South Dakota State officials demand from the USDA Secretary to ensure temporary economic aid to endangered agriculture producers.
U.S. crop and agriculture producers heartily support President Trump’s endeavor to establish a satisfactory trade agreement with China. They are conscious of the fact that the Chinese have been exploiting U.S. technology and modernization for a while. Now, they believe that such an agreement will enable them to establish their products on the foreign market. They certainly prefer open and unlimited access to the world market instead of temporary help or relief program from the U.S. government. But until such unrestricted access is attained, the agriculture producers are in need of Government relief. Namely, they have faced harsh weather conditions, such as severe winter and disastrous spring floods. All this affected and postponed the planting season. Their farms and income suffer as they keep running their agriculture business when prices and income are continuously decreasing. This, in turn, threatens the tenacity of their farms.
Being aware of troubles farmers and producers are suffering, U.S. Sens. John Thune and Mike Rounds and U.S. Rep. Dusty Johnson decided to send a letter to Sonny Perdue, the USDA Secretary. In the letter, they disclosed their support for the President’s endeavor. Then, they let the Secretary know what the producers have gone through and all the outcomes. What they require from the U.S. Government is to reconsider specific changes related to prosperous and impartial security net for the following MFP iteration.
Furthermore, they require a program that will deal with producers’ failures and deficits related to trade. They recall Undersecretary Northey’s comment addressing farmers not to plant for the market or trade assistance.
They suggested the secretary scrutinize assigning aid for 2019 crop year on the basis of the size of the landowner’s field and their planting success from the previous year. Thus, every payment yield would be determined on the basis of a greater typical yield for a particular country where the field is located. Also, Actual Production History (APH) information from the crop insurance may also be taken into account. What they deem is that crop acreage from the previous year may reflect future crop acreage. All this should help USDA to grant immediate relief to crop producers.
Considering the payment rate, the signees suggest that significant indirect consequences or effects that penal rates may have should be clarified. Namely, the entire agriculture market suffers from a decrease in prices. This, in turn, negatively affects all agriculture producers, as trade conflicts and tariffs cause additional costs.
The signees argue that the USDA should promptly address this issue, as the agrarian USA is in demand of immediate financial assistance.