USDA Announces 2019 Loan Rates for Crops
USDA’s Commodity Credit Corporation today announced the 2019 marketing assistance loan rates by:
- County for wheat, corn, grain sorghum, barley, oats, soybeans and each “other oilseed” (canola, crambe, flaxseed, mustard seed, rapeseed, safflower, sesame seed and sunflower seed);
- Region for pulses (dry peas, lentils, large chickpeas and small chickpeas); and
- State for rough rice.
Marketing assistance loans provide interim financing to producers so that commodities can be stored after harvest when market prices are typically low, to be sold later when price conditions are more favorable.
The rates are posted on the Farm Service Agency (FSA) website at www.fsa.usda.gov/programs-and-services/price-support/commodity-loan-rates/index.
The 2018 Farm Bill extended the marketing assistance loan program, making production for the 2019 through 2023 crops eligible for loan benefits. Relative to 2018-crop levels, the 2018 Farm Bill also increased the national loan rates for most of these commodities for each of the 2019-2023 crops.
| 2019 Wheat, Feed Grains and Oilseeds National Loan Rates | |
|---|---|
| Wheat | $3.38 per bushel |
| Corn | $2.20 per bushel |
| Grain Sorghum | $2.20 per bushel |
| Barley | $2.50 per bushel |
| Oats | $2.00 per bushel |
| Soybeans | $6.20 per bushel |
| Other Oilseeds | $10.09 per hundredweight (cwt.) for each “other oilseed” |
Marketing assistance loans for the 2019 the barley, canola, crambe, flaxseed, oats, rapeseed, sesame seed, and wheat crops are available through March 31, 2020, and for the 2019 corn, grain sorghum, mustard seed, safflower, soybean and sunflower seed crops through May 31, 2020.
| 2019 Rough Rice Loan Rates by State and Class | ||
|---|---|---|
| State | Long Grain Rice | Medium Grain Rice |
| ———————– $/cwt. ——————— | ||
| Arkansas | 6.95 | 6.79 |
| California | 6.86 | 7.07 |
| Louisiana | 6.98 | 7.05 |
| Mississippi | 7.10 | 7.00 |
| Missouri | 7.02 | 7.00 |
| Texas | 7.25 | 7.00 |
| U.S. Average | 7.00 | 7.00 |
| U.S. loan rate applies to all other states. | ||
| Medium grain includes short grain. | ||
For warehouse-stored loans, national loan rates for whole and broken kernels are used to establish loan proceeds based on the milling out-turns reported on the warehouse receipt. Marketing assistance loans for the 2019 rice crop are available through May 31, 2020. The loan rate for long grain whole kernels is $11.09 per cwt.; for medium grain (including short grain), $10.50 per cwt.; and for broken kernels (all classes), $6.11 per cwt.
| 2019 Regional Pulse Crop Loan Rates | |||
|---|---|---|---|
| Crop | East RegionLoan Rate | West RegionLoan Rate | NationalLoan Rate |
| ———————– $/cwt. ——————— | |||
| Dry Peas | 6.10 | 6.48 | 6.15 |
| Lentils | 12.70 | 15.00 | 13.00 |
| Large Chickpeas | 14.00 | 14.00 | 14.00 |
| Small Chickpeas | 10.00 | 10.00 | 10.00 |
The West region includes Alaska, Arizona, California, Hawaii, Idaho, Nevada, New Mexico, Oregon, Utah and Washington. The East region includes Montana, North Dakota and other states not included in the West region. The rates for large and small chickpeas apply to all states and counties. Marketing assistance loans for the 2019 pulse crops are available through May 31, 2020.
For more information, visit www.farmers.gov/farmbill. To learn more about FSA, visit www.fsa.usda.gov.
Source: Morning Ag Clips