National Corn Growers Association President Lynn Chrisp today urged U.S. Department of Agriculture Secretary Sonny Perdue to consider changes to the Market Facilitation Program (MFP) ahead of the second round of payments.
In a letter to Perdue, Chrisp said that he continues to hear from farmers who are disappointed in USDA’s approach to calculating the first round of MFP payments because it was too narrow in scope and did not capture the real-time impacts of trade disruptions on our markets.
Chrisp asked Perdue to add ethanol and distillers dried grains with solubles (DDGS) to the calculation of damages for corn. Using USDA’s methodology, gross trade damages for ethanol and DDGS amounts to $254 million, which was not accounted for in the first MFP payments. Chrisp also asked the Secretary to allow farmers who suffer production losses from disasters to use an alternative to 2018 production for their MFP calculation. This would ensure farmers suffering from drought, hurricane-related losses or other natural disasters would not be penalized twice.
You can view the full letter here.
NCGA is taking a series of actions to do our part to help contain the spread of the coronavirus (COVID-19) and the economic fallout it is creating for corn farmers and our customers. Short term, this means instituting policies to protect the health and safety of our stakeholders and the broader communities we serve. Long term, we’re focused on creating solutions to help corn farmers and our customers recover from the financial impacts of this crisis.
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