Trade And Trade Aid Officials Testify At Hearing

Trade Aid 2

Top U.S. Trade officials and USDA’s chief economist testified last week about trade and trade aid payments on Capitol Hill in front of the Senate Ag Committee.

Farmers don’t have all of the specifics yet on the new round of MFP payments. USDA’s Chief Agricultural Economist Robert Johansson is not releasing payment amounts, saying it’s in the Office of Management and Budget for now.

However, the Senate Agriculture Committee is asking Johansson for more clarity on MFP payments. Johansson says the goal is to not distort planting decisions, especially since soybean payments were higher for trade aid the first time.

Members of the Committee also questioned if there are enough funds in the Commodity Credit Corporation Charter Act to fund $16 billion worth of trade aid. Farm Journal Washington Correspondents say generally, CCC funding is not a problem, but the program can borrow from the U.S. Treasury to Finance programs.

Click on the video for more: