ASA focuses on farm bill and demand

HOUSTON, Texas — The farm bill was the major topic on the minds of commodity group members at the 2024 Commodity Classic.

The American Soybean Association addressed the continued fight to pass the legislation that funds key programs such as crop insurance.

"We are thankful for the extension," ASA president Josh Gackle said. "We are hoping to get something more long-term done. Our priorities haven't changed. We continue to look at Title I safety net reforms, making sure there are risk-management tools available, enhancing crop insurance and expanding foreign market opportunities."

Throughout the farm bill discussions, there have been amendments proposed that would limit checkoff spending. The Opportunities for Fairness in Farming Act, which is intended to add restrictions and requirements, is currently in the Senate.

Gackle called it a negative for farmers.

The language of the bill says it would prohibit checkoff boards from entering into a contract or agreement to carry out program activities with a party that engages in activities to influence any government policy or action that relates to agriculture.

"It would severely limit the function of farmer-invested dollars to the checkoff, so we are fighting those efforts," he said.

Some of those research funds are used to find new end uses for soybeans, including the continued push for more renewable fuels.

ASA vice president Caleb Ragland said the U.S. Treasury recently gave a pathway for soy-based feedstocks to be "more readily used" in sustainable aviation fuel through tax credits.

"There are other opportunities to use biofuels for ground transportation, aircraft and even for boats and so forth," he said. "Expanding market opportunities helps not just soybean farmers, but rural jobs across America."

The need for more avenues of demand brought discussion of trade, which Gackle said is one of the primary needs in the soy market. Having a significant portion of U.S. soybeans exported to other countries means farmers are reliant on continued good international relations.

"Sixty percent of the U.S. soybean crop mostly went to China," Gackle said. "They are our biggest customer, and we need to protect those relationships."

Looking at the 2024 growing season, soybean producers were thrown a curveball in recent weeks with a federal judge discarding the label for the herbicide dicamba. The EPA has clarified that any existing stocks are eligible for use in the coming year, but its future is foggy moving forward.

"That's a pretty serious issue late in the game, providing a lot of uncertainty for farmers," Gackle said.

He said there is work going on behind the scenes, outside of the ASA, on future registration for the herbicide, but things are likely to be more difficult when it is brought back into the market.

"I have to plan ahead and see what my options are for 2025," he said. "I don't see a 2025 label for dicamba that would allow more widespread use. I would expect cutoff dates to be lowered and things like that. I think it's going to be more restrictive, and I don't see it going the other way."