2023 Farm Bill Commodity Program Spending Projections

In my report on Friday, I talked about the Congressional Budget Office's Farm Bill program cost projection in all titles of the bill. Today. I follow up by getting into the specifics of the commodity programs under the farm bill when it comes to crops benefiting in 2023 Farm Bill, a CBO report has been issued that projects based on spending on farm bill programs for the next 10 years. And American Farm Bureau Federation Economist Danny Munch says the commodity program budgets are dependent on the base acreage for each crop

“Corn is going to receive about 20 is expected to receive that point $4 billion or half of all the commodity program payments soybeans 5.8 billion 12% wheat 5.3 billion 11%. And then the rest rice, cotton then all your others taking the remainder of a total of $50 billion. And you know some of those changes within those commodities are linked to expectations for the client or go up.”

Munch says that nutrition programs are updated every five years and reflect changes in food prices. However, that change mechanism is not there for farm programs.

“We are well aware that farmers have you know faced increased production costs fertilizer costs fuel crop across the board. So you know figuring out how Congress can adjust some of the budgetary rules or we're looking to ways to offset decreases in somewhere areas in the farm bill so that, you know these farm programs can be more reflective of actual market conditions.”

Danny Munch with the American Farm Bureau Federation