Tag: Secretary Perdue

  • USDA Opens 2020 Enrollment for Dairy Margin Coverage Program

    Dairy producers can now enroll in the Dairy Margin Coverage (DMC) for calendar year 2020. USDA’s Farm Service Agency (FSA) opened signup today for the program that helps producers manage economic risk brought on by milk price and feed cost disparities.

    “We know it’s tough out there for American farmers, including our dairy producers,” said Bill Northey, Under Secretary for Farm Production and Conservation. “As Secretary Perdue said, farmers are pretty good at managing through tough times, and we know that more dairy farmers will be able to survive with this 2018 Farm Bill and its risk mitigation measures, like the Dairy Margin Coverage program.”

    The DMC program offers reasonably priced protection to dairy producers when the difference between the all-milk price and the average feed cost (the margin) falls below a certain dollar amount selected by the producer. The deadline to enroll in DMC for 2020 is Dec. 13, 2019.

    Dairy farmers earned more than $300 million dollars from the program in 2019 so far. Producers are encouraged to take advantage of this very important risk management tool for 2020.

    All producers who want 2020 coverage, even those who took advantage of the 25 percent premium discount by locking in the coverage level for five years of margin protection coverage are required to visit the office during this signup period to pay the annual administrative fee.

    “Dairy producers should definitely consider coverage for 2020 as even the slightest drop in the margin can trigger payments,” said Northey. “Dairy producers should consider enrolling in DMC to guard against what has been, for several years, an extremely unforgiving market.”

    More Information

    The 2018 Farm Bill created DMC, improving on the previous safety net for dairy producers. DMC is one of many programs that FSA and other USDA agencies are implementing to support America’s farmers.

    For more information on enrolling in DMC and taking advantage of an online dairy decision tool that assists producers in selecting coverage for 2020, visit the DMC webpage.

    For additional questions and assistance, contact your local USDA service center. To locate your local FSA office, visit farmers.gov/service-locator.

  • Harder Leads Bipartisan Coalition to Protect Local Farmers from China Tariffs

    WASHINGTON – Representative Josh Harder (CA-10) is leading a bipartisan group of lawmakers from across the country in an effort to ensure that Central Valley specialty crop growers aren’t again left out of a critical aid program provided to farmers harmed by Chinese tariffs. Although the ongoing trade war has cost the California walnut industry over $600 million, walnut farmers were not covered by the last Market Facilitation Program (MFP). Rep. Harder led a letter with Congressman Jimmy Panetta (CA-10) and 14 other members of Congress who represent districts that rely on specialty crops directly to Agriculture Secretary Sonny Perdue asking that these crops, including walnuts, be included in the next trade mitigation package.

    “Our walnut growers can’t become collateral damage in this trade war – our local folks have already lost millions in revenue and were left out of the last round of funding,” said Rep. Harder. “Walnut producers don’t want to have to rely on bailouts, but if farmers of other crops are getting a hand, we want to make sure our farmers qualify as well. We need the USDA to work for Central Valley farmers – that means providing critical support to help blunt the impact of these tariffs.”

    “Although my specialty crop producers on the central coast of California want long term business and not short term bailouts, all farmers affected by China’s retaliatory tariffs should be included in the forthcoming USDA trade mitigation package,” said Rep. Panetta.

    “The Administration must bring this trade war to an end. California’s farmers and ranchers have been hit hard and USDA’s initial trade relief package did little to make them whole,” said Jim Costa, Chairman of the Livestock and Foreign Agriculture Subcommittee. “As Chairman of the Livestock and Foreign Agriculture Subcommittee, I urge Sec. Perdue to fully take the needs of California’s specialty crop growers, as well as dairy farmers, into account for this second attempt.”

    “Family farmers deserve to be served equally when caught in the middle of a trade war,” said Jamie Johansson, president of the California Farm Bureau Federation. “It’s vital that USDA works closely to ensure that producers of all impacted commodities are fairly represented in a relief package. We applaud this bipartisan effort to bring attention to the needs of California agriculture.”

    The last MFP program included many crops valuable to the Central Valley agriculture industry, but walnuts were not included. After the Chinese announced another round of retaliatory tariffs this week, the United States Department of Agriculture (USDA) elected to provide additional assistance to farmers who are hurt from the volatile trade market. The coalition of representatives has asked that the USDA include specialty crops, including walnuts specifically, in the expanded program.

