Trade aid for farmers keeps flowing
Story Date: 10/19/2018

 

Source: POLITICO'S MORNING AGRICULTURE, 10/18/18

USDA's trade relief payments are trickling out with the fall harvest well underway. So far, $137 million has been paid to farmers stung by retaliatory tariffs, and another $102 million in estimated payments is on the way, the department told POLITICO.

The latest tally isn't exactly eye-popping: USDA is offering a total $4.7 billion in this first round of direct aid, and just 3 percent of that has actually gone out to producers since the program opened up for applications Sept. 4. About 88,000 farmers have applied for payments.

The modest pace of payments is partly a matter of timing: Many crops are still being harvested. But there are also logistical challenges stemming from the way the trade aid program was set up.

Soybean growers, for example, are having trouble selling their crops thanks to bad weather and dwindling storage space in grain elevators — one of the hidden repercussions of the trade dispute with China. Some farm-state lawmakers are even looking for legislative options to help producers who are struggling to tap into the relief program.

From a political perspective: At the current rate, a significant portion of the trade aid funds could still be parked in federal coffers when the Nov. 6 midterm elections roll around.

























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