First Trillion-Dollar Farm Bill Expected
A tough budget environment and expected falling crop prices will make it extra difficult to write the next farm bill. At least that’s what ag experts told Agri-Pulse’s annual Ag and Food Policy Forum.
Senate Ag GOP minority Chief Economist John Newton says producers are facing soaring input costs, an unrealistic farm safety net and gloomy Congressional Budget Office crop projections…
“Corn prices are projected to fall by 30 percent. I believe soybean prices are projected to fall by over 2, percent, and wheat prices are also expected to fall immediately. So, commodity prices for the crop that folks have already started planting now, we’re already projecting for prices to drop, pretty significantly.”
But where’s the money going to come from with the new farm bill expected to be the first trillion-dollar farm bill…
“This farm bill at 1-and-a-half trillion dollars, and, to put that into perspective, the last farm bill that we did was 867 billion dollars at enactment. So, we’ve seen a huge jump in nutrition spending, nutrition spending’s up about 80 percent, farm bill spending, overall, is up over 60 percent, a 20 percent increase in crop insurance outlays.”
40 billion may come from the Inflation Reduction Act. But Newton says demands for farm safety net programs, crop insurance, research and trade complicated by budget fights will make for a challenging farm bill year.