Risk Management Agency

The deadline is approaching to sign up for Pasture Range Land and Forage Insurance, or PRF, for 2027.

It's a federally subsidized crop insurance program administered by the USDA's Risk Management Agency.

Dr. Jay Parsons, professor and director of the Center for Agriculture Profitability at the University of Nebraska-Lincoln, explains some of the basics of PRF.

The

program and doing everything we can to maximize that investment, as we've talked about, to support the hardworking citizenry that represents rural America, our farmers, ranchers, private foresters, and landowners.

So really excited in the coming months to have unveiled and deployed nationally the integrative field tool and support with the One Farmer, One File initiative that Administrator Bill Beam of the Farm Service Agency Administrator Swanson of the Risk Management Agency and Undersecretary Fordyce and I are all collectively really excited to have in our field offices to really supercharge the work we're able to do from the technical piece to be more efficient and effective in serving the American producer.

And how do we find out more information? What's the website?

Well, it's the usual USDA or NRCS websites to look to, and I'm sure we'll have an announcement and be back on with you soon once we get the Integrated Field Tool deployed nationwide.

In his report, he argues the plan would distort production decisions and in the near term result in higher cattle and beef prices and prolonged economic adjustment in the sector.

Under the Risk Management Agency's proposal, brand endorsement, which still requires federal approval from the Federal Crop Insurance Corporation Board, cow-calf producers who retain heifers for breeding would establish an insured value based on the heifer's projected slaughter or feeder value at enrollment.

If over an endorsement period extending up to 104 weeks, which if you do the math is two years, the animal's realized slaughter value exceeds the economic return of keeping her as breeding stock, the policy would cut the producer a check for the difference.

Unlike standard insurance contracts that provide a price floor, which is like a put option, Glauber notes that brand acts more like a subsidized call option.

That's always a good report to look at.

Well, Chip, USDA's Risk Management Agency will give cotton growers and other eligible crops the ability to purchase multiple endorsements on a crop insurance policy for the 2027 crop year.

Agriculture Secretary Brooke Rollins announced this in Texas last Friday.

RMA will release final details to approved insurance providers and crop insurance agents by November 30th.

He notes that allowing producers to combine area-wide products at equal coverage levels for revenue, yield, hurricanes, and tropical storms will help ensure growers have access to the tools they need.

USDA's Risk Management Agency said, They'll release final details to insurance providers and agents by November 30th.

The department also announced that the Foreign Agriculture Service will assume responsibility for a new cotton periphery quota mechanism launching in 2027 designed to incentivize purchases of U.S. cotton by select countries.

Feeding America is urging USDA to use its authority under Section 32, which funds child nutrition programs using money collected from duties to purchase at least $21 million in U.S. grown long grain rice.

Yeah, this is really important because on-farm profitability, as we know, is an ongoing, uh, uh, matter of interest for every producer, uh, re-- irrespective of what they're growing across, uh, US agriculture.

And so, you know, I even saw on Brownfield's homepage this morning, you have a business management expert urging farmers to focus on liquidity and cost control heading into twenty twenty-seven, and I was like, "That is very apt." Because, uh, managing for risk and resilience on crop insurance currently doesn't allow you to pay anything different than what the county average is, uh, under the USDA RMA program.

And we don't wanna ding that program.

That program's, uh, taken farmers a long way, but it's based on backwards-facing data, and it's based on a county average that doesn't recognize individual risk or field-level risk.

And so this is important because farmers currently have kind of a, a cul-de-sac of non-choices.

Um, if they adopt practices that happen to lower their cost but also happen to lower their yield in transition to regenerative agriculture, they risk their insurance coverage that dovetails with their operating loans.

And it's not just one year of risk, it's up to three years that they're risking in coverage and the pricing that they pay through the USDA RMA process.

And so working with the Department of Ag and with very visionary, uh, insurance services who've come to a realization on this difference in loss controls related to soil health, we've been able to create a lower cost structure for producers that are in the process of transition or who have already transitioned into soil health.