January 28, 2020

Farm Bill; Ag Economy; and Biofuels

Farm Bill Issues

Chris Clayton reported yesterday at the DTN Ag Policy Blog that, “Soybean and corn growers on Capitol Hill this are pleading with lawmakers to let the House and Senate Agriculture Committees make the cuts needed in USDA’s budget as part of the farm-bill process.”

However, yesterday’s update noted that, “Cuts in the appropriations process could take $2.6 billion out of USDA’s Fiscal Year 2012, and the long-term understanding is that agriculture could take $30 billion over 10 years in commodity cuts and $18 billion over 10 years in conservation — and potentially more in both categories. That’s apparently what’s been sitting on the table at the White House in these drama-filled talks over the deficit and debt ceiling.”

“Arizona Republican Jeff Flake has been on the hunt ever since he came to Washington. He issued a news release Tuesday announcing the ‘Reducing the Deficit through Eliminating Agriculture Direct Payment Subsidies Act,’ or REAPS Act, H.R. 2487, ‘which would eliminate agriculture direct payments subsidies completely and permanently,’ Flake stated.

“Going through the farm-bill process, the House and Senate Ag Committees might look to take a slice off direct payments, then shift the savings to crop insurance. Flake just wants to bag the whole program and hold up the pelt,” the DTN item said.