Between low prices and talks of trade issues, Ag Secretary Brooke Rollins has promised to make farmers whole in the coming year, but she could take a unique approach to make it happen.
Sources tell AgriPulse that Rollins could use Section 32 under the Commodity Credit Corporation, which allows the Department to purchase extra commodities for feeding programs. However, it is written to also reestablish farmers’ purchasing power by making payments.
During the first Trump Administration, USDA used Section 5 authority. However, there is little money left unless Congress refills the account.
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In a final rule published in the Federal Register, the Department states that it will no longer base wage rates on the Farm Labor Survey.
Farmers are in the midst of harvest as the government descends into a shutdown and the Farm Bill expires. Key federal departments, crop reporting, and aid programs important to the agricultural sector are now on hold.
Trump’s upcoming talks raise hopes for U.S. soybeans, but China’s record purchases from Brazil and Argentina show America’s market share remains under heavy pressure.
USDA’s report shows wheat strength overall, with winter wheat yields setting records, while spring wheat and rye saw declines. Oats and barley remain constrained by record-low acreage despite stable or rising yields.
Bigger-than-expected corn and wheat stocks are bearish for prices, while soybean figures were neutral. Farmers may face additional price pressure as harvest accelerates.
Taiwan’s pledge to expand imports strengthens export prospects for U.S. row crops, livestock products, and specialty commodities, while the USDA’s broader trade push seeks to diversify farm markets globally.
