Ben Rowe, National Affairs Coordinator

Just shy of a month ago, Congress passed the CARES Act to provide stimulus to the American economy and provide resources for individuals and businesses to weather the pandemic. Billions of dollars in farm aid were included in the package, and USDA was tasked with building out a program to keep farms viable, maintain the integrity of our food supply chain, and ensure every American continues to receive and have access to the food they need.

On April 17, the U.S. Secretary of Agriculture Sonny Perdue announced the new program, titled The Coronavirus Food Assistance Program (CFAP). CFAP will use the funding and authorities provided in the Coronavirus Aid, Relief, and Economic Security Act (CARES), the Families First Coronavirus Response Act (FFCRA), and other USDA existing authorities. The program includes two major elements to achieve these goals: direct support to farmers, and direct purchase and distribution of farm products. Let’s dig into what it provides for producers and consumers.

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One of the latest developments in the COVID-19 crisis is a warning that the nation’s meat-packing plants are struggling to remain open as the entire U.S. food chain adapts to a massive shift in consumption habits.

“When a consumer walks into a grocery store and sees the shelves half-filled, that’s certainly worrisome,” said Robert Harper, grain marketing manager for Virginia Farm Bureau Federation. “But farmers are trying to look at it this way: Those shelves are half-full. Our system is still working, and it’s working under stresses that it’s never been put under before.”

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American Farm Bureau Federation President Zippy Duvall will join the Great American Economic Revival Industry Group focused on agriculture. President Donald Trump created 17 groups to help shape plans to reopen the economy following the COVID-19 pandemic.

AFBF President Zippy Duvall said:

“I’m honored to have been chosen by President Trump to join the Great Economic Revival Industry group focusing on agriculture. America’s farmers and ranchers are deeply committed to feeding the nation during this crisis, but there are mounting challenges threatening their ability to keep putting food on Americans’ tables.

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To help alleviate financial pressures its members are facing due to the coronavirus, Virginia Farm Bureau Mutual Insurance Co. has approved a premium credit for its personal automobile policyholders.

VFBMIC recognizes that Virginians are driving less since Gov. Ralph Northam restricted non-essential businesses and issued a stay-at-home order in March. The company has seen a reduction in auto claims due to fewer people driving. With these state restrictions not expected to be lifted for several more weeks, the company anticipates auto losses will remain low through the end of May.

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Check out this week’s Merchandiser Minute.

Virginia Cooperative Extension specialists have long offered hands-on educational workshops to share agricultural and consumer information with farmers and the public. But in the age of COVID-19, they’ve had to switch to virtual workshops.

“Virginia Cooperative Extension is rooted in a history of helping our communities thrive, no matter what the challenge,” said Dan Goerlich, Extension associate director for economy, community and food at Virginia Tech. “This means not only adapting our programs to meet needs but also doing whatever else in our communities needs to be done. For example, we have agents sewing medical masks, helping in food pantries and setting up online reading rooms for kids.”

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Every March, speculators and commodity traders highly anticipate the release of the U.S. Department of Agriculture’s annual prospective plantings reports.

The intentional acreage reports––the findings of annual surveys asking U.S. farmers how many acres of specific crops they intend to plant––were merged into a comprehensive report and released March 31. The report predicts a boost in planted corn and soybean acreage this year, with a slight decrease for wheat acreage.

The annual planting report helps speculators predict how many acres of crops will be planted and assists commodity traders in setting prices. However, data from the report is likely inaccurate since farmers submitted surveys in early March, before the coronavirus pandemic became a national emergency.

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As COVID-19 continues to affect many U.S. industries, Virginia farmers are taking extra precautions to protect the health and safety of their employees.

In accordance with health and safety measures being outlined by many U.S. agencies, Virginia farmowners are encouraging their employees to increase handwashing and sanitization practices to avoid falling ill. Additionally, farmworkers are being asked to limit their trips to crowded public places to help avoid inadvertently tracking the virus onto farms.

“Farmers are mindful of how quickly COVID-19 could devastate their businesses and communities, and even one case is too many on the farm,” said Ben Rowe, Virginia Farm Bureau Federation national affairs coordinator. “Fortunately, farmers are uniquely prepared to address the health and safety needs presented by this pandemic. Handwashing, sterilization biosecurity and hygiene training for farmworkers is already standard for U.S. farms to meet our nation’s strict food safety standards.”

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From supply chain interruptions to slowed revenue streams, farmers are facing myriad challenges caused by the coronavirus pandemic.

Markets that were previously profitable are now pinched as businesses and organizations modify their operations to comply with guidelines to stem the spread of COVID-19.

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