Close

2022-09-24 00:18:18 By : Ms. Vivi ShangGuan

Delivered every Monday by 10 a.m., Weekly Agriculture examines the latest news in agriculture and food politics and policy.

Delivered every Monday by 10 a.m., Weekly Agriculture examines the latest news in agriculture and food politics and policy.

By signing up you agree to allow POLITICO to collect your user information and use it to better recommend content to you, send you email newsletters or updates from POLITICO, and share insights based on aggregated user information. You further agree to our privacy policy and terms of service. You can unsubscribe at any time and can contact us here. This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

You will now start receiving email updates

By signing up you agree to allow POLITICO to collect your user information and use it to better recommend content to you, send you email newsletters or updates from POLITICO, and share insights based on aggregated user information. You further agree to our privacy policy and terms of service. You can unsubscribe at any time and can contact us here. This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

By GARRETT DOWNS and MEREDITH LEE HILL 

— A bill to battle rising food prices could see a vote in the House this week, as Democrats continue to grapple with addressing record-setting food inflation before the midterms. Top Republicans are pushing back, though, arguing the legislation doesn’t do enough.  

— A pair of top House Democrats is pressing the Federal Trade Commission to do more to crack down on infant formula price-gouging in online marketplaces amid ongoing shortages.  

— Agriculture economists are warning that a drop in net cash farm income is imminent unless lawmakers and USDA facilitate an infusion of ad-hoc assistance. 

HAPPY MONDAY, JUNE 13. Welcome to Morning Ag. I’m your new host, Garrett Downs. Thank you to my wonderful colleagues Meredith Lee, Hannah Farrow and Valerie Yurk for keeping MA a must-read in the past few weeks. Tips? Send them along to [email protected] , [email protected] and [email protected] , and follow us @MorningAg.

HAPPENING 9/29 - POLITICO’S AI & TECH SUMMIT: Technology is constantly evolving and so are the politics and policies shaping and regulating it. Join POLITICO for the 2022 AI & Tech summit to get an insider look at the pressing policy and political issues shaping tech, and how Washington interacts with the tech sector. The summit will bring together lawmakers, federal regulators, tech executives, tech policy experts and consumer advocates to dig into the intersection of tech, politics, regulation and innovation, and identify opportunities, risks and challenges ahead. REGISTER FOR THE SUMMIT HERE.

Want to receive this newsletter every weekday? Subscribe to POLITICO Pro. You’ll also receive daily policy news and other intelligence you need to act on the day’s biggest stories.

AG INFLATION BILL ADVANCES: The House Rules Committee on Monday will consider a bill to battle food and fuel inflation and meat industry consolidation, signaling the full chamber could vote on it as early as this week.

What’s in it? The omnibus appropriations bill known as the Lower Food and Fuel Costs Act would create a meat and poultry special investigator within the USDA, create a food supply chain task force, authorize year-round sale of E15 grade ethanol fuel, provide subsidies to small meat producers and adjust conservation programs to include precision agriculture.

The package is a smorgasbord of ag legislation before Congress, put together by House Democrats in an attempt to act on record-setting inflation roiling consumers and crack down on meat industry consolidation.

The outlook: Many of the included bills passed out of the House Ag Committee in a bipartisan fashion, largely by voice vote or unanimous consent.

A major outlier, however, is the Meat and Poultry Special Investigator Act, which cleared the panel on a mostly party-line 27-21 vote.

Introduced by Rep. Abigail Spanberger (D-Va.), the bill would create a new office within USDA to investigate complaints of anticompetitive behavior under the Packers and Stockyards Act — a 1921 law to regulate the meat and livestock industry. A bipartisan companion measure has been introduced in the Senate by Sens. Jon Tester (D-Mont.), Chuck Grassley (R-Iowa) and Mike Rounds (R-S.D.).

Republican and industry blowback: The inclusion of the investigator bill could make passage of the omnibus a partisan battle, despite many of the included bills having wide bipartisan support on their own.

Ag Committee Ranking Member G.T. Thompson (R-Pa.) last week called the bill a “charade” in a statement.

The National Cattlemen's Beef Association and the North American Meat Institute, two powerful lobbies on behalf of the meat industry, also oppose the investigator bill.

Not a Republican monolith: Some Republicans have become increasingly supportive of additional oversight in the meat sector.

Rep. Dusty Johnson (R-S.D.), whose Butcher Block Act is included in the omnibus package, voted to advance the special investigator bill from committee in May, and the Senate companion measure has six Republican cosponsors.

Also on the Hill this week: The House Ag Committee on Tuesday will hold a farm bill hearing on non-SNAP nutrition programs and will dig into the role of climate research in supporting agriculture resiliency on Wednesday.

Meanwhile, Senate Ag on Friday will hold its second field hearing for the 2023 farm bill at Arkansas State University in Jonesboro, Arkansas, the home state of Ranking Member John Boozman (R-Ark.).

