Comparing Trump and Biden's impact on US agriculture

USAgNet - 01/17/2024

The agricultural sector in the United States has experienced various shifts under the administrations of Donald Trump and Joe Biden, particularly concerning federal payments and farm income.

Trump, during his campaign, emphasized his contribution of $28 billion in federal payments to farmers, a measure to offset the impacts of his trade war with China. However, this amount was paid by the US government and not by China.

Biden's administration has followed a similar path in terms of federal support to farmers. Both presidents authorized nearly equal amounts of direct federal payments totaling around $57 billion in their first three years. Trump's administration, particularly in 2020, made record-high payments exceeding $52 billion, partly in response to the Covid-19 pandemic.

These payments are part of the broader context of US government subsidies, including crop insurance and loan financing, essential for mitigating financial risks and disasters in agriculture. While Trump and Biden have increased disaster-related payments, the overall impact on farm income differs between the two.

Under Biden, net farm income has risen significantly, with an average of $165 billion between 2021 and 2023, in contrast to $94 billion from 2017 to 2019 under Trump. This increase is a critical indicator of the agricultural sector's health and the effectiveness of the respective administrations' policies.

The challenge for Biden lies in appealing to the predominantly Republican farming community and demonstrating the benefits of his administration. Efforts are being made to communicate these achievements, focusing on equitable support for all farmers, including small and mid-sized operations.

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