USA keeps up subsidy to farmers
19 August 1999
USA keeps up subsidy to farmers
WASHINGTON continues to prop up its beleaguered farming industry with a raft of new subsidies to help producers survive the current market depression.
Pig farmers are the latest beneficiaries with another $100 million (£62m) paid out in cash. Aimed at small and medium-sized businesses, in fact almost 100,000 farmers, or 90% of the countrys total, will get the handouts.
That will build on the $50m (£31m) already paid to pig producers in March, said deputy agriculture secretary, Richard Rominger.
Last week the US Department of Agriculture also announced it was putting another $50m (£31m) into its emergency farm loans scheme, which provides low interest finance to farmers hit by natural disasters.
“We have already made nearly $287m (£177m) in emergency loans this year, an increase of 222% over last year,” said agriculture secretary Dan Glickman.
Emergency conservation funds – used to support water projects – have also been topped up. So far this year, over $10m (£6.2m) has been allocated to drought-affected states and last week Mr Glickman announced a further $5m (£3.1m) for West Virginia.
To be eligible, farmers must have suffered at least a 30% drop in yield. Ten states have so far been designated agricultural disaster areas due to drought.