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Friday, January 19, 2024

In their first 3 years, Biden has sent as much federal money to farmers as did Trump, who likes to talk about his largesse

Politico illustration
Former president Donald Trump "makes hay in farm states like Iowa by reminding farmers of how much money the federal government paid them during his presidency," but President Biden has delivered about the same in the first three years of their presidencies: $57 billion.

So reports Garrett Downs of Politico's Weekly Agriculture, adding, "Nearly half of Trump’s total $109 billion in direct payments were delivered in his final year, 2020." That's when the Department of Agriculture "paid farmers more than $52 billion, an unprecedented sum since USDA began recording farm payment data in 1933. Those tallies don’t include billions in other types of farm support, like crop insurance and loan financing — traditionally the largest types of ag subsidies."

Applying other measures, "Biden has been better for farmers than Trump," Downs writes. "Net farm income has actually gone up since the Democrat entered the White House. On average, net farm income has totaled $165 billion between 2021 and 2023, compared to $94 billion between 2017 and 2019. Farm income reached a record high of nearly $189 billion in 2022. And while it is projected to drop off in 2023 (USDA is still tallying receipts from December 2023), it remains above the 20-year average for receipts."

Looking ahead, Downs notes that Trump is proposing "a universal tariff on nearly all goods," while Biden "is telling farmers that his administration is working to distribute the recent surge in ag profits to farmers across the spectrum, not just the largest ag conglomerates." Joe Glauber, former chief USDA economist, told Downs that Trump’s proposed tariff could bring another trade war and “really hurt U.S. agriculture.”

When that happened under Trump, he used the USDA's Commodity Credit Corp. to send $28 billion in relief to farmers, but Glauber said farmers shouldn't expect another bailout. “I think that’s taking a big leap of faith,” he said. “Those were big, extraordinary payments, and I think it may be naive to think that they would be there year in and year out.”

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