It’s likely going to be as tough as ever to pass a new farm bill this year. One option under consideration is to put parts of the bill in a budget reconciliation measure. A Republican on the House Agriculture Committee, Florida Rep. Kat Cammack, says it’s “absolutely feasible” to do that, but she tells Agri-Pulse Newsmakers it probably wouldn’t happen until fiscal 2026, when Republicans may try to move the second of two reconciliation measures. 

And Cammack says it wouldn’t be easy to do even then. “At that point you’re getting into the politics of do we have the firepower to stick together in order to pass this all the way through the process, because reconciliation … is a beast. It is an arduous process from start to finish.”

She also warns that using the reconciliation process to pass a farm bill will make it more partisan.

This week’s Newsmakers will be available today at Agri-Pulse.com.

U.S. shipbuilding proposals could add $1B to ag export costs

The American Farm Bureau Federation warns that proposals designed to spur U.S. shipbuilding could add between $372 to $930 million in annual shipping costs for bulk ag exporters.

The Office of the U.S. Trade Representative has proposed a menu of measures to revive domestic shipbuilding. Among them are proposals to apply a $1 million surcharge to Chinese-operated vessels docking at U.S. ports and a $1.5 million fee on Chinese-made vessels.

If one of these measures, or both, are implemented, U.S. soybeans, for example, could face higher costs of 9.5 to 27.75 cents per bushel.

Containerized shipping is also set to feel the crunch. The World Shipping Council estimates the proposed fees could add costs of $600 to $800 per container. But importers would likely bear the brunt of these costs, AFBF says.

Former EU trade official: Anti-China tool could be part of EU’s tariff response

A former top European Union trade official says if U.S.-EU trade tensions escalate, the bloc could deploy a novel tool to fight economic coercion that was originally developed to counter China.

The tool allows the bloc to swiftly push back against countries using their economic might to coerce member states. The EU crafted it after Lithuania sparked China’s anger — and economic countermeasures — when it allowed Taiwan to open a de facto embassy in its capital.

The tool has never been deployed. But former EU Trade Commissioner Cecilia Malmström said during a webinar Thursday that could soon change if the U.S.-EU trade conflict “becomes really nasty.”

“The first time it might be used might be with the U.S.” Malmström added. “It’s very sad.”

Why it matters: The EU can use the tool to restrict market access for agricultural products and limit exports, among other things.

Take note: On Thursday, the EU postponed retaliatory duties that were supposed to go into effect at the end of the month to give officials more time to negotiate over tariffs.

Delay of traceability rule enforcement draws criticism

Consumer groups are criticizing FDA’s decision to extend the compliance date for the food traceability rule. The supply chain had expected to comply with the new traceability requirements by Jan. 20, 2026. However, FDA announced Thursday it plans to push that deadline by 30 months.

Grocery and food industry groups welcomed the decision. They say it will help ensure the supply chain can adapt without pushing additional costs on consumers. However, consumer advocates say the move is a step backward for food safety. 

Feeding Our Future execs convicted

Two leaders of Feeding Our Future, a Minnesota nonprofit that defrauded the government of $250 million, were found guilty of multiple federal charges Thursday.

Aimee Bock, the founder of the company, was convicted on seven counts, including four involving wire fraud and one of bribery. Salim Said, who was tried along with Bock, was convicted on 20 counts, including bribery, money laundering, wire fraud and conspiracy.

Bock and Said recruited individuals and businesses to create sites under federal child nutrition programs. The sites “fraudulently claimed to be serving meals to thousands of children a day within just days or weeks of being formed,” the release from the U.S. Attorney’s Office in the District of Minnesota said.

In all, Feeding Our Future falsely claimed to have provided 91 million meals to schoolchildren, the government showed.

Lawsuit filed to unfreeze funds

A coalition of conservation groups and cities are suing the Trump administration in an effort to restore funding for Inflation Reduction Act and Bipartisan Infrastructure Law programs, including some at USDA.

Pasa Sustainable Agriculture, one of the groups that has signed on as a plaintiff, says it’s waiting for $3 million in reimbursements from USDA and has not received payments for over 60 days. Pasa said it’s gone through its reserve funds and now has to furlough over 60 staff members. 

The Southern Environmental Law Center and the Public Rights Project are representing the coalition of cities and groups.

FDA compiles list of action levels, tolerances for food chemicals

FDA has posted a consolidated list of contaminant levels in food for pesticides and other chemicals that the agency says “have the potential to cause harm.”

The Chemical Contaminants Transparency Tool is an example of what Health and Human Services Secretary Robert F. Kennedy Jr. calls “radical transparency.” It includes action levels and tolerances, which “represent limits at or above which FDA will take legal action to remove products from the market,” the agency says

“Because many of the most nutritious foods can also contain contaminants, consumers should eat a variety of nutrient-dense foods across and within the main food groups of vegetables, fruits, grains, dairy and protein to help protect from possible exposure effects,” Acting FDA Commissioner Sara Brenner says. 

Final word

“What we're seeing already is producers being very proactive around identifying changes they want to make to their operation, either cutting back on some expenses, especially family living, or recreational things or even making some adjustments, if they got a little aggressive on capital purchases … or even selling some assets pretty quickly, compared to last time.” — Chad Gent, senior vice president of retail credit for Farm Credit Services of America, Frontier Farm Credit and AgCountry Farm Credit. He was talking on a webinar about how farmers are responding to the recent downturn in crop prices.

For more news, go to www.Agri-Pulse.com.