Farmers and ranchers who need relief can apply soon for $19 billion in federal aid
Farmers and ranchers who have suffered losses because of the coronavirus can begin applying for federal assistance May 26, news outlets report.
The $19 billion farm relief program is part of the Coronavirus Aid, Relief and Economic Security Act (CARES), according to the U.S. Department of Agriculture. It will provide $16 billion directly to farmers and ranchers based on losses related to the coronavirus pandemic, USDA said.
“The program will provide $16 billion in direct support based on actual losses for agricultural producers where prices and market supply chains have been impacted and will assist producers with additional adjustment and marketing costs resulting from lost demand and short-term oversupply for the 2020 marketing year caused by COVID-19,” USDA said.
President Donald Trump announced Tuesday that farmers who suffered at least a 5% price loss will be eligible for direct payments up to $250,000 per person, according to Bloomberg Politics.
”You need to sign up to pick it up, to get the money,” Trump said, according to Fox News. “And we’ll start issuing payments within one week of receiving your application.”
The sign-up period runs from May 26 to Aug. 28, according to NTV. Those farmers and ranchers approved for assistance will receive 80 percent of their total payment with the remaining 20% being paid at a later date, NTV reports.
Farmers have been devastated by the impact of the pandemic, according to CBS News. They have been forced to destroy crops and throw out perishables, such as milk, CNBC reported.
In many cases, farmers were left with food they couldn’t sell as restaurants and schools shut down across the country, the news outlet reported.
The other $3 billion of the package will be used to purchase fresh produce, dairy and meat from workforce that has been impacted by restaurants, hotels and other food service entities shutting down, USDA said.
“We will begin with the procurement of an estimated $100 million per month in fresh fruits and vegetables, $100 million per month in a variety of dairy products, and $100 million per month in meat products,” USDA said. “The distributors and wholesalers will then provide a pre-approved box of fresh produce, dairy, and meat products to food banks, community and faith based organizations, and other non-profits serving Americans in need.”
USDA is also planning to buy $873.3 million in agricultural products to distribute to food banks, the department said in a news release.
“During this time of national crisis, President Trump and USDA are standing with our farmers, ranchers, and all citizens to make sure they are taken care of,” U.S. Secretary of Agriculture Sonny Perdue said in a news release. “The American food supply chain had to adapt, and it remains safe, secure, and strong, and we all know that starts with America’s farmers and ranchers. This program will not only provide immediate relief for our farmers and ranchers, but it will also allow for the purchase and distribution of our agricultural abundance to help our fellow Americans in need.”