    The text of the letter is below and an original copy is available here.

     

    Dear Secretary Perdue,

    Thank you for your leadership supporting our nation’s farmers and overseeing the U.S. Department of Agriculture (USDA). We appreciate the opportunity to work together to help our agriculture communities thrive. We understand that the USDA is actively working on another trade aid package to assist our farmers. We ask that as your office creates this trade mitigation package, it ensures that all specialty crops are included.

    Farmers are the bedrock of our rural economy, representing one of our nation’s top industries. They are navigating declining commodity prices and unstable trade markets all the while net farm income continues to fall. Our farmers deserve predictability in national trade policies, especially given the impact of trade deals on the agricultural economy. As these trade negotiations and tariff issues persist, it is important to ensure the needs of fruit, vegetable and tree nut producers are heard and reflected in these policies.

    As you know, the Market Facilitation Program (MFP) was created to help those who were directly impacted by foreign retaliatory tariffs and the loss of traditional export markets. MFP helped address the financial sting of tariffs for some farmers, but the reality is that many were consciously left out of this program, such as walnut and table grape growers. While we were pleased to see sweet cherries and almonds added to the MFP, there are many other specialty crops that have suffered from the ongoing trade disputes that deserve to be included in the next trade assistance package. As a result we request that specialty crop farmers receive direct assistance payments in a similar fashion to their program crop brethren.

    Additionally, we would like to express our support in expanding any export promotion program that may be a component in the trade package USDA is developing. Specialty crop growers throughout the country have spent decades developing these markets that are now at risk. As such they will need to rely heavily on export promotion and market retention efforts to stay competitive. Furthermore, with higher than average adjusted gross incomes, we anticipate not all our growers will be able to access a direct payment option, should one be made available to them. We therefore request all unused direct payment funds be reallocated towards the export promotion component of the trade assistance package (with that money maintained for the respective specialty crop).

    Thank you, Secretary Perdue, for your attention to this important issue. We look forward to working with you.

  • USDA Awards Agricultural Trade Promotion Program Funding

    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.

  • USDA, Dairy Industry In Partnership to Promote and Enhance Environmental Sustainability

    Hanford, Calif., (February 21, 2018) – U.S. Secretary of Agriculture Sonny Perdue has signed a Memorandum of Understanding (MOU) between the United States Department of Agriculture (USDA) and the Innovation Center for U.S. Dairy to jointly promote and enhance environmental sustainability in the dairy industry. The pact extends and builds upon a MOU originally signed in 2009.

    USDA Secretary Sonny Perdue (r) shakes hands with dairy farmer Paul Rovey after signing a Memorandum of Understanding between the United States Department of Agriculture and the Innovation Center for U.S. Dairy.

    Secretary Perdue signed the MOU yesterday with Arizona dairy farmer Paul Rovey, chairman of Dairy Management Inc. and an Innovation Center board member, at DeGroot Dairies in Hanford, CA.

    “USDA and the Innovation Center will continue to work together to accelerate the adoption of innovative technologies and increase energy efficiency improvements on U.S. dairy farms,” Secretary Perdue said. “These improvements will help producers diversify revenues and reduce utility expenses, while they strive to support their families and local communities by operating economically, environmentally sustainable dairy farms.”

    “USDA has resources that can help the dairy industry be successful but in many cases they are difficult to find because they are spread out through various agencies,” Secretary Perdue continued. “This MOU hopefully will be a potential navigator to the Innovation Center and give a ‘green light’ to interact with our agencies and centralize our various research and voluntary conservation efforts to reach their goals.”

    USDA’s support for agricultural and waste-to-energy research has played a key role in the agreement’s success to date. USDA will continue to work on enhancing the application and approval process for Natural Resource Conservation Service (NRCS) programs, to make the process more efficient and tailored for producer convenience. USDA will also continue to examine ways to expand the award of conservation grants for sustainability initiatives by producers, cooperatives, non-governmental organizations and state and local governments.

    The Innovation Center agrees to work with its member companies to partner with USDA in communicating and educating producers on the value of sustainable practices while encouraging them to take advantage of conservation program opportunities.

