Farm-state lawmakers are moving to create a whole new subsidy that would protect farmers when their revenue drops – an unprecedented program that critics say could pay billions of dollars to farmers now enjoying record-high crop prices.
The subsidy, free insurance that would cover farmers’ “shallow crop losses” before their paid insurance kicks in, has been pushed by corn and soybean farmers who could benefit the most from the program. It would replace for the most part several other subsidy programs, including direct payments preferred by Southern rice and cotton farmers. Growers get the direct payments regardless of crop yields or prices. They don’t even have to farm.