On Tuesday, the House Ag Committee’s Subcommittee on General Farm Commodities and Risk Management held a hearing to explore farm policy issues in advance of the next Farm Bill. And yesterday, the full Ag Committee hosted a hearing to review the Farm Credit System. Today’s update takes a closer look at some of the issues raised at these two hearings.
Farm Policy News
Clean Water Act: Des Moines Water Works Lawsuit Revisited
Recall that back in January, a FarmPolicyNews update discussed an important legal case in Iowa that challenged the general exemption for agricultural storm water discharges under the Clean Water Act, among other issues. The Iowa Supreme Court ruled on a portion of the case in January, and earlier this month, a federal judge dismissed the case. Today’s update provides a brief overview of some portions of the Iowa case and notes that water related issues still lurk in the future for agricultural producers.
House Ag Committee Examines Livestock, Dairy Issues
Last Tuesday, the House Ag Committee’s Subcommittee on Livestock and Foreign Agriculture held a hearing to examine perspectives from the U.S. livestock sector. And on Wednesday, the full Committee took a closer look at economic and policy issues impacting the U.S. dairy sector. The meetings were part of the Committee’s ongoing series of hearings that are setting the stage for the next farm bill. Today’s update provides a brief look at some of the highlights from the hearings last week.
Senate Ag Committee Confirmation Hearing: USDA Nominee Sonny Perdue
Yesterday, the Senate Ag Committee held a hearing to consider the nomination of Sonny Perdue to be Secretary of Agriculture. Issues associated with the Trump Administration’s proposed USDA budget cuts, trade policy, and labor were among the topics discussed at yesterday’s meeting.
Immigration Policy: Rural and Agricultural Concerns
Wall Street Journal writer Justin Lahart reported last week that, “The first impact of President Donald Trump’s changes to U.S. immigration policy will fall on businesses that grow, process or sell food. Recent history shows that labor shortages could drive up prices and labor costs, and hurt profits.”
FAPRI Baseline: Financial Pressure on Farms Likely to Continue
A news release last week from the Food and Agricultural Policy Research Institute (FAPRI) at the University of Missouri indicated that, “The latest analysis of national and global agricultural trends from the University of Missouri indicates continued financial pressure on United States farm sector. Good news in the report includes a modest recovery in grain prices in 2017.”
Senate Finance Committee Confirmation Hearing: USTR Nominee Robert Lighthizer
Yesterday, the Senate Finance Committee held a hearing to consider the nomination of Robert Lighthizer to be United States Trade Representative. With respect to agricultural trade issues, China, the North American Free Trade Agreement (NAFTA), and Japan were all topics that were touched on.
Trade: On The Minds of Farmers, and Senators
Recall that last month, at a press conference before the Senate Ag Committee’s first Farm Bill hearing in Kansas, Committee Chairman Pat Roberts pointed out that, “And trade — trade is on the minds of every farmer, every rancher. And I can assure you that trade is on the minds of my Senate staff and myself.”
House Ag Subcommittee Hearing: Specialty Crops
A news release from the House Agriculture Committee on Thursday indicated that, “[T]he Subcommittee on Biotechnology, Horticulture, and Research, held a hearing to evaluate the effectiveness of the 2014 Farm Bill programs aimed at benefiting specialty crop production.” The meeting was part of the Committee’s ongoing series of hearings that are setting the stage for the next farm bill. Although not under the Committees’s jurisdiction, immigration and labor issues were also highlighted.
House Ag Subcommittee Hearing: Rural, Energy Issues
As part of its ongoing preparation for the 2018 Farm Bill, the House Agriculture Committee held a Subcommittee hearing yesterday delving into rural development issues and energy programs.
Federal Reserve: Observations on the Ag Economy- February ’17
Last week, the Federal Reserve Board released its February ’17 Beige Book update, a summary of commentary on current economic conditions by Federal Reserve District. The report included several observations pertaining to the U.S. agricultural economy.
