U.S. Secretary of Agriculture Sonny Perdue on Thursday announced further details of the $16 billion package aimed at supporting American agricultural producers.
Included in the $16 billion package is up to $1.4 billion for USDA’s Food Purchase and Distribution Program (FPDP) through the Agricultural Marketing Service to purchase surplus commodities affected by trade retaliation. According to the USDA press release, this includes up to $432 million of poultry for distribution by the Food and Nutrition Service (FNS) to food banks, schools, and other outlets serving low-income individuals. Of that $432 million estimate, the breakdown of chicken, turkey, and eggs is not detailed.
AMS will buy affected products in four phases, starting after October 1, 2019 with deliveries beginning in January 2020. The products purchased can be adjusted between phases to accommodate changes due to: growing conditions; product availability; market conditions; trade negotiation status; and program capacity.
In May, President Trump directed Secretary Perdue to craft a relief strategy in line with the estimated impacts of unjustified retaliatory tariffs on U.S. agricultural goods and other trade disruptions. The Market Facilitation Program (MFP), Food Purchase and Distribution Program (FPDP), and Agricultural Trade Promotion Program (ATP) will assist agricultural producers while President Trump works to address long-standing market access barriers.
“China and other nations have not played by the rules for a long time, and President Trump is the first President to stand up to them and send a clear message that the United States will no longer tolerate unfair trade practices,” Secretary Perdue said. “The details we announced today ensure farmers will not stand alone in facing unjustified retaliatory tariffs while President Trump continues working to solidify better and stronger trade deals around the globe.”
More information is available on the USDA website by clicking here.