Reports Outline Crop Insurance Findings from Texas A&M University System (Financial Losses Due To Fumonisin Contamination In the Texas High Plains Maize): Agriculture – Crop Insurance

2024 FEB 20 (NewsRx) -- By a News Reporter-Staff News Editor at Food Daily News -- New research on Agriculture - Crop Insurance is the subject of a report. According to news reporting originating in College Station, Texas, by NewsRx journalists, research stated, “Fumonisins are one of the main problems affecting maize production in the Texas High Plains (THP), where its agroclimatic conditions make it a perennial hotspot for mycotoxin contamination. In 2017, a fumonisin outbreak in the THP maize motivated stakeholders’ request to repeal a subsection of the Texas Administrative Code, 61.61(a)(7) (Fumonisin Rule), and its related Texas Feed Industry Memorandum (Memo 5-20), which previously permitted the blending of maize containing high fumonisin levels with maize containing >= 5 mg/kg under state authority, and pivot to FDA fumonisin guidance.”

Financial support for this research came from Anderson’s Research Grant through the Ohio State University NC-213 program.

The news reporters obtained a quote from the research from Texas A&M University System, “Shortly after, the USDA Risk Management Agency (RMA’s) reintroduced Discount Factors (DFs) in annual Special Provisions (SP) that outline price reductions related to fumonisin contamination in maize. In this research, we estimate the potential economic burden posed by these changes through a two-part approach. In part one, we construct a decision model that explores the final disposition of fumonisin-contaminated maize based on blending permissions, fumonisin levels, and crop insurance status. In part two, we estimate the economic impact by inserting output values of the decision model into financial equations that consider testing costs, transportation fees, and discounts from crop insurance and grain elevators when applicable. Our economic analysis projects that the financial losses during a THP crop year with high fumonisin levels could range from $15.1 to $135.5 million without the option to blend under conditions of the revised RMA discount schedule.”

According to the news reporters, the research concluded: “Findings further highlight crop insurance as the most promising risk management strategy for farmers in areas susceptible to fumonisin contamination.”

This research has been peer-reviewed.

For more information on this research see: Financial Losses Due To Fumonisin Contamination In the Texas High Plains Maize. Food Additives & Contaminants Part A, 2024. Food Additives & Contaminants Part A can be contacted at: Taylor & Francis Ltd, 2-4 Park Square, Milton Park, Abingdon OR14 4RN, Oxon, England.

Our news correspondents report that additional information may be obtained by contacting Ashli A. Brown, Texas A&M University System, Office of the Texas State Chemist, Texas A&M AgriLife Research, College Stn, TX, United States. Additional authors for this research include Mary Sasser and Tim Herrman.

The direct object identifier (DOI) for that additional information is: https://doi.org/10.1080/19440049.2024.2302406. This DOI is a link to an online electronic document that is either free or for purchase, and can be your direct source for a journal article and its citation.

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