WASHINGTON, D.C. – Today, U.S. Senator Deb Fischer (R-Neb.), a member of the Senate Agriculture Committee, released the following statement after the U.S. Department of Agriculture (USDA) announced the details of the Coronavirus Food Assistance Program (CFAP), which will provide up to $16 billion in direct aid to farmers and ranchers impacted by COVID-19:
“Agriculture is the economic engine of Nebraska, and a strong ag economy benefits all Nebraskans. This assistance will provide relief for our hardworking families and businesses who are feeding the world during this difficult time. I thank President Trump for his leadership to help protect our farmers and ranchers,” said Senator Fischer.
More information on the Coronavirus Food Assistance Program:
The President and Secretary Perdue outlined the $16 billion in direct payments through CFAP, saying they are for corn, cotton, soybean, cattle, dairy, pork and more.
CFAP provides vital financial assistance to producers of agricultural commodities who have suffered a five-percent-or-greater price decline due to COVID-19 and face additional significant marketing costs as a result of lower demand, surplus production, and disruptions to shipping patterns and the orderly marketing of commodities.
Farmers and ranchers will receive direct support, drawn from two possible funding sources. The first source of funding is $9.5 billion in appropriated funding provided in the Coronavirus Aid, Relief, and Economic Stability (CARES) Act to compensate farmers for losses due to price declines that occurred between mid-January 2020, and mid-April 2020 and provides support for specialty crops for product that had been shipped from the farm between the same time period but subsequently spoiled due to loss of marketing channels. The second funding source uses the Commodity Credit Corporation Charter Act to compensate producers for $6.5 billion in losses due to on-going market disruptions.
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