What kinds of damage/losses did California pistachio growers incur this year? How was Navel Orangeworm, the industry’s most formidable pest? How about the international trade war? Can pistachios growers still get trade mitigation funding? Watch this brief video with American Pistachio Growers’ Executive Director Richard Matoian and read more about in Pacific Nut Producer Magazine.
Please thank our sponsor Duarte Nursery for their industry support and see them at their booth at the California Almond Conference in Sacramento, December 10-12.
USDA extended the deadline to May 17 from May 1 for agricultural producers to certify 2018 crop production for payments through the Market Facilitation Program (MFP), which helps producers who have been significantly affected by foreign tariffs, resulting in the loss of traditional exports. USDA’s Farm Service Agency (FSA) extended the deadline because heavy rainfall and snowfall have delayed harvests in many parts of the country, preventing producers from certifying harvested production.
Payments will be issued only if eligible producers certify before the updated May 17 deadline.
The MFP provides payments to producers of corn, cotton, sorghum, soybeans, wheat, dairy, hogs, fresh sweet cherries and shelled almonds. FSA will issue payments based on the producer’s certified total production of the MFP commodity multiplied by the MFP rate for that specific commodity.
“Trade issues, coupled with low commodity prices and recovery from natural disasters, have definitely impacted the bottom line for many agricultural producers,” said FSA Administrator Richard Fordyce. “The MFP payments provide short-term relief from retaliatory tariffs to supplement the traditional farm safety net, helping agricultural producers through these difficult times. Weather conditions this fall, winter and early spring have blocked many producers from completing harvest of their crops, and we want to make sure producers who want to finalize their MFP application have an opportunity.”
U.S. Secretary of Agriculture Sonny Perdue launched the trade mitigation program to assist farmers suffering from damage because of unjustified trade retaliation by foreign nations. FSA implemented MFP in September 2018 as a relief strategy to protect agricultural producers while the Administration works on free, fair and reciprocal trade deals to open more markets to help American farmers compete globally. To date, more than $8.3 billion has been paid to nearly 600,000 applicants.
The MFP is established under the statutory authority of the Commodity Credit Corporation Charter Act and is administered by FSA.
Almond Industry Receives $6,900,690 in Funding Allocations
U.S. Secretary of Agriculture Sonny Perdue announced today that the U.S. Department of Agriculture (USDA) has awarded $200 million to 57 organizations through the Agricultural Trade Promotion Program (ATP) to help U.S. farmers and ranchers identify and access new export markets. The ATP is one of three USDA programs created to mitigate the effects of unjustified trade retaliation against U.S. farmers and exporters. USDA’s Foreign Agricultural Service (FAS) accepted ATP applications between September 4 and November 2 – totaling nearly $600 million – from U.S. trade associations, cooperatives, and other industry-affiliated organizations. The Almond Board of California will receive $3,185,690 and Blue Diamond will receive $3,715,000.
President Donald J. Trump authorized up to $12 billion in programs to provide assistance to U.S. agriculture through a trade mitigation package announced by Secretary Perdue on September 4, 2018. In addition to the $200 million allocated to the ATP, the package also included the Market Facilitation Program to provide payments to farmers harmed by retaliatory tariffs, and a food purchase and distribution program to assist producers of targeted commodities.
“At USDA, we are always looking to expand existing markets or open new ones, so we are proud to make good on the third leg of the President’s promise to America’s farmers,” said Secretary Perdue. “This infusion will help us develop other markets and move us away from being dependent on one large customer for our agricultural products. This is seed money, leveraged by hundreds of millions of dollars from the private sector, that will help to increase our agricultural exports.”
All sectors of U.S. agriculture, including fish and forest product producers, were eligible to apply for cost-share assistance under the ATP. FAS evaluated applications according to criteria that included the potential for export growth in the target market, direct injury from the imposed retaliatory tariffs, and the likelihood that the proposed project or activity will have a near-term impact on agricultural exports.
“We were pleased to see the large demand for participation in the program, and truly got some out-of-the-box ideas that we are hopeful will expand our global footprint,” Perdue said. “We examined all applications carefully, considered our ranking criteria, and awarded the funds in order to make the best use of taxpayer dollars in growing agricultural trade.”
The Almond Alliance of California plans to continue to advocate for the $63.3 M in retaliatory trade damages assigned to the almond industry by USDA. We will keep you updated on our advocacy efforts and how you can be supportive.
U.S. Secretary of Agriculture Sonny Perdue today announced that many Farm Service Agency (FSA) offices will reopen temporarily in the coming days to perform certain limited services for farmers and ranchers. The U.S. Department of Agriculture (USDA) has recalled about 2,500 FSA employees to open offices on Thursday, January 17 and Friday, January 18, in addition to Tuesday, January 22, during normal business hours. The offices will be closed for the federal Dr. Martin Luther King, Jr. holiday on Monday, January 21.
In almost half of FSA locations, FSA staff will be available to assist agricultural producers with existing farm loans and to ensure the agency provides 1099 tax documents to borrowers by the Internal Revenue Service’s deadline.
