A news update on Monday from the U.S. Department of Agriculture’s (USDA) Farm Service Agency (FSA) stated that, “U.S. Secretary of Agriculture Sonny Perdue today announced details of actions the [USDA] will take to assist farmers in response to trade damage from unjustified retaliation by foreign nations. President Donald J. Trump directed Secretary Perdue to craft a short-term relief strategy to protect agricultural producers while the Administration works on free, fair, and reciprocal trade deals to open more markets in the long run to help American farmers compete globally. As announced last month, USDA will authorize up to $12 billion in programs, consistent with our World Trade Organization obligations.
“‘Early on, the President instructed me, as Secretary of Agriculture, to make sure our farmers did not bear the brunt of unfair retaliatory tariffs. After careful analysis by our team at USDA, we have formulated our strategy to mitigate the trade damages sustained by our farmers. Our farmers work hard, and are the most productive in the world, and we aim to protect them,’ said Secretary Perdue.”
The FSA update noted that, “[FSA] will administer the Market Facilitation Program (MFP) to provide payments to corn, cotton, dairy, hog, sorghum, soybean, and wheat producers starting September 4, 2018.”
“Interested producers can apply after harvest is 100 percent complete and they can report their total 2018 production,” the FSA update said, adding that: “Beginning September 4th of this year, MFP applications will be available online at www.farmers.gov/mfp. Producers will also be able to submit their MFP applications in person, by email, fax, or by mail.”
And an update yesterday at the farmdoc daily blog (“Market Facilitation Program: Impacts and Initial Analysis“) stated that, “In Illinois, average payments are estimated at $53 per acre for soybeans, $1 per acre for corn, and $5 per acre for wheat. MFP payments will significantly increase 2018 net farm incomes. Payment rates for corn are low relative to those for other crops.”
