In Congress’s budget reconciliation, signed on July 4 by President Trump, significant improvements were made to Title 1 of the Farm Bill, including:
- Loan Rate – $7.70
- Temperate Japonica Medium Grain Reference Price – $24.33
- $155,000 Payment Limitation, increased from $125,000
- These changes will be for the 2025 crop year through 2031
- Starting in 2031, the reference price will rise automatically by 0.5% but cannot exceed 113% of the original reference price
- Agriculture Risk Coverage (ARC) guarantees 90 percent of the benchmark revenue and the payment band of 12 percent for crop years 2025 through 2031.
Notes to remember:
Growers can annually select ARC or PLC for their operation. All payments continue to be subject to a 5.7% sequestration.
USA Rice
The US rice industry was only able to achieve these results through collaborative work among all states. Great credit is due to USA Rice for their years-long work on improving the rice safety net and support of both Chairman GT Thompson and Senate Ag Committee Chair John Boozman.
Please find their comprehensive analysis here.
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