,453 between 2017 and 2022, a sign of both inflation and consolidation, so benchmark your costs against peers each year.

Land, credit and succession

Land is the biggest line on most Texas balance sheets. The Farm Service Agency's Texas state office is in College Station and handles loan applications through its online portal and local county offices. Farm Credit lenders, commercial banks and FSA all serve different borrower stages. Succession needs an early written plan: the Texas Family Land Heritage program shows that multi-generation holdings are common, and conservation easements such as the one on San Pedro Ranch can help families keep land intact.

Marketing and diversification

Document every income line you have. A hunting lease, a registered herd, custom hay or an equipment business can each stand on its own page and attract buyers. Elite Texas ranches present horse programs, tours and leases as separate offerings, and smaller operations can copy that by naming and pricing them clearly.

Farm Insight: Texas Trends to Watch

Watch three trends. Farm numbers are falling, with 230,662 farms in 2022 against 248,416 in 2017, while average farm size rose from 511 to 544 acres. Cotton acreage swings sharply with water and prices. Conservation recognition is also rising: the Texas Leopold Conservation Award has recently gone to San Pedro Ranch, Brown Ranch, MT7 Ranch and Wexford Ranches, each with documented habitat and grazing work.

For decisions in the next year, check enrollment dates. FSA lists December 11, 2026 for 2026 ARC and PLC election and enrollment, and December 18, 2026 for Dairy Margin Coverage. Review those with your county FSA office, and use USDA QuickStats to compare your county's numbers before negotiating leases or loans.

Texas is the one state where farm humor can fairly claim that everything is bigger, including the pasture count and the number of gates to close behind you. For ranch humor, farm jokes and affectionate farm satire written about exactly this kind of country, take a look at farm.FM. It has plenty to say about drought, cattle prices and the pickup truck as an office.

If the name is new to you, farm.FM is the nation's first satirical farm site, with Tractor Tunes country music for farmers on the side. One of its regular writers keeps a whole archive of stories like that.

Elite Farms and Ranches in Texas

These 22 operations are profiled in full, with history, how each makes money, lessons for other farms and published contact details.

Elite operations in Texas

Notable working farms and ranches in Texas

Established, successful commercial operations that are not national headline names but show how good farms in Texas actually earn a living.

Who to Contact in Texas: Agriculture Offices and Associations

Texas Farming FAQ

How many farms are in Texas?

The 2022 Census of Agriculture counted 230,662 farms on 125,471,325 acres, with an average size of 544 acres.

What is Texas's biggest farm sector?

Livestock, mainly cattle. About 77 percent of the $32.2 billion in 2022 sales came from livestock, and the state had 12,543,300 cattle and calves.

Where do Texas farmers apply for USDA loans?

Through the Farm Service Agency. The state office is at 2405 Texas Ave. South, College Station, with local county offices handling applications.

Which elite operations are profiled here?

Twelve, including King Ranch, Waggoner Ranch, Four Sixes Ranch, Pitchfork Ranch, Cactus Feeders, Briscoe Ranches, Wexford Ranches, Kokernot O6 Ranch, San Pedro Ranch, MT7 Ranch, G and S Groves and Plains Cotton Cooperative Association.

Texas farms range from huge historic ranches to High Plains irrigators and conservation-minded family operations, and the numbers above show a state that is consolidating and diversifying at the same time. Use the profiled operations below as working examples, and keep checking the Census, FSA and the Texas Department of Agriculture for the programs that fit your acres.

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