Details of the Trade Assistance Package released by USDA

Author: Chuck Danehower, Extension Area Specialist - Farm Management Comments Off on Details of the Trade Assistance Package released by USDA

USDA announced this week the details of the $12 billion trade assistance package.  One part of the package is the Market Facilitation Program (MFP).

MFP is established under the statutory authority of the Commodity Credit Corporation (CCC) and administered by FSA. For each commodity covered, the payment rate will be dependent upon the severity of the trade disruption and the period of adjustment to new trade patterns, based on each producer’s actual production.

Interested producers can apply after harvest is 100 percent complete and they can report their total 2018 production. Beginning September 4th of this year, MFP applications will be available online at Producers will also be able to submit their MFP applications in person, by email, fax, or by mail.

Eligible applicants must have an ownership interest in the commodity, be actively engaged in farming, and have an average adjusted gross income (AGI) for tax years 2014, 2015, and 2016 of less than $900,000. Applicants must also comply with the provisions of the “Highly Erodible Land and Wetland Conservation” regulations. On September 4, 2018, the first MFP payment periods will begin.

Market Facilitation Program

CommodityInitial Payment Rate
Cotton$0.06 / lb.
Corn$0.01 / bu.
Dairy (milk)$0.12 / cwt.
Pork (hogs)$8.00 / head
Soybeans$1.65 / bu.
Sorghum$0.86 / bu.
Wheat$0.14 / bu.

** Initial payment rate on 50% of production

The initial MFP payment will be calculated by multiplying 50 percent of the producer’s total 2018 actual production by the applicable MFP rate. If CCC announces a second MFP payment period, the remaining 50 percent of the producer’s total 2018 actual production will be subject to the second MFP payment rate.

MFP payments are capped per person or legal entity at a combined $125,000 for corn, cotton, sorghum, soybeans and wheat.

For more information on the MFP, visit or contact your local FSA office, which can be found at

Additional details and the news release can be found at Trade Assistance Package.

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