November 8, 2010

The USDA has started issuing an estimated US$420 million in 2009 crop Average Crop Revenue Election (ACRE) payments to producers enrolled in the ACRE programme for wheat, corn, soy and other commodities, according to Agriculture Secretary Tom Vilsack.

"These payments are an important part of the farm safety net because they help protect the farmers who provide America and the world with a reliable stream of food and commodities by buffering them from the effects of revenue declines," Vilsack said.

In order for producers to receive ACRE payments, revenue triggers for a commodity must be met on both a state and farm basis. The Food, Conservation, and Energy Act of 2008 (2008 Farm Bill) requires 2009 ACRE payments to be made as soon as practicable following the end of the marketing year, but no earlier than October 1, 2010. Of the US$420 million in payments, about 70% are expected to be issued to wheat producers and 23% to corn producers. About 80% of the payments are expected to be issued to producers in Oklahoma, Washington, Illinois, South Dakota, Idaho and North Dakota.

Congress established ACRE as part of the 2008 Farm Bill to protect producers from farm market revenue declines. A list of state payment rates for the 2009 crops of barley, corn, dry peas, lentils, oats, peanuts, grain sorghum, soy, upland cotton and wheat is available at http://go.usa.gov/CCS.