The Campaign for Family Farms and the Environment is asking the USDA to suspend loans and loan guarantees that are intended to expand poultry and hog production.
The campaign sent a letter containing 25,000 signatures to USDA Secretary Tom Vilsack asking for a suspension much like the one that was made under President Clinton in 1999.
According to the letter hog farmers have been “looking at below-cost-of-production for two years now.” While the hog industry is a slump, economic experts believe the industry would overall have to cut breeding stock by 10 percent. However, so far three percentage cuts have been made.
Despite these swindling numbers, the Farm Service Agency has given up $264.4 million in loans for hog and poultry expansions.
Other groups that are involved include The Missouri Rural Crisis Center and Iowas Citizens for Community Improvement.
All groups agree that the freeze would not make producers unable to pay back debts, but in return help the struggling industry to get out of debt.
Inflation fears? Refinance with Farm Plus before farm loan rates rise. Farm loan rates starting at 2.99% with 25 year terms. See our rate sheet here or call, toll free, 866-929-5585.