USDA Aid Package to Help Corn Producers Endure Pandemic Losses

What you need to know

  • USDA announced the $19 billion Coronavirus Food Assistance Program (CFAP) on Friday
  • $3.9 billion will go to row crop producers
  • Payment rates have not been released by USDA
  • Signups will reportedly occur in May. Farm Bill payment limitations will apply.
  • USDA Payments are independent of SBA programs–SBA loan payments do not impact USDA payments
  • $9.6 billion will go to livestock producers and feeders
  • Ethanol was not included in this funding program

USDA’s aid package announced on Friday is a good start to provide needed assistance to help farmers and their customers endure the financial impacts of the COVID-19 pandemic, according to the Kansas Corn Growers Association.

“All of agriculture is hurting, and this relief provides direct assistance to our corn farmers and to our customers, livestock producers and feeders. It not only supports agriculture, it addresses food security for the American consumer,” KCGA CEO Greg Krissek said. “We will work with the National Corn Growers Association to keep corn producers informed on program details.”

The Coronavirus Food Assistance Program (CFAP) will provide $19 billion in immediate relief for America’s farmers and ranchers, maintain the food supply chain and ensure access to food for American consumers. The program provides $3.9 billion for row crop producers. The livestock industry, the top customer for corn, will receive $9.6 billion in assistance, helping to ensure that this important market can continue to function. Payment rates have not been released by USDA, but the signup will reportedly occur in May and payments would likely begin in June. USDA payment limitations set in the farm bill will apply. These USDA payments would be independent of Small Business Administration programs, so payments from the Paycheck Protection Program (PPP) would not impact USDA payments.

Funding to assist ethanol producers was not included in this program.

“Ethanol producers are not included in this program. They are suffering a direct hit by market losses caused by the pandemic, and we are feeling that impact in Kansas,” Krissek said. “We are hopeful that Federal assistance can be earmarked for the ethanol industry, which is a key component of our fuel supply, provides valuable feed to our cattle producers and jobs and boosts our rural and Midwest economies.”

KCGA continues to work closely with NCGA’s Washington, D.C. staff to address the COVID-19 pandemic and remains committed to creating solutions to help corn farmers and their customers recover from the financial impacts of this crisis. Kansas Corn created a COVID-19 Toolkit on its website to provide resources and information for growers. More information can be found at