A message from the National Confectioners Association:

America’s chocolate and candy companies are providing more choice and portion guidance options for consumers seeking to manage their sugar intake – whether that’s buying candy for family celebrations, picking up a treat to share with friends or enjoying a treat on the way out of the store. From beloved classics to new offerings like low/zero sugar and organic, the confectionery industry is meeting consumers where they want to be met. Learn more at AlwaysATreat.com.

ONLINE BABY FORMULA SCAMS: A pair of top House Democrats is pressing the Federal Trade Commission to do more to crack down on online scams and price-gouging for infant formula.

Details: Desperate parents and caregivers are still struggling to find formula on shelves in many states. In some cases, people are paying hundreds of dollars for a single can of formula on secondary online markets like Amazon, eBay and Facebook. The market is currently rife with scams and deceptive marketing. Sometimes, parents are paying for formula but not ultimately receiving anything.

On the Hill: Democratic Reps. Bobby Scott (Va.), who chairs the Education and Labor Committee, and Frank Pallone (N.J.), who chairs the Energy and Commerce Committee, are pressing FTC in a new letter today to expand its current efforts around infant formula price manipulation to online marketplaces. The FTC in May announced a probe into baby formula scams and consolidation in the market. ICYMI: Meredith has this behind-the-scenes look at the White House’s early missteps that helped fuel the crisis that boiled over in May.

What we’re hearing: House Ag members Kim Schrier (D-Wash.) and Dusty Johnson (R-S.D.) are expected to introduce a bill to bolster early warning systems in the infant formula market in the coming days.

JOIN THURSDAY FOR A GLOBAL INSIDER INTERVIEW: From climate change to public health emergencies and a gloomy global economic outlook, the world continues to deal with overlapping crises. How do we best confront all of these issues? Join POLITICO Live on Thursday, Sept. 22 at 10:30 a.m. EDT for a virtual conversation with Global Insider author Ryan Heath, featuring World Bank President David Malpass, to explore what it will take to restore global stability and avoid a prolonged recession. REGISTER HERE.

FARM INCOME WARNINGS: Despite high commodity prices, farmers are under immense strain from sky-high input prices, including fertilizer, seed and fuel.

Inflation bites: Joe Outlaw, the co-director of the Agriculture Food Policy Center at Texas A&M, recently told House Ag lawmakers that those high costs and inflation increase risk while cutting into profits.

Critical inputs like fertilizer were already reaching unprecedented costs before Russia invaded Ukraine in March. After the invasion, fertilizer costs soared even higher as Russia and its close ally Belarus are top producers of nitrogen and potash fertilizers.

Adjustments for 2023: Outlaw suggested changes be made to two USDA safety nets: the Price Loss Coverage and Agriculture Risk Incentive programs. Both programs, he said, need to have reference prices ratcheted up to adjust for inflation.

Rice, not nice: Outlaw noted concerns about rice producers, saying two-thirds of rice farms are poised to sustain losses in 2022.

Differing opinions: Joseph Janzen, an assistant professor at the University of Illinois, told lawmakers that corn, soybean and wheat farmers can expect higher profitability in 2022 relative to 2021.

Those commodities, he said, will fetch record prices for the remainder of 2022 and still elevated prices into 2023.

Inflation buoy: Inflation has not been all bad for farmers. Commodities have also reached record highs, allowing farmers to offset higher input costs.

Thompson, the top Republican on the House Ag Committee, expressed concern the equation may soon turn against farmers when commodity prices drop if inputs stay high.

Janzen said a resolution to the war in Ukraine could lead to lower prices on both sides, but said there is a “concern for U.S. agriculture” that additional compounding factors on the input side could persist beyond the war and create an imbalance.

A message from the National Confectioners Association:

— USDA says it will spend $65 million to create a pilot program that aims to support ag employers who implement health and safety standards for workers from the U.S. and northern Central American countries via the seasonal H-2A visa program.

— We’re watching the Supreme Court and whether it decides to hear Bayer’s bid to dismiss claims that its Roundup weedkiller causes cancer. The court could announce a decision as early as today. It comes amid a larger debate over warning labels on pesticides that the Biden administration is involved with as well.

— Sen. Jon Ossoff (D-Ga.) raised the issue of India’s high pecan tariffs during a recent meeting with India’s Ambassador to the United States, Taranjit Singh Sandhu. Ossoff said those tariffs are hurting Georgia farmers who export pecans to international markets.

A message from the National Confectioners Association:

In 2017, America’s leading chocolate and candy companies joined forces in a landmark agreement to help consumers manage their sugar intake. In a commitment to Partnership for a Healthier America, these companies set an ambitious goal to provide more transparency, create more portion guidance options in innovative packaging and educate consumers about how unique products like chocolate and candy can be an occasional treat in a balanced lifestyle. The companies exceeded their commitment, empowering consumers to make informed choices and driving directional alignment within the broader confectionery industry. In fact, 85% of chocolate and candy sold today comes in packaging that contains 200 calories or less per pack – whether that’s individually wrapped products or multipacks that contain smaller packages inside. Learn more at AlwaysATreat.com.