House Ag Subcommittee Examines Conservation Issues
Last week, the House Agriculture Committee continued laying groundwork for the next Farm Bill by holding a Subcommittee hearing covering conservation issues.
Waters of the U.S. Rule: Trump Executive Order
Evan Halper reported in Wednesday’s Los Angeles Times that, “President Trump stepped up his attack on federal environmental protections Tuesday, issuing an order directing his administration to begin the long process of rolling back sweeping clean water rules that were enacted by his predecessor.”
USDA Report Examines Farm Household Income Volatility
Last week, USDA’s Economic Research Service (ERS) released a report titled, “Farm Household Income Volatility: An Analysis Using Panel Data From a National Survey.” The report noted that, “There has long been information tracking farm income at the national level, yet little information exists about income variability of individual farm households.” Due to the volatility associated with agricultural production, federal lawmakers have worked to craft policies that minimize farm household income fluctuations. House and Senate Ag Committees in the 115th Congress have already begun the process of continuing this goal as they conduct hearings relating to the next Farm Bill. Today’s update looks at some of the highlights of the ERS report.
Farm Bill: Senate Ag Committee Hearing, Chairman Conaway Speech at USDA Forum
Following on the heels of the House Agriculture Committee, which held its first Farm Bill hearing earlier this month, the Senate Ag Committee of the 115th Congress convened its first Farm Bill discussion on Thursday in Manhattan, Kansas. Committee Chairman Pat Roberts (R., Kan.) explained that, “We start the journey to a successful and timely 2018 Farm Bill in the Heartland, because that is where it matters most..” Also on Thursday, House Ag Committee Chairman Mike Conaway (R., Tex.) addressed attendees at USDA’s Agricultural Outlook Forum in Arlington, Virginia.
Today’s update provides a brief overview of testimony provided during last week’s Senate Ag Committee discussion, with a specific focus on trade issues and crop insurance; as well highlights from Chairman Conaway’s speech.
The Outlook for U.S. Agriculture From USDA’s Chief Economist
Speaking yesterday at USDA’s Agricultural Outlook Forum in Arlington, Virginia, USDA Chief Economist Robert C. Johansson provided a broad outlook for U.S. agriculture. Today’s update provides an overview of key aspects of Dr. Johansson’s presentation.
USDA Releases Agricultural Projections, Focus on Corn and Soybeans
On Thursday, the U.S. Department of Agriculture released its 10-year projections for the food and agriculture sector. The report noted that, “Over the next several years, the agricultural sector continues to adjust to lower prices for most farm commodities. Although reduced energy prices have decreased energy-related agricultural production costs, lower crop prices result in declines in planted acreage. Lower feed costs provide economic incentives for expansion in the livestock sector.” Today’s update highlights aspects of the report that focused on corn and soybeans.
U.S. Corn Exports to Mexico: Will Policy Rhetoric Turn into Concrete Action?
On Monday, February 13th, Patrick Gillespie reported at CNN Money Online that, “Mexico is one of the top buyers of American corn in the world today. And Mexican senator Armando Rios Piter, who leads a congressional committee on foreign relations, says he will introduce a bill this week where Mexico will buy corn from Brazil and Argentina instead of the United States.”
115th Congress Starts Farm Bill Discussions by Focusing on the Farm Economy
The House Agriculture Committee of the 115th Congress began laying the ground work for the next Farm Bill yesterday by holding a hearing to “review the economic challenges facing rural America.” Although the majority of federal agricultural appropriations are related to nutrition issues, yesterday’s hearing signaled that the rural and farm economy are priorities for the Committee and current economic conditions in the heartland “must be front and center” as the Farm Bill process begins.
Trump Administration Immigration Policies Could Hamper Some Ag Sectors
In addition to trade issues, potential uncertainty associated with Trump administration immigration policies has some sectors of the agricultural economy anxious.