The announcement Friday by the USDA that its deferring accrual of interest for all producer’s spring 2019 crop year insurance premiums while helpful is only a drop in the bucket. Minnesota Corn Grower’s Association President Brian Thalmann says while it’s appreciated, only delays the cost of the premium while more help is needed for farmers.
He says while the administration is trying to help farmers with deferral of interest on crop insurance and market facilitation payments, those are just a band aid approach to the economic problems facing farmers and ranchers.
Thalmann says U.S. agriculture needs solid market agreements that pay off for producers and there needs to be a push for both a bilateral trade pact with Japan as well as ratification of the USMCA deal.
Under USDA’s Friday announcement, crop insurance policies that do not have the premium paid by November 30 will have interest attached on December 1, calculated from the date of the premium billing notice.
