LUBBOCK, Texas (KCBD) – The Trump administration announced $8 billion in harvest fuel relief. President Trump and U.S. Secretary of Agriculture Brooke Rollins created the Harvest Fuel Relief Program to bring down input costs for farm operations.<\/p>\n
Producers had to shore up some of their expenses during negative crop years throughout the planting and growing seasons and now into harvest season.<\/p>\n
Plains Cotton Growers CEO Kody Bessent said what the program will look like once rates are fully determined.<\/p>\n
\u201cThe goal is to help not necessarily make a producer whole, obviously, but to help absorb some of the costs that they are just being subjected to at no fault of their own in a time of need,\u201d Bessent said.<\/p>\n
Rising fuel costs add to challenges<\/p>\n
Bessent said it\u2019s been a tough year for farmers no matter the crop, on top of the rise of diesel fuel prices.<\/p>\n
\u201cYou can see that to pump on a daily basis where we\u2019ve jumped from roughly $3.50 a gallon for diesel here locally to almost $6 a gallon here locally and then nationwide even higher than that. We\u2019re seeing fuel costs in general go up. A lot of that is just because of the geopolitical atmosphere that we\u2019re seeing right now,\u201d Bessent said.<\/p>\n
Many farmers were forced to harvest early this season due to weather conditions, adding to the list of complications.<\/p>\n
\u201cBut also too, it comes at a critical time of need. We\u2019re in harvest mode, albeit despite the fact we\u2019ve had rain today and we\u2019re very thankful for the rain. I wish it would come a lot sooner, but we\u2019re certainly not going to knock it,\u201d Bessent said.<\/p>\n
Effect on the local economy<\/p>\n
From a consumer-based standpoint, the program aims to create a domino effect within the community. Bessent said the Lubbock economy relies on the success of ag production and ag producers.<\/p>\n
\u201cIt will help the producer in their time of need. It also provides more income throughout the economy. People can go buy more groceries. They can support local restaurants, local convenience stores or community-based stores. So there is a large trickle effect within the community despite its true initial target,\u201d Bessent said.<\/p>\n
There are still some details to work out before farmers can apply for the relief. Bessent said the USDA will use an array of assessments to determine what rates will go with which commodity, most likely using the USDA ERS and 578 reports as well as the WASDE report that will come out in November alongside the Crop Acreage Certification Report.<\/p>\n
Bessent said farmers are grateful for the assistance in a time of need.<\/p>\n
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