WASHINGTON — As the 2024 time clock quickly dissolves, negotiations to include economic assistance for agriculture producers in Congress’ year-end spending package also appear to be on meltdown. Without the immediate relief sought in that package, farmers across the country who have faced severe economic hardships this year are the ones who would be burned the worst amid unrelenting inflation, historically high input prices, and falling commodity prices.
Caleb Ragland, president of the American Soybean Association and soy farmer from Kentucky, said, “We urge congressional leadership to return to the negotiating table and find a path forward. A package that does not include both economic and disaster assistance for our farmers who have suffered significantly from unforgiving market conditions, disastrous weather phenomena and for many, a combination of both, simply does not meet the mark for what agriculture and specifically, our soy growers, need. We will oppose any supplemental spending package that does not provide meaningful assistance to farmers who need help now to stay afloat in 2025 and beyond.”
While talks continue on an extension of the farm bill and a package to fund the government, soy farmers and other agricultural groups have expressed they do not support a package that fails to acknowledge the economic realities farmers are facing.
Soybean prices have dropped 40% over the past two years. Compounded by an already insufficient farm safety net, this has made it increasingly difficult for farming operations to remain viable. Without consideration for U.S. farmers, who provide feed, fuel, food and fiber for our country, rural communities and consumers nationwide will likely feel the residual effects of a mounting agriculture recession.
This plea from the American Soybean Association echoed a similar earlier one from the American Farm Bureau Federation and a number of other agricultural groups.
National Farmers Union (NFU) President Rob Larew issued the following statement today, expressing frustration and urging Congress to address the urgent needs of family farmers and ranchers before adjourning for the year:
“Family farmers and ranchers across the country are battling relentless challenges. Despite these mounting pressures, Congress has failed to act and appears ready to leave town without securing critical support for farmers. NFU has been fighting tirelessly to ensure Congress passes a farm bill extension with economic and disaster aid family farmers and ranchers need.
“Time is running out to secure a deal before the end of the year. Lawmakers must not walk away from their responsibility to rural America. Congress has already failed to finalize a five-year farm bill. I urge Farmers Union members to tell their elected representatives to not come home until they have delivered immediate support for family farmers and ranchers.”
National Council of Farmer Cooperatives (NCFC) President Chuck Conner said in a statement:
“Reports from the supplemental funding/continuing resolution packaged being negotiated today indicate that it fails to include critical economic assistance for American farmers facing the one-two punch of low prices and skyrocketing input costs. It would fall far short of what is needed to ensure the survival of thousands of producers across the country. We urge congressional leaders to rethink this approach, negotiate in good faith, and keep their promises to farmers. Without such action, NCFC can not support such a bill and would urge a ‘no’ vote on the measure.”
Kenneth Hartman Jr, president of the National Corn Growers Association, released the following statement:
“We are deeply disappointed that congressional leadership appears to be at an impasse over crucial economic assistance for farmers in an end-of-the-year legislative package. Corn growers are faced with low prices and high input costs and economic aid would provide them with critical relief during challenging economic times.
“While these developments are disheartening, we call on Congress to resume negotiations and pass legislation that includes economic assistance while there is still time.”
National Association of State Departments of Agriculture CEO Ted McKinney issued the following statement:
“Farmers and ranchers are encountering tremendous pressures under high input costs, elevated interest costs, deeply depressed commodity futures markets and poor local cash markets. Additionally, they have experienced powerful headwinds, ranging from extreme weather to uncertain global demand to supply chain disruptions. NASDA calls on Congress to put politics aside and find a resolution that provides the necessary economic aid and disaster assistance for the farmers and ranchers who work every day to provide food security to our country while also feeding the world.”
Tim Fink, American Farmland Trust Vice President of Policy said:
“The holidays are a special time when many of us gather with loved ones over meals. But before we turn to the holidays, we will not turn our backs on the very people who make those meals possible.
The suffering of many of our nation’s farmers and ranchers is all too real. Net farm income has declined by nearly a quarter since 2022. In addition to weak prices and increasing production costs, farmers and ranchers nationwide have faced weather-related disasters. This year alone, producers experienced destructive hurricanes in Texas and the southeast; devastating floods in the northeast; and catastrophic wildfires in the west. In the face of such headwinds, it comes as no surprise that the 2022 Census of Agriculture showed a loss of over 141,000 farms.
Right now, Congress has a chance to address these challenges as part of an end-of-year package by transferring remaining Inflation Reduction Act (IRA) conservation funding into the Farm Bill, and by providing producer economic assistance. The transfer of the IRA conservation funding will ensure increased long-term support for producers in implementing the very practices needed to improve their profitability and make their operations more resilient to extreme weather. The economic assistance will support farm income at a time of downturn and uncertainty, helping keep producers in business and food on our plates.
American Farmland Trust stands with our nation’s farmers and ranchers in opposing any end-of-year package that does not include both the transfer of the IRA conservation funding and economic assistance. We urge Members of Congress to do the same.”
And finally, a release from the United States Peanut Federation (USPF) expressed disappointment after the recent breakdown of congressional discussions on the inclusion of economic assistance for farmers in upcoming appropriations legislation. The USPF release continued:
Over the past few months, USPF members have participated in three separate fly-ins to Washington, D.C., urging legislators to provide financial relief after the multi-year impact of increases in costs of production paired with low prices on the agriculture industry. The current extreme economic conditions and low probability, in many cases, of accessing loan services for the next crop year, create a financially devastating situation for farmers going into crop year 2025, with many predicting the closure of their farms. Additionally, many southern growers were impacted by back-to-back hurricanes this year, only worsening their situation and increasing the need for economic assistance.
Congress returned to session on November 12, and USPF members were hopeful agricultural economic assistance would be included in the final appropriations legislation during the Lame Duck session. Unfortunately, recent Capitol Hill discussions have lessened their confidence for economic assistance to be included along with the expected one-year extension of the 2018 Farm Bill.
Congress has until December 20, 2024 to complete the Fiscal Year 2025 appropriations process, including the Farm Bill extension, and USPF members strongly oppose any supplemental appropriations legislation that does not include vital economic assistance for the agriculture industry.
Joe Boddiford, chairman of the Georgia Peanut Commission, said, “The current economic crisis has devastated the peanut industry, and Congress must provide economic assistance to support those who feed our nation. Most don’t realize the severity of this situation, and many farmers will be forced out of business if Congress does not act now. It is imperative Congress deny appropriations funding if assistance is not provided to the row crop industry.”
Carl Sanders, president of the Alabama Peanut Producers Association, said, “Many peanut growers are unsure how their families will continue farming in 2025 with the current financial struggles they’re experiencing. Financial assistance from Congress is needed to bridge the gap until a new Farm Bill is in place.”
— American Soybean Association
National Farmers Union
National Council of Farmer Cooperatives
National Corn Growers Association
National Association of State Departments of Agriculture
American Farmland Trust
United States Peanut Federation
