Weekly Food & Agriculture Update 5.23
WEEKLY FOOD & AGRICULTURE UPDATE
May 23, 2022
- Big Picture Outlook
- The Week Ahead
- MTA in Action
- A Quick Look Back
- Contact the Team
Big Picture Overview
Ukraine Supplemental Spending
On Thursday, the Senate passed the $40 billion supplemental spending bill to address the war in Ukraine, with an 86-11 vote, and it was signed into law by President Biden over the weekend. In addition to military support, the new law includes $4.3 billion for USAID for international food and humanitarian assistance, as well as $20 million to replenish USDA’s Bill Emerson Humanitarian Trust (BEHT). It does not include specific provisions to incentivize domestic production of food crops. Earlier this month, President Biden and Secretary Vilsack announced efforts to expand crop insurance eligibility for double cropping, to increase technical assistance and streamlining of application processes for programs that encourage precision agriculture and nutrient management, and to double funding for the grant program to encourage innovation in domestic fertilizer production.
Infant Formula Shortage
Last week, the President announced additional actions to increase the supply of baby formula in the U.S. and onto store shelves in the wake of the formula shortage caused by a manufacturer’s recall and temporary plant closure. The White House actions include invoking the Defense Production Act (DPA) and launching Operation Fly Formula. DPA will help ensure that manufacturers have the necessary ingredients to make safe, healthy infant formula domestically by requiring suppliers to prioritize and direct needed resources to infant formula production. Operation Fly Formula aims to speed the import of infant formula and ensure it is available in stores as quickly as possible. This is a multi-agency effort between the Departments of Health and Human Services, Agriculture, Defense, and the Food and Drug Administration. Additionally, the FDA and Abbott Nutrition are working on next steps to reopen the facility in Sturgis, Michigan that was closed due to bacterial contamination concerns.
House Agriculture Committee Markup
The House Agriculture Committee on Wednesday advanced a package of legislation, including a number of bills on conservation and climate. H.R. 7764 would direct the Secretary of Agriculture to provide additional payments under the Environmental Quality Incentives Program (EQIP) for implementation of a nutrient management practices. The PRECISE Act (H.R. 2518) would increase cost share and practice payments under EQIP and Conservation Stewardship Program for the purchase of precision agriculture equipment and systems. The SUSTAINS’ Act (H.R. 2606) authorizes specific accounts at USDA that allow for private sector donations and incentivizes private funding by awarding sponsorship of targeted conservation initiatives.
Indo-Pacific Economic Framework
Today, the U.S. announced the Indo-Pacific Economic Framework (IPEF) with Asian partners including Australia, Japan, and the Republic of Korea. It is a broad plan designed to help expand U.S. economic leadership in the Indo-Pacific region. The group wants to set international rules on the digital economy, supply chains, decarbonization and regulations applying to workers. Biden faces political pressure from both the left and right in the U.S. to avoid free trade deals, such as the IPEF. U.S. officials have been careful to avoid mentioning China in discussions about the IPEF and has denied that it’s a “closed” group, as China has claimed.
The Week Ahead
Tuesday, May 24
- 10:00AM EST: Senate Committee on Energy and Natural Resources holds a hearing to examine the President’s proposed budget request for fiscal year 2023 for the Forest Service
- 12:00PM EST: House Select Committee on the Climate Crisis hold a hearing to discuss Climate Smart from Farm to Fork: Building an Affordable and Resilient Food Supply Chain
Wednesday, May 25
- 11:00AM EST: House Energy and Commerce Subcommittee on Oversight and Investigations holds a hearing to discuss “Formula Safety and Supply: Protecting the Health of America’s Babies”
- 1:00PM EST: House Agriculture Subcommittee on Conservation and Forestry holds a hearing to discuss “Supporting Careers in Conservation: Workforce Training, Education, and Job Opportunities”
- 3:00PM EST: Senate Finance Subcommittee on International Trade, Customs, and Global Competitiveness holds a hearing to examine supply chain resiliency, focusing on alleviating backlogs and strengthening long-term security
Thursday, May 26
- 10:00AM EST: Senate Committee on Agriculture, Nutrition, and Forestry holds a hearing to examine opportunities and challenges facing farmers, families, and rural communities
To see a full list of House and Senate Committee business, visit here.
MTA In Action
Michael Torrey – Kansas State University Commencement Speech
Making a plan—and evaluating it regularly—is increasingly important given the rapid pace of change we are facing. In his commencement speech before the Kansas State University College of Agriculture’s Class of 2022, Michael Torrey highlighted the importance of planning as graduates seek to achieve personal short and long-term goals.
Tara Smith – Joined Agri-Pulse Newsmakers on the Emergency Relief Fund
With the Department of Agriculture announcing implementation of a $6 billion program aimed at helping producers who suffered disasters in 2020 and 2021, MTA’s own Tara Smith joined fellow crop insurance policy consultant Tom Sell of Combest, Sell, and Associates to discuss the implications of disasters on the crop insurance program, the prospects of permanent disaster relief legislation and their concerns about actuarial soundness.
A Quick Look Back
Contact the Team
Feel free to contact Michael Torrey, Tara Smith, Danielle Nelson, Cassandra Kuball, James Glueck, Barbara Patterson, Trey Forsyth, Julie McClure, Perry Harlow, or Tracy Boyle with any questions or comments