    “Over the years, we have pursued creative and common-sense ways to work together that have allowed us to develop research, technologies, and on-the-ground practices that move us closer to our collective goals,” said Barb O’Brien, president of the Innovation Center. “The Innovation Center is proud of the synergy that has resulted from our collaboration with USDA, and we have no question that this public/private partnership works in the best interest of farmers, our dairy community and, most importantly, consumers of dairy who trust us to produce nutritious products they can feel good about feeding to their families.”

    USDA’s national and locally-based teams of subject matter experts and portfolio of programs help improve the economic stability of rural communities, businesses, residents, farmers and ranchers, and the quality of life in rural America.

    “This MOU allows the dairy industry to continue to build on all of the good work we have done for years with USDA,” Rovey said. “It allows our industry to have a voice and work within a structure where we can continue making progress toward our shared goals and priorities. We are thankful to have USDA at the table with us.”

    Previous and current collaborations have resulted in research, resources and a variety of programs that have advanced sustainability within the dairy community, including anaerobic digesters on farms, food waste reduction and the development of nutrient recovery technologies through NRCS and dairy’s Newtrient company.  Additionally, the Farm Smart Project led to the Farmers Assuring Responsible Management (FARM) Environmental Stewardship module. This voluntary tool empowers farmers to identify opportunities for sustainability improvements on their farm as detailed within the FARM program. Ninety-eight percent of the U.S. milk supply participates in FARM.

    Note – CDFA’s Dairy Digester Research and Development Program is also working for enhanced environmental sustainability on dairies.

  • USDA Moves to Assure Producers Can Vote on FMMO This Year

    Modesto, Calif., (February 20, 2018) – Unlike milk production, excitement surrounding the California dairy industry’s efforts towards better producer prices is not in decline. Indeed, just a week ago, USDA announced an unexpected delay in the FMMO process that left producer groups very disappointed. The agency stated it would be delaying the final decision for a California FMMO until after the U.S. Supreme Court rules on the challenge to the use of Administrative Law Judges (ALJs) throughout the federal government agencies. In an effort to accelerate the process, WUD, along with MPC and CDC, submitted a letter to Secretary Perdue urging him to release the decision. The three California coops (CDI, DFA and LOL) who originally petitioned USDA also submitted a letter. At the Farm Show this morning, when questioned on the process, Secretary Perdue responded he could not provide additional information because of ex-parte rules. He however encouraged stakeholders to listen to a USDA call scheduled a few hours later, providing additional explanation on the delay of the California FMMO and which we should “be pleased with”. Rumors started flying through the Farm Show faster than Olympians on a luge.

    The conference call organized by USDA was hosted by Stephen Vaden from the Office of General Counsel at USDA. Citing many legal cases and opinions, he described USDA’s options in the process. The main risk and concern to USDA is that if the Supreme Court’s ruling made ALJ appointments unconstitutional, the California FMMO would likely be voided (or vacated in legal speak). With such an outcome, we would be looking at starting the process over and likely not seeing a final decision for another three years. Since USDA is not a fan of Russian roulette, they would rather take the safest route where all the work has no chance of reverting to square one. To ensure this, USDA will hire a judicial officer to review the whole record, all 40 days of it. And by reviewing the record, he will need to look at the whole thing word by word: the transcripts and the exhibits. If he so determines the record complete he will ra9fy it. If he does not, he would seek addi9onal feedback.

    Removing the potential of having to start from scratch certainly took away the biggest risk to the process, but the delay remains and the uncertainty of not seeing a final decision continues to hang over producers head. Despite the documentation-heavy record, USDA thinks this new road will delay the process by one month at best, or four at the most. Basically, if the new officer reaches an agreement with the decision as is, we could see implementation, pending the outcome of the producer referendum, by November 2018. If he does not, there must be a comment period for stakeholders and USDA anticipates this would push the implementation to February 2019. Yes, a year from now. We appreciate the secretary’s effort towards improving a tough situation but we are still disappointed in the delay this is causing.

    WUD’s president Frank Mendonsa is extremely disappointed in the delay of the final decision. Recalling the numerous heartfelt testimonies from producers at the 2015 hearing he added “milk prices in California are still as depressed today as they were over two years ago. While some tweaks have been made to the California formulas since then, there is hope in the producer community this could yield higher prices for California producers”.

    Stay tuned: we should see a decision or a period for comments in the next month or so!

    By Annie AcMoody, director of economic analysis