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Rumors USDA will delay second round of trade aid
The president of the Minnesota Soybean Growers expects the USDA to follow through with a second round of trade aid despite rumors the White House has delayed the payments.
Michael Petefish of Claremont says he discussed the Market Facilitation Program with a USDA official at the American Soybean Association winter meeting in St. Louis last week.
“And he indicated that they are all on board to provide the second half of the payment. He described it as sort of a structural or logistical holdup (that) needs to go through OMB and through the Department of Ag before it can be released. But they claim they’re on board and the President is committed to providing that second half.”
There are reports President Trump is holding up approval of the payments because of concerns over its cost and to see if the trade issues with China get resolved.
“For farmers who have already sold their soybeans and don’t have storage, a rise in the market or a smoothing of relations with China doesn’t benefit (them). The damage is already done, and it’s well-documented that (the damage) is around $2 dollars per bushel. So certainly providing the full $1.65 is the most sensible thing for the government to do at this point.”
Brownfield has reached out to USDA for confirmation but hasn’t heard back.
Earlier this month, Ag Secretary Sonny Perdue said the Office of Management and Budget (OMB) was deliberating on a second round of trade aid.
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