Late last week, Bloomberg writers Megan Durisin and Agnieszka de Sousa reported that, “The surge in food prices that’s eating into consumer budgets and hitting some of the poorest nations shows few signs of abating.”
Farm Policy News
Federal Reserve: Observations on the Ag Economy- February 2021
On Wednesday, the Federal Reserve Board released its February 2021 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.
Recent NASS Reports Provide Insight Into the Agricultural Sector and Farm Economy
The USDA’s National Agricultural Statistics Service (NASS) released several reports over the past few weeks that provide helpful insight into segments of the U.S. agricultural economy and farm sector. Today’s update highlights some of these reports, which include details on U.S. farm characteristics, farms and land in farms, crop values, and agricultural prices.
Climate Change: An Income Opportunity for Farmers- Perspective from Sec. Vilsack and House Lawmakers
Writing on the front page of Saturday’s Des Moines Register, Donnelle Eller reported that, “U.S. and Iowa farmers need new sources of income, and the work producers need to do to battle climate change can help provide it, newly sworn-in U.S. Agriculture Secretary Tom Vilsack told the Des Moines Register on Friday.”
Senate Confirmation Hearing for USTR Nominee Katherine C. Tai, China Issues in Focus
On Thursday, the Senate Finance Committee held a confirmation hearing for U.S. Trade Representative nominee Katherine C. Tai.
Senate Confirms Tom Vilsack as Secretary of Agriculture
Reuters writer Tom Polansek reported on Tuesday that, “The U.S. Senate on Tuesday confirmed Tom Vilsack to head the Department of Agriculture, returning the former Iowa governor to the job he held under ex-President Barack Obama.”
EPA Supports Tenth Circuit’s Renewable Fuels Association Decision- Action Viewed As a “Win” for Farmers
Reuters writer Stephanie Kelly reported on Monday that, “The U.S. Environmental Protection Agency said on Monday that it agrees with an appeals court’s decision last year that cast doubt on a program that granted oil refiners exemptions to U.S. biofuel blending laws.”
The 2021 Outlook for U.S. Agriculture From USDA’s Chief Economist
Speaking on Thursday at USDA’s virtual Agricultural Outlook Forum, USDA Chief Economist Seth Meyer provided a broad outlook for U.S. agriculture. Today’s update provides an overview of key aspects of Dr. Meyer’s presentation.
Winter Storms Take Heavy Toll on Agriculture
Wall Street Journal writer Jacob Bunge reported on Thursday that, “Brutal winter weather continued to batter the U.S. agriculture industry, as companies and farmers contended with snow, ice and cold temperatures that disrupted processing, snarled transport and killed livestock across the Midwest and South.”
USDA Agricultural Projections to 2030- Focus on Corn, Soybeans
On Tuesday, the U.S. Department of Agriculture released its 10-year projections for the food and agricultural sector.
Federal Reserve Ag Credit Surveys- 2020 Fourth Quarter Farm Economy Conditions
Last week, the Federal Reserve Banks of Chicago, Kansas City and Minneapolis released updates regarding farm income, farmland values and agricultural credit conditions from the fourth quarter of 2020.
Projected U.S. Corn Exports and Prices Rise, But Will “Rampant” Chinese Demand Continue
Financial Times writers Emiko Terazono and Sun Yu reported last week that, “Record purchases by China have sent corn prices soaring since the end of last year, leaving farmers and analysts pondering how long the surge can be sustained.”
House Agriculture Committee Passes Ag Portion of FY21 Budget Reconciliation Bill
DTN Ag Policy Editor Chris Clayton reported on Wednesday that, “The $1.9 trillion relief plan moving through the House of Representatives has roughly $16.1 billion in specific provisions for USDA — mainly for nutrition programs — but boosts in agricultural aid steered toward buying commodities or supporting minority or socially disadvantaged farmers and ranchers.”
2021 Farm Sector Income Forecast, February
The USDA’s Economic Research Service (ERS) indicated on Friday that, “Net farm income, a broad measure of profits, is forecast to decrease $9.8 billion (8.1 percent) from 2020 to $111.4 billion in 2021.”
FAO Food Price Index Climbs on Strength of Grain Prices, as Chinese Demand Persists
Financial Times writer Emiko Terazono reported last week that, “Global food prices have reached their highest in almost seven years, further raising the spectre of food inflation and hunger at a time when the Covid-19 pandemic continues to hit economies around the world.”
EPA Nominee Michael Regan Draws Bipartisan Support, Says RFS is a Priority
Wall Street Journal writer Timothy Puko reported this week that, “Michael Regan, President Biden’s nominee to lead the Environmental Protection Agency, drew bipartisan support at his Senate confirmation hearing Wednesday, including from North Carolina Republicans who said he has a history of working constructively with businesses.”
Senate Ag Committee Advances Ag Secretary Nominee Tom Vilsack
On Tuesday, the Senate Agriculture Committee held a confirmation hearing for Secretary of Agriculture nominee Tom Vilsack.
Kansas City Fed: “Pullback” in New Farm Loans Continues
A recent report from the Federal Reserve Bank of Kansas City (“Ag Lending Update: Fewer New Loans to Farmers,” by Ty Kreitman and Cortney Cowley) stated that, “Lending activity at commercial banks continued to slow in the fourth quarter, according to the National Survey of Terms of Lending to Farmers. The volume of total non-real estate farm loans declined by about 1% from a year ago, but remained slightly above the 10-year average in the fourth quarter.”
China “On Course” to be World’s Top Corn Importer, as Biden Administration “Reviews” Phase One Deal
Last week, Reuters writers Mark Weinraub and Karl Plume reported that, “China booked its biggest purchase of U.S. corn yet, the U.S. Agriculture Department said on Friday, buying more at once than any country except the Soviet Union 30 years ago, as it tries to meet a surge in demand for animal feed.”
Unrelenting Chinese Demand Boosts Corn Prices
Bloomberg writers Kim Chipman and Nicholas Larkin reported this week that, “Corn prices in Chicago reached a seven-year high with China’s appetite for the grain stoking global supply concerns.”