Dawn April 15th: Forgivable loan program is running low | 2020-04-15


After a sluggish start, the $ 350 billion small business and farm loan program is well on its way to running out of money Thursday or Friday. That’s the word from Larry Kudlow, President Donald Trump’s top economic advisor.

“The numbers are fantastic,” Kudlow told reporters Tuesday, referring to the demand for the paycheck protection program. The government wants an additional $ 250 billion to top up the program, but Democrats have opposed replenishing PPP unless their other priorities are addressed, including funding health care providers and increasing the SNAP Services.

The Senate is due to have a pro forma session on Thursday.

Treasury Secretary Steven Mnuchin told Rep. Roger Marshall, R-Kan. That more than a million loans totaling $ 243 billion have been processed. Marshall said it included $ 3.7 billion in loans to nearly 20,000 Kansas companies.

Pork industry calls for an increase in the number of employees

Pork industry leaders, who estimate their industry will lose $ 5 billion this year to the COVID-19 pandemic, are calling on Congress to raise the employee cap on the salary protection program from 500 to 1,500.

Maria Zieba of the National Pork Producers Council says the expanded eligibility would ensure all U.S. pork producers can get PPP support for paying workers.

NPPC also wants the Small Business Administration to question agricultural companies for the Economic Injury Disaster Loan Program, the company currently experiencing temporary loss of income up to $ 2 million (with a maximum advance of $ 10,000 which does not have to be repaid) provides on COVID-19. So far, the SBA has resisted appeals from Ag groups to question businesses for businesses.

Keep in mind: Democrats in Congress have pushed for the PPP replenishment bill to include a provision that would allow employers to be eligible for the EIDL program.

For more information on the impact of the COVID-19 market disruption on the meat and cotton sectors, as well as a look at the key farming districts that will be at play in this year’s congressional elections, please see this week’s Agri-Pulse newsletter.

Farm groups see progress in emissions despite the increase

Greenhouse gas emissions from agriculture increased slightly from 2017 to 2018, from around 602 million tons of carbon dioxide equivalent to 618 MMT, according to the EPA’s annual inventory of greenhouse gas emissions.

The 2018 GHG estimate for agriculture is around 9.3% of total US emissions that year, according to the EPA.

The American Farm Bureau Federation and other commodity conglomerates pointed out that agriculture was well below the GHG contributions from the transportation and electricity sectors.

Keep in mind: Although methane emissions from agriculture have increased overall, emissions per unit of livestock have decreased since 1990 due to increases in productivity, according to an analysis by economists at the Farm Bureau. Methane emissions from agriculture were estimated at 253 million tons in 2018, of which 177 MMT came from cattle digestion.

“Over the past 30 years, US milk production has increased 71% while unit milk emissions have decreased by nearly 25%. Beef production has increased by almost 50%, while emissions per unit have decreased by almost 8%, ”the analysis said.

The analysis also states that “the overall carbon sink efforts from forest management, forest-converted land, grassland and wetland management more than offset the contribution of agriculture to overall emissions”.

China sees more US soybeans being bought soon

Brazilian farmers are exporting their soybeans at record speed to take advantage of the country’s weak currency – the real – a webinar hosted by the US Soybean Export Council.

“We expect China to become a more active buyer of US soybeans in the coming weeks, probably soon, while Brazilian exports will decline,” said Mielke. He assumes that the Brazilian deliveries will expire in May or June at the latest.

China’s soybean imports will be stronger this year at 91 million tons to allow the country to replenish its stocks and rebuild its pig herd, of which the US is expected to supply 21 million tons, Mielke said. Brazilian exports to China will decrease to 58 million tons this year.

Vietnam sees success in fighting African swine fever

There has not been a single new case of African swine fever in 44 of Vietnam’s 63 provinces since last week. According to a new analysis by the USDA’s Foreign Agricultural Service, this is considered a great success in the fight against the virus that raged across all 63 provinces in early 2019.

By December 2019, the Vietnamese had killed 23% of the country’s total pig population – around 5.9 million pigs, according to the report.

But now those numbers are falling fast, says FAS. “The number of new cases or recontamination also seems to have slowed down significantly. Since the beginning of 2020, only 24 ASF outbreaks have been officially reported in Vietnam, resulting in the death and culling of 20,177 pigs. “

Blue states have at least 40% excess moisture.

Some floors are wet – but not like last year

Soil moisture levels are lower compared to this time last year, but wet, cool weather slows any chances of early corn sowing in the Midwest.

“We had about a third of the land around this time a year ago reporting excess topsoil moisture at the time, and that number is now in our bottom 20s, so we’re a little drier overall,” says USDA meteorologist Brad Rippey Agri pulse.

Only 3% of the country’s corn was grown, which is the five-year average of 4%. Rippey expects the planting to increase again in early May when warmer and more even weather arrives.

He said it. “Smarter farming, new strategies and technologies are helping farmers reduce their ecological footprint and offer solutions.” – Zippy Duvall, President of the American Farm Bureau Federation.

Ben Nuelle, Steve Davies and Bill Tomson contributed to this report.


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