The significant downturn in portions of the ag sector has more than a few stakeholders in a pessimistic and anxious mood.
Ag markets have a clear history of ups and downs, with some extreme volatility at both ends of the price spectrum. Some farmers can’t understand why Congress can’t get a new and better safety net farm bill accomplished when it is so obvious to them legislation is needed.
Southern Ag Today writers (in this case, Dr. Joe Outlaw and Dr. Bart Fischer) take on this topic in a personal and interesting manner. Link to their report.
Meanwhile, House Ag ranking member David Scott (D-Ga.) wrote a letter (link) to rank-and-file members on options to pass a farm bill. Scott suggested considering a two-year ad hoc package to bolster the farm safety net for 2024 and 2025 crop years if a new farm bill can’t pass this year. Some agriculture groups are pushing for such an ad hoc package, along with a one-year farm bill extension, likely through the appropriations process. Agriculture groups argue that another extension would leave farmers with an outdated safety net not reflective of current economic conditions.
Of note: House Ag Chair GT Thompson (R-Pa.) has opposed Speaker Mike Johnson’s (R-La.) plan to attach a farm bill extension to a continuing resolution (CR), according to Scott’s letter. Thompson believes there is still a path to passing a full five-year farm bill this year, signaling confidence in achieving a bipartisan agreement before the end of Congress. Scott suggested the bill could be tied to must-pass legislation like the National Defense Authorization Act or a year-end omnibus, and emphasized that any final bill must be bipartisan to pass through the Democratic Senate and White House.