The Agriculture Risk Coverage (ARC) risk management program and crop insurance have been critical to helping corn farmers during a weak farm economy and should be maintained in the next farm bill, National Corn Growers Association President Wesley Spurlock testified today at House Agriculture General Farm Commodities and Risk Management Subcommittee hearing.
“Together, crop insurance and the ARC-County program have helped many farmers weather the storm of a weak farm economy and avoid bankruptcy,” said Spurlock, who raises corn, cotton, wheat, sorghum, and beef cattle in the Texas Panhandle.
Spurlock noted that corn prices have averaged below $4.00 per bushel since 2013, and are projected to average just $3.40 this marketing year.
“At that price, few corn farmers have a positive net income. Meanwhile, we face a lot of uncertainty about federal policy on renewable fuel and trade, and how that will impact our bottom lines,” testified Spurlock. “We must work together to rebuild a strong farm economy – but in the meantime, strong farm bill programs are essential to support farmers. ARC was designed to be a market-based program that provides support only when needed, and now is that time. By and large, the program is working as intended.”
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