$12 billion in bridge payments will provide some relief for America’s farmers. But, in commentary by American Farm Bureau Federation President Zippy Duvall, for specialty crop farmers, the assistance will have minimal impact.
“The 12-billion dollars in bridge payments for farmers that USDA announced last month was welcomed news in rural America. Eleven billion dollars will begin to help row crop farmers. The remaining one billion dollars is set aside for specialty and sugar crops, which won’t be near enough to address years of down markets.
“Specialty crops such as tree nuts, fruits, and vegetables have each lost hundreds of millions and even billions of dollars. And without clear eligibility criteria, the reach and impact of the one billion dollars remains uncertain.
“To address the challenges facing farmers, particularly specialty crop producers, we need additional economic assistance from Congress and long-term fixes like increased access to international markets and more affordable and reliable labor.”
These are among the topics being discussed in Anaheim, California during the AFBF Convention, where speakers include Ag Secretary Brooke Rollins and former football player Tim Tebow.
It’s not what Duvall wants to hear, but Iowa Senator Chuck Grassley has doubts about the administration’s support for more farm aid. Grassley was asked about USDA Undersecretary Richard Fordyce’s recent comment to Reuters that his agency is not considering more than the $12 billion in farm aid just announced.
“Sometimes I get the impression that the administration thinks that we don’t need more help,” he said. “I think that the people advising the president on farm policy aren’t advising very well.”
Both Ag Chairs have said more farm aid will likely be needed. The House’s GT Thompson suggested another $10 billion.
Grassley says the real answer will be to pass permanent year-round E15 legislation as part of another bill.
“But E15, I’m told, would take care of about 14 billion dollars of farmer income. So, see how important the marketplace would fill in for the corn producer, as opposed to getting a check from the federal government.”
Grassley says if corn got above five dollars, that would be a big help to farmers. On the flip side, he warns that improved reference prices from last summer’s tax bill would still leave soybean growers a dollar or more short of a break-even price.
Source: NAFB News Service
