• GA Producer's Alliance

USDA Launches Trade Mitigation Programs

Updated: Dec 10, 2018

USDA launched the trade mitigation package aimed at assisting farmers suffering from damage due to unjustified trade retaliation by foreign nations. Producers of certain commodities can now sign up for the Market Facilitation Program (MFP).

USDA provided details in August of the programs to be employed. USDA’s Farm Service Agency (FSA) will administer the Market Facilitation Program (MFP) to provide payments to corn, cotton, dairy, hog, sorghum, soybean, and wheat producers. An announcement about further payments will be made in the coming months, if warranted. USDA is currently working to determine how to address market disruptions for producers of almonds and sweet cherries.

The sign-up period for MFP is now open and runs through Jan. 15, 2019, with information and instructions provided at MFP provides payments to cotton, corn, dairy, hog, sorghum, soybean, and wheat producers who have been significantly impacted by actions of foreign governments resulting in the loss of traditional exports. Eligible producers should apply after harvest is complete, as payments will only be issued once production is reported.

A payment will be issued on 50 percent of the producer’s total production, multiplied by the MFP rate for a specific commodity. A second payment period, if warranted, will be determined by the USDA.

Commodity Initial Payment Rate Est. Initial Payment** (in $1,000s)

Cotton                         $0.06/lb.                             $276,900 Corn                            $0.01/bu.                             $96,000 Dairy (milk)                  $0.12/cwt.                           $127,400 Pork (hogs)                 $8.00/head                         $290,300 Soybeans                    $1.65/bu.                             $3,629,700 Sorghum                     $0.86/bu.                            $156,800 Wheat                         $0.14/bu.                              $119,200 Total                                                                         $4,696,300

**Initial payment rate on 50% of production MFP payments are limited to a combined $125,000 for corn, cotton, sorghum, soybeans, and wheat capped per person or legal entity.

MFP payments are also limited to a combined $125,000 for dairy and hog producers. Applicants must also have an average adjusted gross income for tax years 2014, 2015, and 2016 of less than $900,000. Applicants must also comply with the provisions of the Highly Erodible Land and Wetland Conservation regulations.

Producers of corn, cotton, sorghum, soybeans, wheat, dairy, hogs, shelled almonds, and fresh sweet cherries are eligible for the Market Facilitation Program

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