KANSAS CITY, Mo. (AP) Sixth-generation Kansas farmer Charles Atkinson said the millions of dollars in trade aid the federal government has funneled to local farmers doesnt fully make up for what growers have lost in recent years.
But it will help, he said, noting that many farmers are struggling to turn a profit. Im not going to say they (government payments) were the savior, but with margins as thin as they are we could have a lot of farms out of business.
The bailouts were designed to help farmers who were already weathering low prices on commodities such as soybeans before President Donald Trumps trade wars sunk prices even lower. The administration has so far mailed checks totaling about $8.6 billion to U.S. farmers to help make up for lower market prices of 2018 crops.
Many farmers originally supported the administrations trade posture, but their patience is wearing thin, said Atkinson, a member of the American Soybean Associations board of directors. He received payments worth $18,557 for last years soybean, corn and wheat crops.
We know negotiations are happening with China and getting closer, he said. I wouldnt say theres a light at the end of the tunnel, but its getting closer.
But what was billed as a short-term sacrifice that would deliver long-term gain shows no signs of letting up: Just last week, Trump threatened a 10% tariff on $300 billion worth of Chinese goods, which would take effect in September, as trade negotiations continue to stall.
In the meantime, the government continues issuing checks sparking outrage from free-market think tanks that have equated the move with socialism and criticized it for ballooning the national debt, The Kansas City Star reported.
BAILOUT payments from the Market Facilitation Program over the last two years have totaled $444 million for farms based in Missouri and $539 million for those in Kansas a collective haul of about $982 million, according to data obtained by the Associated Press and analyzed by The Kansas City Star.
Those who signed up for the voluntary program included Republican Rep. Vicky Hartzlers family farm in Harrisonville, Missouri. Hartzler Farms Inc., a business the congresswoman owns with her husband, received a total of $108,916 for 2018 losses on wheat, soybeans and corn nearly 14 times the average payout to Missouri farmers of $7,915.
Steve Walsh, Hartzlers spokesman, said the congresswoman and her husband have the same challenges as other farmers in the region.
Like many farmers in the state, the Hartzlers have been negatively impacted by the recent severe weather, rising input costs along with lower commodity prices, and current market uncertainty, Walsh said in a statement.
Walsh noted that the Market Facilitation Program provides a partial offset for the financial losses farmers continue to suffer from damages because of unjustified trade retaliation from China and other foreign nations. Hartzler consistently supports the presidents policies.
The decision to pursue tariffs on Chinese goods has caused prices to plummet as China hit soybeans and other U.S. commodities with retaliatory tariffs. Hartzler, a member of the House agriculture committee, said last year she hoped the trade aggressions would be a temporary situation to get some concessions of China for some of their clear abuses in other areas.
But in the meantime, soybean farmers continue to feel the brunt of the trade war. The crop was selling for $8.49 per bushel on Friday. It traded at nearly double that price in 2012.
The administration is poised to hand out even more cash: federal officials recently unveiled details of a $16 billion trade aid package, which includes nearly $15 billion more in direct payments to farmers.
