The ag community is still operating on the 2018 Farm Bill, and farmers say the reference prices from that legislation are outdated.
One lawmaker wonders if the ag legislation should be shortened from its current five-year authorization.
“The reference price no longer reflects the cost of production for farmers, and I will tell you, I’m concerned that they’re moving so fast, that I truly think after this Farm Bill, we probably need to get to a three-year cycle, not a five-year on the Farm Bill because of the speed at which things are changing,” said Rep. Austin Scott.
House Ag Committee Chair GT Thompson had a strong warning about the situation.
“There has never been a time where there has been such a bleak outlook over the next five years for the represented farms with every single major commodity deep in the red. Producers deciding what to plant this year aren’t thinking about what rotation is likely to make money, but rather what crops will cause them to lose the least.”
USDA’s latest farm income forecast shows that cash farm income is expected to rise 22 percent this year compared to last year. However, economists say that is only because of direct government payments.
