Source: POLITICO'S MORNING AGRICULTURE, 12/1/17

The USDA Economic Research Service published a report Thursday highlighting how larger farms, or those with more than $1 million a year in gross cash income, are receiving a growing portion of subsidies as the trend of consolidation in agricultural production continues. The report, which analyzes the shift in distribution of commodity, conservation and crop insurance payments over the years, found that large farms received 34 percent of commodity subsidies in 2015, up from 11 percent in 1991. They also got one-third of crop insurance indemnities in 2015, up from 12 percent in 1997 - the earliest year for which USDA had reliable data, ERS said. At the same time, large farms have increased their share of agricultural production from 23 to 41 percent over the last two decades.

ERS mentioned in a footnote that redesigns of the crop insurance program, including increases in premium subsidies that disproportionately benefited larger operations, also may have affected the shift in indemnities.

Small farms. Meanwhile, small operations - those with less than $350,000 in annual gross cash income - are receiving a declining amount of commodity subsidies and crop insurance indemnities as they account for less agricultural production. In 2015, they received about 30 percent of commodity subsidies, down from 61 percent in 1991. Small farms accounted for 22 percent of crop insurance indemnities in 2015, down from 48 percent in 1997.

For the full report, click here.