USDA Launches $2.14 Billion Initiative to Support Specialty Crop Farmers and Strengthen Disaster Recovery

USDA Launches $2.14 Billion Initiative to Support Specialty Crop Farmers and Strengthen Disaster Recovery

New programs address market barriers, provide storage solutions, and aid farmers recovering from severe weather events.

Agriculture Secretary Tom Vilsack announced the launch of two new programs aimed at supporting U.S. farmers growing specialty crops such as fruits, vegetables, and nuts.

These initiatives, designed to address market barriers and provide pre-market storage solutions after severe weather events, are part of the USDA’s broader effort to bolster American agriculture.

The programs will allocate significant funding to help farmers recover from recent hurricanes and other natural disasters, with an emphasis on creating sustainable and resilient agricultural practices.

The Marketing Assistance for Specialty Crops initiative will provide $2 billion to help maintain a strong domestic supply of specialty crops and expand market opportunities. In parallel, the newly introduced Commodity Storage Assistance Program will dedicate $140 million to facilitate access to critical storage and packing facilities, including grain elevators and packinghouses.

These resources are particularly vital for farmers in the Southeast, who are recovering from Hurricanes Debbie, Helene, and Milton. According to USDA, applications for both programs are expected to open in December 2024.

“Specialty crop producers play a crucial role in the success of U.S. agriculture, providing high-quality, nutritious products to the nation and the world,”

US Agriculture Secretary, Tom Vilsack

He emphasized that these programs arrive at a critical moment for southeastern farmers facing prolonged recovery periods due to severe weather impacts.

The USDA’s announcement aligns with a disaster assistance package proposed by the Biden-Harris Administration to Congress.

This package includes additional resources for USDA programs such as the Emergency Relief Program (ERP) and the Emergency Livestock Relief Program (ELRP), which support agricultural producers affected by natural disasters. It also emphasizes investments in nutrition assistance and rural infrastructure development.

Expanding Specialty Crop Markets

The Marketing Assistance for Specialty Crops program addresses the unique challenges faced by growers of perishable products, such as higher marketing costs, specialized handling requirements, and labor-intensive processes.

These investments build on previous USDA efforts to enhance specialty crop competitiveness. For instance, the Assisting Specialty Crop Exports (ASCE) initiative, launched in January 2024, provided $65 million to support the sector’s expansion into global markets, with $25 million awarded in October.

Additionally, USDA’s Specialty Crop Block Grant Program (SCBGP) allocated $72.9 million in grants in both 2022 and 2023 to fund innovative projects. In fiscal year 2023, specialty crop exports accounted for $24.6 billion, or 13.8% of total U.S. agricultural exports.

Storage Solutions Amid Disaster Recovery

The Commodity Storage Assistance Program builds on the success of the Emergency Grain Storage Assistance Program, which supported farmers in 2021 and 2022 after tornadoes and flooding destroyed critical infrastructure.

This new program ensures access to commercial storage facilities, addressing the urgent needs of producers impacted by disasters in 2024. Eligible farmers will need to demonstrate disaster-related losses in commercial storage or marketing capacity to qualify.

USDA anticipates high participation rates, particularly in hurricane-affected regions, as these programs aim to stabilize and strengthen the agricultural supply chain. Flexibilities in disaster assistance programs, including extended sign-up periods for initiatives like the Emergency Conservation Program, have been implemented to streamline recovery. Farmers can access these opportunities through USDA Service Centers until June 2025.

Broader Disaster Assistance and Insurance Relief

In 2024, USDA disbursed over $6 billion in crop insurance indemnities, with nearly $1 billion allocated to producers impacted by hurricanes and tropical storms. This included $792 million through the Hurricane Insurance Protection-Wind Index (HIP-WI) endorsement and the Tropical Storm option. These measures, coupled with the new programs, underscore USDA’s commitment to helping farmers recover from unprecedented challenges.

Farmers are encouraged to visit farmers.gov/hurricane for detailed information on available resources, including webinars and FAQs. USDA’s efforts under the Biden-Harris Administration highlight a focus on resilience, equity, and innovation in the agricultural sector, ensuring sustainable growth for communities nationwide.

For more details on USDA programs and updates, visit www.usda.gov.

Want to submit news, stories, or have your company featured in our ‘Industry Spotlight’ at no cost? Send us an email to news@produceleaders.com to get started!

Share this post:
LinkedIn
Facebook
X / Twitter
Email
Recently published:
NEWSLETTER + eBOOK

Produce Leaders Newsletter
+ Free eBook

Join 7,000+ produce professionals who are already subscribed and begin receiving:

  • Produce news, interviews, and case studies that are actually worth reading about
  • Marketing and sales checklists for both new and established produce brands
  • Updates regarding produce events, publications, and opportunities
STORIES & INSIGHTS

Get the FREE newsletter read by produce experts

Join 8,000+ produce professionals who are already subscribed, including people from leading companies: