Farmers affected by tariffs could be receiving a federal payout. President Trump announced his plan on Truth Social recently, stating; “We’ve made so much money on tariffs, that we are going to take a small portion of that money, and help our farmers.”
Many of them rely on imports like fertilizer ingredients, machinery, fuel and pesticides to grow their crops.
The 10% blanket tariff on imported goods has increased costs while damaging the trade relationships farmers rely on to export their products.
“There is now being discussed a bailout for farmers who have been hurt by these tariffs, but farmers will always tell you first and foremost that they don't want a bailout,” Jennifer Fahy, Farm Aid Co-Executive Director, said. “They want to earn a fair price and they make that possible by cultivating these trade relationships, respecting the trade partners, and doing good business, and right now that is difficult for them to do in light of the tariff policies of this current administration.”
Florida sugarcane farmers use mechanical harvesters to efficiently harvest large quantities. Some harvester manufacturers like John Deere have production plants in America but still rely on imported parts from Japan and China.
Sugarcane often grows in sand, which is low in nutrients. Farmers supplement with fertilizers made with potash, an imported mineral from Canada, to improve crop yields.
The U.S. Sugar Corporation, headquartered in Clewiston in Hendry County, did not respond to requests for comment.
“Anything that adds production cost is going to hurt agriculture, it's gonna hurt farming,” agricultural economist Fritz Roka said. “If we're importing fertilizer as you are from Canada, as you are importing machinery from Korea, Japan, China, that's going to increase the cost and farmers have to absorb that cost.”
Escalating operational costs are a hurdle for farmers with smaller operations. They often have to pass the expense on to customers.
Trade relationships between farmers and purchasers have come into question as well. China previously bought 20% of its soybeans from American farmers, according to Reuters.
This year, soybean farmers are left sitting with millions of tons of goods as the world’s top soybean importer switches to relying on Argentina and Brazil. Although tariffs may change, their effect on future trade relationships may not.
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