More than $9.6 billion in USDA farm safety net payments will soon be made to many producers affected by drought, wildfires, and hurricanes through the Agriculture Risk Coverage (ARC), Price Loss Coverage (PLC), and Conservation Reserve (CRP) programs. The USDA is issuing approximately $8 billion in payments under the ARC and PLC programs for the 2016 crop year, and $1.6 billion under CRP for 2017.
“Many of these payments will be made to landowners and producers in rural communities that have recently been ravaged by drought, wildfires, and deadly hurricanes,” said Secretary of Agriculture Sonny Perdue. “I am hopeful this financial assistance will help those experiencing losses with immediate cash flow needs as we head toward the end of the year.”
The ARC and PLC programs were authorized by the 2014 Farm Bill and offer a safety net to agricultural producers when there is a substantial drop in revenue or prices for covered commodities. Over half a million producers will receive ARC payments and over a quarter million producers will receive PLC payments for 2016 crops, starting this week and continuing over the next several months.
Payments are being made to producers who enrolled base acres of barley, corn, grain sorghum, lentils, oats, peanuts, dry peas, soybeans, wheat, and canola. In the upcoming months, payments will be announced after marketing year average prices are published by USDA’s National Agricultural Statistics Service for the remaining covered commodities. Those include long and medium grain rice (except for temperate Japonica rice), which will be announced in November; remaining oilseeds and chickpeas, which will be announced in December; and temperate Japonica rice, which will be announced in early February 2017.
Also, as part of an ongoing effort to protect sensitive lands and improve water quality and wildlife habitat, USDA will begin issuing 2017 CRP payments this week to over 375,000 Americans.
“American farmers and ranchers are among our most committed conservationists,” said Perdue. “We all share a responsibility to leave the land in better shape than we found it for the benefit of the next generation of farmers. This program helps landowners provide responsible stewardship on land that should be taken out of production.”