The American Farm Bureau Federation’s public policy agenda shares much in common with the Trump administration on issues like regulatory reform and tax reform. But even harder issues such as farm labor and trade should present opportunities to engage with Congress and the White House, alike, AFBF President Zippy Duvall told participants at the USDA’s Agricultural Outlook Forum.
Duvall, who farms in Georgia, said America’s farmers and ranchers have to make their voices heard on “all of these issues.”
Duvall expressed optimism over President Trump’s nomination of former Georgia Governor Sonny Perdue to lead the Agriculture Department.
“You couldn’t ask for a finer gentleman or a stronger champion for our farmers and ranchers,” Duvall said. “I believe he could be one of the all-time great secretaries of agriculture. And we need him confirmed so he can get to work.”
Duvall called for a measured regulatory regime.
“We should not allow regulations to strangle our economy or strangle the innovation and optimism our nation needs,” he said. “Many of our farmers are at a breaking point in terms of generating income to cover the cost of production. Increased regulation raises that cost of production, and farmers and ranchers simply cannot bear that burden in today’s ag economy.”
Duvall cited the EPA’s Waters of the U.S. rule as an example of federal overreach.
The AFBF president said tax reform is another area where Farm Bureau sees opportunities for positive changes.
“Lowering the business tax rate will go a long way toward helping our economy. But we can’t stop there,” he said. “We need a tax code that recognizes the financial challenges farmers and ranchers face–a tax code that encourages the next generation to stay in agriculture.”
Duvall recommended caution on immigration policy.
“If we can’t get the labor to harvest our crops here in the U.S., we will be importing more fruits and vegetables and other commodities from other countries,” he said. “Farm Bureau supports protecting our borders. But we can’t just do enforcement and leave our farmers holding the bag. We also need a way for the workers who have been on our farms for years and know their way around a farm to get an adjustment in status and stay here, helping us feed America with American-grown food.”
Trade–a source of roughly one-quarter of all U.S. farm production–remains a matter of serious concern to farmers and ranchers. What’s more, Duvall reminded his audience, Mexico remains one of America’s largest trading partners. He said AFBF would work to address concerns in NAFTA and TPP, and announced that AFBF would be working with other farm groups to outline how Congress and the administration might address those issues and develop a plan to continue expanding trade.
Agricultural trade policy is yet another reason why Agriculture Secretary nominee Perdue needs to be confirmed, Duvall added.
Duvall said that as the nation begins consideration of the 2018 Farm Bill, U.S. agriculture is in a much different place than it was in 2014, when Congress drafted the last version of the measure.
“Commodity prices are obviously much lower,” Duvall said. “Farm incomes are down. Farmers have pulled hard on their cash reserves and cut back on buying new equipment.”
Money remains the greatest challenge facing the new farm bill.
“The Congressional Budget Office baseline for the farm bill has gone down,” Duvall said. “It will be very challenging to find the money to make adjustments in areas such as dairy supports and ARC payments. But we are going to keep reminding Congress and the White House that our farm economy is hurting. Agriculture has given back when we can. In fact, the last farm bill made $23 billion in cuts.”
American agriculture has only asked for help when it was needed, Duvall said, and “Now,” he added, “we need it.”
No, we don’t need immigrants to farm, and that BS line is the poorest excuse I’ve heard to date. Farms that hired illegals to begin with, did so for profits, plain and simple. Unfortunately, people like to eat cheap, but they will pay $800 for a new phone. Equipment, fuel, taxes, regulations, labor costs all steadily increase, but agricultural products need to remain cheap. Forget buying new equipment, when a tractor costs as much as a dang farm, and a new truck costs as much as a small house. Every tool in agriculture production steadily increases in price, but tax breaks are what’s supposed to incentivize people to remain in the ag business? That will only benefit the large operations, and the little guys will continue to disappear.
Trade with countries that can import their lower cost products forces producers in the US to see lower margins. Thus driving fewer to want to stay in the ag business.
The common consumer has no clue how much actual work goes in to get those products they like to nitpick at the grocery store.
I just grow stuff for myself, family and even some neighbors, but I can appreciate how hard and costly it is to get good stuff to sell.
God forbid if there are any blemishes on your crops – since American consumers are so vain they wouldn’t deign to eat a leaf of lettuce that wasn’t absolutely pristine.
Shereen – I agree with much of this. Your evaluation of the disconnect between the public and agriculture is accurate and I can’t argue with the cost/price squeeze facing agricultural producers of all sizes. I am not, however, so willing to draw lines between small and large farmers. Margins are paper thin and both are affected. Larger farms might have more equity, but having to dip into that is an equally scary prospect for them. 98% of all farms are family owned – big or small.
Farm labor has fallen into a crisis situation for many. These include labor intensive production like dairy, fruits, vegetables and others. Since farmers cannot pass along their costs of production there is no way to recover high labor costs. I have recently talked to one vegetable grower who tries to use the woefully insufficient H2A program for immigrant labor. He is required to advertise locally for labor. In several years of trying, he’s had zero takers.He struggles along with H2A, a system that still requires use of the US Postal Service in a digital age.
We need a streamlined and effective guest worker program to legally bring workers in for specific purposes. Since the vast majority of illegal immigrants cross the border for a job, this should have the effect of reducing the illegal entry problem, allow law enforcement to focus on possible bad actors.
I am optimistic that we can make this work, given President’s Trumps comments in recent days. Thanks for commenting.
I would hope the TFB would also focus on Ag property taxes as an area for farmers and ranchers to comment on. Our annual Ag property taxes are continuing to increase just about every year with very little transparency, understanding, and knowledge by farmers and ranchers of how the Ag appraisal process works.
And if you ever protest your Ag Appraisal you will be subject to a legal nightmare with dispositions, interrogatives, and inspections by the local County Appraisal District. This process is broken, out-of-date, and not fair.