Cover Story

2025 Sod Producers’ Report Offers Key Insights into Industry Trends

Based on the 2025 Sod Producers’ Report for North Carolina by Grady L. Miller, PhD

This spring, North Carolina State University released its tenth annual Sod Producers’ Report, offering a decade-deep perspective on the supply, pricing, and operational outlook of North Carolina’s sod industry. With responses collected from nearly half of the state’s sod farms, the 2025 report captures a moment of cautious optimism amid ongoing workforce challenges and shifting market demands.

Conducted in April, the survey reflects the current state of sod inventory across warm- and cool-season grasses, price trends, workforce dynamics, and acreage plans for the year ahead. The data was gathered through an anonymous online survey completed by 20 sod producers representing a range of farm sizes from operations under 200 acres to those with more than 800.

The 2025 report captures a moment of cautious optimism amid workforce challenges and shifting market demands.

Inventory Outlook: Gains with Caveats

For most warm-season species, producers are projecting increased availability in 2025 compared to last year. Bermudagrass and zoysiagrass supplies are both expected to grow, yet roughly 38% and 36% of surveyed producers, respectively, still anticipate shortages. Centipedegrass and tall fescue are also facing tighter supply conditions, with nearly half of respondents predicting shortfalls in tall fescue and 17% citing expected centipedegrass shortages.

St. Augustinegrass saw a more favorable projection, with only 7% of producers anticipating limited availability. While these forecasts suggest improvement in some areas, the lingering anticipation of shortages reflects the delicate balance producers must maintain between weather impacts, labor constraints, and customer demand.

Price Pressures and Species-Specific Trends

The 2025 report also sheds light on pricing trends across turfgrass species. Producers reported price increases ranging from 5% to 13% for warm-season sod, signaling steady demand and possibly higher input costs. In contrast, cool-season grass pricing remained relatively flat, with tall fescue holding steady and a notable drop of up to 35% reported for Kentucky bluegrass.

However, it’s important to note that only one producer reported Kentucky bluegrass pricing this year, so this sharp decline may not represent statewide trends.

Producers reported price increases between 5% and 13% for warm-season turfgrass species in 2025.

Shifts in Sod Types and Certifications

Beyond supply and pricing, the 2025 survey indicates a notable shift in how sod is produced and certified across North Carolina. There was a 22% decline in the number of growers reporting the use of proprietary turfgrass varieties. Certified sod growers also decreased by 16%, suggesting that producers may be shifting toward more commonly available, non-certified grass types—potentially in response to customer demand or reduced labor capacity.

This change could have implications for quality assurance and brand differentiation, especially among producers serving high-specification clients such as sports turf managers and municipal contracts.

Production Acreage Holding Steady

Despite some workforce and economic challenges, North Carolina sod farms are not scaling back operations. In fact, production acreage is expected to increase in 2025 at a rate comparable to 2024.

This trend reflects producer confidence in long-term demand and an effort to meet evolving needs among landscape contractors, athletic field managers, and residential developers.

Workforce Contraction and Labor Shortages

While production acreage is on the rise, staffing levels tell a different story. The average number of both full-time and seasonal employees per sod producer declined by 43% in 2025, underscoring a growing labor shortage that continues to challenge the industry.

This drop in staffing may impact everything from harvesting schedules to delivery timelines, and it raises questions about long-term sustainability unless labor recruitment or mechanization efforts increase in pace.

The average number of full-time and seasonal employees per producer decreased by 43% in 2025.

Sod Sales Trends: A Mixed Picture

Average sod sales dropped by 5% compared to 2023, a decline that reflects overall market softening. However, not all producers experienced setbacks. A majority—55%—reported increased sales in 2024, suggesting a degree of variability in how different farms are faring across the state.

Landscape contractors remained the largest customer segment, accounting for nearly 72% of all sod sales. This continued dominance underscores the strong link between residential and commercial landscape demand and overall sod production viability in North Carolina.

Survey Snapshot

This year’s survey captured responses from 20 producers spanning a wide range of operation sizes:

• Eleven respondents managed farms with less than 200 acres

• Six represented farms between 201 and 500 acres

• Two operated between 501 and 800 acres

• One respondent reported over 800 acres in production

According to the North Carolina Sod Producers Association (NCSPA), these 20 respondents represent approximately 50% of all sod farms in the state. Importantly, based on farm sizes, the survey sample reflects a significant portion of the total sod production acreage statewide.

Looking Ahead

As the sod industry navigates ongoing labor shortages and fluctuating demand, the 2025 Sod Producers’ Report offers valuable insights for growers, contractors, and end-users alike. With warm-season supplies trending upward, pricing changes in play, and labor challenges remaining top of mind, producers are adapting their strategies to sustain and grow in a competitive market.

For those seeking to stay informed and responsive to industry trends, the annual report continues to be a vital resource.

This year’s report provides a grounded snapshot of North Carolina sod production—its challenges, resilience, and potential.