There are lots of goings-on in agriculture this week. Of particular interest is the approval of the Average Crop Revenue (ACR) program, as the Senate Agriculture Committee continues with their markup of the 2007 farm bill.
The ACR bases subsidy payments on average state revenue for each commodity, which are only paid when the state revenue falls below a state guarantee. This is definitely different from the current subsidy system, but critics of the new bill say it's not different enough. According to an article by Elizabeth Becker in the Washington Post, the proposed bill again puts small farms at a disadvantage. 'There will be no deep reforms of farm policy as long as the welfare of the poor is tied to the welfare of corporate farmers,' Becker wrote. (Read more at www.farmpolicy.com.)
Continue to watch closely, a new farm bill will soon take effect—we'll continue to watch and report new developments.