Economic Tidbits

Pandemic Assistance for Producers

The USDA last week provided more information on the $12 billion in expanded assistance for producers through the Pandemic Assistance for Producers program announced in March. The additional assistance was part of the package passed by Congress in late 2020. The new USDA programs, designed to focus on filling gaps in previous rounds of assistance, include:

  • Payments to dairy farmers who suffered losses not covered under previous assistance.
  • $580 million in cash flow assistance to small and mid-sized dairies through supplemental Dairy Margin Coverage.
  • $400 million towards a new dairy donation program.
  • Assistance for producers who were forced to euthanize animals as the result of processing capacity issues.
  • $20 million for additional organic cost-share assistance.
  • A premium benefit for producers with crop insurance if they planted cover crops during this crop year.
  • Additional assistance for contract growers of poultry.

Implementation of the programs will occur in the next 60 days. For more information go to: https://www.usda.gov/media/press-releases/2021/06/15/usda-announces-additional-aid-ag-producers-and-businesses-pandemic.

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