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Monday, August 26, 2019

NFU President Calls MFP Trade Aid 'Dangerous.’

Trade relief payments to farmers via the Trump administration's Market Facilitation Program (MFP) should have been granted by Congress, Roger Johnson, president of the National Farmers Union, told reporters. In July, the Trump administration unveiled a second aid package providing $16 billion more in federal aid for agriculture – including $14.5 billion in payments to farmers – following an 2018 trade mitigation program totaling $12 billion in aid.

But rather than basing funds on crop type, MFP 2 sets a per-county rate based on the blend of crops grown in the area, with payments ranging from $15 to $150 an acre, which critics say will cause vast disparities in aid.

“It would have made more sense for the money to come through Congress,” Johnson said during a media roundtable in Washington. He said the action is a “dangerous thing USDA did,” expressing concern it could have on the next U.S. farm bill. The group issued a statement when USDA detailed the MFP 2 effort, expressing disappointment that the agency did not include any incentives to reduce production.

Johnson said Trump's "strategy of constant escalation and antagonism" has "just made things worse." America's family farmers and ranchers "cannot withstand this kind of pressure much longer,” he observed. Despite NFU’s call, no limitations on production are expected to be implemented.