“Until Congress sends President Trump an appropriations bill in the form that he will sign, we are doing our best to minimize the impact of the partial federal funding lapse on America’s agricultural producers,” Perdue said. “We are bringing back part of our FSA team to help producers with existing farm loans. Meanwhile, we continue to examine our legal authorities to ensure we are providing services to our customers to the greatest extent possible during the shutdown.”
Staff members will be available at certain FSA offices to help producers with specific services, including:
Processing payments made on or before December 31, 2018.
Continuing expiring financing statements.
Opening mail to identify priority items.
Additionally, as an intermittent incidental duty, staff may release proceeds from the sale of loan security by signing checks jointly payable to FSA that are brought to the county office by producers.
Information on the locations of FSA offices to be open during this three-day window will be posted:
While staff are available in person during this three-day window, most available services can be handled over the phone. Producers can begin contacting staff on January 17 here.
Additionally, farmers who have loan deadlines during the lapse in funding do not need to make payments until the government shutdown ends.
Other FSA Programs & Services
Reopened FSA offices will only be able to provide the specifically identified services while open during this limited time. Services that will not be available include, but are not limited to:
New direct or facility loans.
New Farm loan guarantees.
New marketing assistance loans.
New applications for Market Facilitation Program (MFP).
Certification of 2018 production for MFP payments.
Dairy Margin Protection Program.
Disaster assistance programs, such as:
Livestock Indemnity Program.
Emergency Conservation Program.
Wildfires and Hurricanes Indemnity Program.
Livestock Forage Disaster Program.
Emergency Assistance for Livestock, Honeybees and Farm-Raised Fish.
While January 15, 2019 had been the original deadline for producers to apply for MFP, farmers have been unable to apply since December 28, 2018, when FSA offices closed because of the lapse in federal funding. Secretary Perdue has extended the MFP application deadline for a period of time equal to the number of business days FSA offices end up being closed, once the government shutdown ends. These announced days of limited staff availability during the shutdown will not constitute days open in calculating the extension. Producers who already applied for MFP and certified their 2018 production by December 28, 2018 should have already received their payments.
The Almond Alliance of California appreciates the efforts by the U.S. Department of Agriculture to establish the procedures required to provide direct payments to almond growers to help offset some of the damage being incurred due to the retaliatory tariffs imposed by China and Turkey. As announced today by Secretary of Agriculture Sonny Perdue, growers of California almonds are now eligible to apply for direct payments of $.03 per pound as part of the $12 billion mitigation package announced earlier this month. The damage assessment figure assigned to almonds is $63.3 million.
The announcement is a result of the industry coming together and advocating through the Almond Alliance of California (AAC). Elaine Trevino, President/CEO of AAC said “Industry members should be proud that through a unified effort they were able to have their voices heard and be acknowledged for their contribution to the national economy, along with the significant role they play in the international market place.”
The almond industry has been significantly impacted by retaliatory tariffs and the inclusion of the commodity in the USDA trade mitigation package is a result of a vocal industry and the support and hard work of California’s congressional delegation. Trevino noted, “The direct payment program reflects the hard work of Majority Leader Kevin McCarthy and Chairman Jeff Denham who led the congressional effort including Congressmen Costa, Valadao, Nunes, LaMalfa, Pannetta and Senators Harris and Feinstein. Their combined efforts and leadership helped ensure that the California almond industry received direct payments within the specific program guidelines. We are thankful that our congressional delegation worked hard for our industry and acknowledged the importance of almonds to the California and U.S. economy.”
Producers of almonds can sign up for the Market Facilitation Program (MFP), which is a direct payment program for eligible almond growers who have been directly impacted by retaliatory tariffs, resulting in significant export losses. The MFP is established under the statutory authority of the Commodity Credit Corporation (CCC) Charter Act and is under the administration of the U.S. Department of Agriculture (USDA) Farm Service Agency (FSA). There are specific eligibility requirements that must be met by an applicant and the maximum payment per applicant is $125,000. Eligible almond growers may apply for MFP September 24, 2018 through January 15, 2019.
Almonds are one of California’s top three valued commodities and the leading agricultural export. The California almond industry exports 67% of what it produces. With exports of nearly $4.5 billion in 2017, the California almond industry contributes significantly to the longstanding trade surplus generated by American agriculture. While the mitigation initiatives are helpful, they will not begin to approach the anticipated economic losses and long-term impact these retaliatory tariffs will have on the industry’s trade relationships and the considerable investments made over the years to create market demand in China and Turkey. Trevino pointed out, “We remain hopeful for a quick resolution to the broader trade disputes with these trading partners to ensure open and fair trade so consumers around the globe can continue to enjoy California almonds.”
For more Information:
For more information about the MFP program, visit www.farmers.gov/MFP or contact your local FSA office. To find your local FSA office, visit www.farmers.gov.
About the Almond Alliance of California
The Almond Alliance of California (AAC) is a trusted non-profit organization with a mission of advocating on behalf of the Almond industry in California. AAC actively advocates for the positions of almond growers, hullers, shellers, handers and processors, while educating the industry about upcoming and existing regulatory changes. Through workshops, newsletters, conferences and meetings, AAC serves as a clearing house of information that informs the almond industry and continues to position the industry as an agricultural leader in the state.