USDA releases its latest forecast for farm income today, even as lawmakers discuss a possible package of assistance for producers.
In September, USDA sharply raised its forecast for net farm income this year but projected that it would be down by 7% from 2023. USDA economists had projected a far bigger decline earlier in the year.
According to projections by Terrain, a broad array of row crops will see losses in 2025 as well as 2024. The loss for cotton in 2025 is estimated at $339 per acre. Shortfalls for corn and soybeans are forecast at $161 and $100 an acre.
Extension talks ‘not going well’
So far, negotiations around a special market relief package for farmers aren’t making much progress, according to the top Republican on the Senate Ag Committee, John Boozman of Arkansas. Boozman’s goal was to include the aid with an extension of the 2018 farm bill.
“They’re not going well,” Boozman said of the extension talks. In an interview with Agri-Pulse’s Rebekah Alvey. Boozman said various policy disputes have surfaced in the negotiations, but he didn’t provide details.
“I don’t think members realize how difficult it is in farm country right now, so we’re trying to help them understand that unless we do something different, unless we give them some additional tools, we’re going to lose a lot of farmers this next year,” Boozman said.
Earlier Monday in a speech on the Senate floor, Boozman said he worried that many farmers “may not be around next year” without help from Washington.
EPA moves to revoke most tolerances for chlorpyrifos
Conforming with a federal appeals court decision from last year, EPA is proposing to revoke all food tolerances for chlorpyrifos except those associated with its use on 11 food and feed crops. The 8th Circuit Court of Appeals had ruled the agency should have considered not revoking all tolerances when it responded to a different appeals court’s order to decide on a petition filed by farmworkers and environmental groups.
“Based on the available data, retaining only the 11 food uses could decrease average annual pounds of chlorpyrifos applied in the U.S. by 70% as compared to historical usage,” EPA said in a news release.
The 11 food and feed crops on which chlorpyrifos can be applied are alfalfa, apples, sugar beets, soybeans, strawberries, spring and winter wheat, asparagus, tart cherry, citrus, cotton and peach.
USDA sends agribusiness trade mission to Morocco
U.S. agribusinesses, trade groups and officials will be in Morocco this week on an USDA-sponsored trade mission to boost U.S. ag and food exports to the region.
Foreign Agricultural Service Administrator Daniel Whitley will lead the delegation – which is made up of nearly 50 businesses and industry groups as well as 14 state agriculture departments.
“Morocco offers a stable market and growing economy and serves as a key distribution hub for the African continent,” a USDA statement reads, adding that the kingdom’s growing consumer demand and food processing sectors offer new market opportunities for U.S. beef, dairy, grains and livestock exports, among other products.
U.S. ag exports to Morocco have been rising since the two countries inked a free trade agreement in 2006. The U.S. meat industry is eying opportunities to use the country as a springboard for exports across the region.
“Countries like Senegal and Cote d'Ivoire are growing six and a half, seven percent year-on-year in terms of GDP growth. And that offers a very big base in terms of population size and demand,” said Matt Copeland, Africa representative for the U.S. Meat Export Federation.
Murphy hog operation going independent from Smithfield
Murphy Family Ventures will go from contract growing to owning the swine it raises, under a new deal with pork processing giant Smithfield Foods.
The new Murphy farming business will take ownership of 150,000 sows currently owned by Smithfield, according to a release. Smithfield will “provide production services, including the supply of feed and transportation surfaces."
Murphy Family Ventures, which oversees several different companies, was founded by North Carolina hog farmer Wendell Murphy. The company has since spent the last 24 years as a contract grower for Smithfield.
The company will have the capacity to produce 3.2 million hogs each year for Chinese-owned Smithfield. The deal is expected to close by the end of the year, according to the release.
FDA updates reporting guidance for infant formula makers
FDA has released draft, updated guidance for infant formula manufacturers to report interruptions or permanent discontinuations in their supply chains.
The guidance specifies that infant formula manufacturers are required under the law to notify FDA no later than five business days after a permanent discontinuance or interruption that is likely to cause a significant disruption to the supply chain.
In 2022, an extended production shutdown by a major infant formula supplier led to a widespread national shortage. The latest draft guidance is part of the FDA’s efforts to beef up infant formula supply chain resiliency.
Cucumbers recalled following salmonella outbreak
SunFed Produce LLC has voluntarily recalled all sizes of some cucumber products grown in Sonora, Mexico, after 68 cases of salmonella were linked to the vegetable.
As of Nov. 26, 68 people were infected with a salmonella outbreak strain in 19 states. Eighteen people had been hospitalized, according to FDA. The recalled products were sold between Oct. 12 and Nov. 26 in 26 states and some Canadian provinces.
Final word
“Farmers, lenders and community leaders in all regions of the country are saying the same thing — farmers desperately need help.” – Sen. John Boozman, ranking member of the Senate Ag Committee.
