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Arizona Farmers Still Waiting On a Farm Bill

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Friday, January 10, 2014   

PHOENIX – Both the U.S. House and Senate are back to work, and the Farm Bill is tops on their to do list.

The last five-year Farm Bill expired in September, and although the House and Senate have passed new bills, they have yet to be reconciled.

Arizona Farm Bureau President Kevin Rogers says one of the biggest challenges facing farmers is the uncertainly of the Federal Crop Insurance program.

He says the political gridlock is delaying planting and financing decisions for major crops such as cotton.

"As we look at the world price and we look at (a) worst-case scenario, if China starts dumping cotton on the market, is there going to be any kind of a safety net to help keep that industry in business?” he questions. “If we don't know what that is, chances are acres are going to drastically reduce."

Rogers adds Congress needs to finish the Farm Bill within the next couple of weeks to avoid economic disruption, but he believes they are, in his words, very close to getting this thing done.

Agriculture contributes $12 billion a year to the Arizona economy.

One point of contention is how much to cut from the Supplemental Nutrition Assistance Program or SNAP, also known as Food Stamps.

The Senate approved $4 billion in SNAP cuts, while the House wants a $39 billion cut over 10 years.

Rogers says state and local governments and agencies need to know what kind of funding to expect for SNAP, as well as the school breakfast and lunch programs.

"That part of the Farm Bill delay keeps all of our food banks and those people who disseminate those dollars to the public, in those food boxes and things like that,” he says. “It keeps them all in limbo, because they're not sure what kind of resources they're going to have to move forward with."

There are reports that a potential compromise could trim $8 billion from SNAP within a decade.

Rogers says failure to pass a new Farm Bill will also lead to food price instability, especially for dairy products.

The milk price support system would revert back to the original law from the 1930s, which Rogers describes as Draconian.

"It would force the government to step in and buy milk off the market at a very inflated price,” he explains. “You know, technology today has allowed us to produce so much more for less money, but if they don't get this thing done, the government would be forced to buy product, and the price would jump very drastically."

Rogers says the public has been through enough stress with the economy over the past few years, and doesn't need to see major swings in food prices that would result from the lack of a new Farm Bill.





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