On Friday, the USDA announced the details of a coronavirus aid package for farmers and ranchers. The Coronavirus Food Assistance Program includes $16 billion in direct support to farmers and ranchers and $3 billion to purchase fresh produce, dairy and meat for food banks. Direct assistance for farmers and ranchers includes $9.6 billion for the livestock industry, $3.9 billion for row crop producers, $2.1 billion for specialty crop producers and $500 million for other crops. According to North Dakota Senator John Hoeven, farmers and ranchers will receive a single payment using two calculations. For price losses from January 1 through April 15, producers will be paid for 85 percent of the price loss. The second part of the payment are expected losses from April 15 through the next two quarters, covering 30 percent of expected losses. The payment limit is $125,000 per commodity with an overall limit of $250,000 per individual or entity. To qualify for the program, commodities must have experienced a five percent price decrease between January and April. Hoeven said USDA will begin sign-up for the new program in early May and get payments to producers out by the end of May or early June.
