Billions more but no planting prohibition

Ag Secretary Mike Johanns said the Administration will favor adding billions to fruit and vegetable purchases for school nutrition but said the USDA's plan also advocates dropping the fruit and vegetable planting prohibition on farm program acreage from the farm bill. The planting restriction must go because of WTO challenges to U.S. farm programs, he said.
Here are the highlights:

Johanns also said the USDA's plan would cut off farm program payments if individuals have an adjusted gross income of $200,000 or more, which is the top 2.3% of taxpayers. He said that will save $1.5 billion.

Over a ten-year score of the farm bill, he said the USDA would add $2.75 billion for fruit and vegetable purchases for schools. Apart from that, the USDA will provide $500 million for school's to provide fruits and vegetables either for the snack program, the breakfast program or the school lunch program.

The USDA's plan will increase Technical Assistance for Specialty Crops by $68 million over 10 years, and increase Market Access Program (export promotion) funds by $250 million over 10 years.


'I have to believe the proposals on specialty crops will be very well received," Johanns said near the end of his news conference.

That is true, if the industry can get beyond the elimination of the planting restriction.

Here is an ERS study on what elimination of the planting restrictions would mean.