USDA Announces Assistance to Producers
The United States Department of Agriculture (USDA) recently announced a $19 billion Coronavirus Food Assistance Program (CFAP) to provide relief to producers in response to the pandemic. The program involves two parts, direct payments to producers and food purchases. USDA will provide $16 billion of that money in direct payments to farmers and ranchers including:
- $9.6 billion for the livestock industry
- $5.1 billion for cattle
- $2.9 billion for dairy
- $1.6 billion for hogs
- $3.9 billion for row crop producers
- $2.1 billion for specialty crops producers
- $500 million for other crops
The remaining $3 billion will be used to purchase agricultural products to provide for those in need. USDA will work with local and regional food distributors to deliver food as they try to expedite the ability for entities to access this program.
Producers should expect to see this money toward the end of May or early June.
Important Updates on the Paycheck Protection Program
Congress is soon expected to announce an additional government assistance COVID-19 deal. The bill will replenish the Paycheck Protection Program (PPP) dollars that were exhausted last week. The PPP amount could be at least $300 billion, and the agreement also includes an additional $50 billion for the Economic Injury Disaster Loan (EIDL) program, $75 billion for hospitals, and $25 billion for coronavirus testing.
High Plains Farm Credit is here to assist you and would welcome the opportunity to process your PPP application. You can visit our website to fill out your application or contact your loan officer or local branch with any questions.