The High Cost of The 2023 Farm Bill

American Farm Bureau Federation economist Danny Munch explains that the Congressional Budget Office performs economic analysis for congressional offices. CBO conducts baseline outline projections for programs that include the current year, as well as a 10 year outlook, Much wrote a market intel report on a 2023 farm bill, where he discusses CBO projections.

“When we think about the farm bill, we have sort of five main groups you have your nutrition, which is primarily made up of that Supplemental Nutrition Assistance Program snap then you have your farm commodity programs, which includes things like Ark PLC, dairy margin coverage, crop insurance you have is your third all of your conservation programs, your fourth and then a bunch of different miscellaneous programs that includes trade and horticulture and things like that.”

He highlights one of the biggest takeaways from the CBO Farm Bill projections.

“Nutrition outlays are expected to increase 6% for this year and 8% or $93 billion between 2023 and 2034. So a large increase in nutrition spending linked to what well the cost increases for consumers at the store, you know, with inflation and food costs increases across the country. Government programs are not exempt from those increases.”

Munch says that with nutrition costs going up that means the cost of the Farm Bill will go up as well.

“Almost $1.5 trillion, with 82% of that being nutrition assistance.

AFBF economist Danny Munch.