By Jamie Martin
As harvest season progresses, many US farmers are waiting anxiously for news of a proposed federal bailout worth up to $15 billion. The plan aims to ease the financial burden caused by trade conflicts and high input costs that have weakened farm profitability.
Farmers like Wisconsin’s Matt Rehberg, Vice President of the Wisconsin Soybean Association, say the aid is welcome but temporary. “We want stable markets, not just bailout checks,” he said, adding that losing China — a key soybean buyer — has deeply affected farm income.
According to the USDA, corn prices have dropped from $7 per bushel in 2022 to about $4 this year, while fertilizer, fuel, and labour costs have sharply increased. Surveys show that two-thirds of farmers are more concerned about their finances than a year ago.
The Cato Institute reports that the previous trade war reduced US agricultural exports by $27 billion, with soybeans accounting for 71% of that loss. Experts like Jonathan Coppess of the University of Illinois caution that more bailouts won’t rebuild lost export markets or stabilize costs.
Regional reports from the Federal Reserve highlight reduced farm incomes and rising bankruptcies in states like Minnesota, North Dakota, and Wisconsin. Despite strong yields, many farmers are barely breaking even, facing what Nebraska Farmers Union President John Hansen calls a “bittersweet harvest.”
For now, farmers hope federal aid can help them endure another tough season, even as they call for lasting market solutions rather than short-term fixes.
Photo Credit: gettyimages-creischl
Categories: National