NFU: MFP Help Appreciated, But More Needs To Be Done

On Thursday, the USDA released the finalized details about the Market Facilitation Program payments to farmers impacted by the ongoing trade war with China.  The agency has earmarked up to $16 billion for the program.

Roger Johnson, President of the National Farmers Union said the challenges for the farm economy started well before this trade war, with many family farmers and ranchers struggling to make ends meet.

“Chronic oversupply and slumping commodity prices have beleaguered the agricultural economy for six consecutive years, putting most operations in the red. But the unstable markets and rapidly fluctuating prices caused by this administration’s trade policies have made matters even worse.”

Johnson said the USDA took so long to get MFP details out that many Midwest farmers had no idea what to plant this spring.  Johnson said NFU appreciates the USDA’s ongoing efforts to support family farmers during this difficult time, but he says there are some concerns when it comes disparities in payments, and a lack of a plan to incentivize production reduction.

“This assistance is desperately needed, but the ad-hoc rollout and convoluted structure of these programs has caused significant confusion among producers. Until more predictable, longer-term solutions are made available, that sense of confusion and insecurity will likely persist."

Johnson noted in the future, NFU would like to see the administration to work more closely with Congress to build on the existing safety net and provide certainty and stability in farm country.

Eligible producers can submit applications for the first tranche beginning next Monday, July 29, through December 6, 2019, and payments will be sent out starting in mid- to late August.

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