At the American Farm Bureau Federation annual convention, Agriculture Secretary Tom Vilsack announced several major developments at the USDA to benefit producers across the nation.
“At USDA, our goal is to provide all farmers, including new and underserved producers, with the opportunity to receive the assistance they need to continue farming, to build and maintain their competitive-edge, and to access more, new, and better markets,” says Vilsack. “Working together we can ensure American agriculture is as resilient as ever and will do so by implementing a holistic approach to emergency assistance, by lowering input costs through investments in domestic fertilizer production, and by promoting competition in agricultural markets.”
Secretary Vilsack announced that USDA continues to make progress in the following areas by:
Assisting producers facing high input costs to access domestic, innovative fertilizer capacity.
Improving risk protection for underserved producers.
Investing in new choices and meat processing capacity for livestock producers.
Providing relief for producers impacted by disaster and the pandemic.
USDA Moving Forward with Fertilizer Production Expansion Program
USDA will soon begin accepting public comments on environmental and related aspects of 21 potentially viable projects to increase fertilizer production across the U.S. totaling up to $88 million. These applicants have requested grant funding through the first round of the department’s newly established Fertilizer Production Expansion Program.
USDA is considering fertilizer production projects in Alabama, Arizona, Colorado, Florida, Iowa,
Louisiana, Massachusetts, Minnesota, Missouri, Montana, Ohio, Oregon, Texas, Washington and Wisconsin.
The 30-day public comment period will close Feb. 8. Additional information is available at www.rd.usda.gov/fpep-environmental-review-comments.
Improving Risk Protection for Beginning, Veteran, Limited Resource and Minority Producers
The Noninsured Crop Disaster Assistance Program provides financial assistance to producers of non-insurable crops when low yields, loss of inventory or prevented planting occur due to natural disasters. There is a Congressionally mandated fee waiver for basic coverage for underserved producers. However, a previous set of procedures and regulations created a paperwork burden that stood in the way of many producers taking advantage of the basic coverage option.
The recent rule removes barriers and establishes procedures through which an underserved producer with a CCC-860, Socially Disadvantaged, Limited Resource, Beginning and Veteran Farmer or Rancher Certification, on file prior to the applicable NAP application closing date will automatically receive basic coverage for any NAP-eligible crops they plant. Underserved producers on file for 2022 will also receive retroactive basic coverage. Like all other covered producers, underserved producers will still need to file a notice of loss and apply for benefits.
In addition to the basic catastrophic level coverage under NAP, producers can buy-up higher levels of coverage by paying a premium. Underserved producers receive a 50 percent discount on any premiums. Producers who are interested in obtaining NAP coverage for 2023 should also contact their local FSA county office for information on eligibility, coverage options and applying for coverage. FSA also plans to target outreach to previous producers of NAP-eligible crops to ensure these producers are aware of their options.
USDA Making More Investments in Meat and Poultry Processing
USDA is investing more than $12 million to expand independent meat and poultry processing capacity in Ohio, Michigan and Minnesota.
In Ohio, International Food Solutions Inc. is getting nearly $9.6 million to help redevelop and expand a
vacant building in Cleveland into a plant with the capacity to process 60 million pounds of poultry.
In Michigan, grower-owned cooperative Michigan Turkey Producers is getting more than $1.5 million to help expand its plant in Grand Rapids.
In Minnesota, Benson + Turner Foods Inc. is getting $962,954 to build a 6,788-square-foot cattle and
hog processing plant on the White Earth Indian Reservation and storefront near Waubun.
New Programs to fill gaps in 2020/2021 Natural Disaster Assistance (Emergency Relief Program (ERP)
Phase 2) and 2020 Pandemic Assistance (Pandemic Assistance Revenue Program (PARP).
To be eligible for ERP Phase Two, producers must have suffered a decrease in allowable gross revenue in 2020 or 2021 due to necessary expenses related to losses of eligible crops from a qualifying natural disaster event. Assistance will be primarily to producers of crops that were not covered by Federal Crop
Insurance or NAP, since crops covered by Federal Crop Insurance and NAP were included in the assistance under ERP Phase One.
To be eligible for PARP, an agricultural producer must have been in the business of farming during at least part of the 2020 calendar year and had a 15 percent or greater decrease in allowable gross revenue for the 2020 calendar year, as compared to a baseline year.
The ERP Phase 2 and PARP application period is open from Jan. 23 through June 2. For more information, producers should contact their local USDA service center.
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