The Trump administration will send billions of dollars in cash to farmers and ranchers to offset low prices caused by the coronavirus pandemic, and it will buy goods to assure there are no gaps in the food supply, said Agriculture Secretary Sonny Perdue on Thursday night. (No paywall)
Congress is on the verge of retroactive restoration of the $1-a-gallon biodiesel tax credit, a result of the last-minute inclusion of a package of tax breaks in a mammoth government funding bill. The House passed the bill on Tuesday, and the Senate is expected to approve it by the end of the week.
Farmers are in line for a “top-up” payment of up to 15 percent if they received a prevented-planting indemnity from crop insurers this year due to flooding or excessive rainfall, said the USDA on Thursday.
Floods and crop-delaying rains in the Midwest generated a lot of attention, but the hurricane-hit U.S. Southeast will see the bulk of the $3 billion allocated by Congress for agricultural disaster relief, said Agriculture Undersecretary Bill Northey on Thursday.
Some growers may collect three or even four payments on land where they were unable to plant a crop this spring due to persistent rain and flooding, but no one is going to get rich off of it, said Agriculture Secretary Sonny Perdue on Wednesday.
The farm safety net offers many strands of support to farmers swamped by a historically slow planting season, but the strands pull in different directions, says associate professor Bradley Lubben, of the University of Nebraska. "The complexity for producer decision-making is compounded," he said, when potential Trump tariff payments and disaster aid are woven into traditional crop subsidies and crop insurance.
House Majority Leader Steny Hoyer says “we will take action” as early as this week to pass a $19.1 billion disaster relief bill that allots $3 billion for agriculture, including compensation for farmers prevented from planting crops due to floods and rain this spring. A Texas Republican …
On Thursday, with President Trump giving his support, the Senate passed a $19.1-billion disaster bill that includes $3 billion for farmers hit by flooding and severe wet weather this spring along with aid to producers pounded last year by hurricanes in the South, wildfires in the West, and volcanoes in Hawaii.
When Congress passes disaster bills, the government commonly compensates growers for loss of crops and livestock with the proviso they buy crop insurance in the future so they are protected against catastrophic damage. Companion bills filed by Democrats in the House and Senate would go a step farther by giving farmers the money to pay for the policies — a "terrible" expansion of the federally subsidized program, says a small-farm advocate.