USDA Announces Climate-Smart Agriculture and Forestry Partnership Initiative

On Wednesday, Sept. 29, USDA announced they are considering using the $30 billion Commodity Credit Corp. (CCC) next year to pay for large-scale pilot programs to scale up farm and forestry practices that help mitigate climate change.

“Our work will be voluntary and incentive-based,” Agriculture Secretary Tom Vilsack said announcing the plans. “We will work to create new income opportunities and markets for agriculture and forestry.”

“I want to be clear: This initiative is not a carbon bank, nor a carbon market,” Vilsack said. “It’s not even a conservation program. …This initiative is first and foremost a commodity program, one that seeks to empower farmers, ranchers, producers and foresters to produce climate-smart commodities, meeting domestic and global consumer demand.”

USDA: Comments are encouraged from farmers and farmer organizations, commodity groups, livestock producer groups, environmental organizations, agriculture businesses and technology companies, environmental market organizations, renewable energy organizations, Tribal organizations and governments, organizations representing historically underrepresented producers, organizations representing historically underrepresented communities and private corporations.

Comments may be provided on or before 11:59 p.m. EST on November 1, 2021 via the Federal Register, Docket ID: USDA-2021-0010. Feedback will be used to inform design of the new Climate-Smart Agriculture and Forestry Partnership Initiative. USDA is seeking input specifically on:

• The current state of climate-smart commodity markets,
• Systems for quantification,
• Options and criteria for evaluation,
• Use of information collected,
• Potential protocols,
• Options for review and verification,
• Inclusion of historically underserved communities.

Insights gained through this process will inform development of a Notice of Funding Availability (NOFA) soliciting Climate-Smart Agriculture and Forestry Partnership Initiative project proposals that encourage the adoption of climate-smart practices and promote markets for climate-smart commodities. USDA plans to announce the NOFA this fall, with project proposals accepted early next year.

USDA Announces $3 Billion from CCC for Immediate Ag Relief

A combined climate effort, USDA announced their plans to use $3 billion in CCC funds from this fiscal year to address other pressing agriculture issues, including widespread drought, African swine fever, high costs for livestock producers and supply chain problems with school meals programs.

The $3 billion in spending USDA announcing is spread across four areas:

• $500 million for drought recovery and to support adoption of “water-smart management practices”
• Up to $500 million to prevent the spread of African swine fever
• $500 million in relief for ag market disruption, which could include increased transport costs
• Up to $1.5 billion to help schools respond to supply chain disruptions, including sourcing and labor constraints