WHEAT GROUP TWEAKS HERITAGE OVER BLIZZARD DAMAGE: David Schemm, president of the National Association of Wheat Growers, wants representatives of The Heritage Foundation and taxpayer watchdog groups that criticize the federal crop insurance program to witness the damage a spring blizzard inflicted on fields in Kansas, the country’s biggest wheat state, over the weekend. The storm, which dropped a foot to 17 inches in places, hit eastern Colorado, parts of Nebraska and the western part of Kansas, where NAWG estimates it destroyed 43 percent of the state’s winter wheat crop. The timing couldn’t be worse, as wheat farmers are already reeling from several years of extremely low prices.
“From their rhetoric, they would say a lot of farmers will go bankrupt and that’s how it’s supposed to be,” Schemm said of taxpayer groups and the conservative think tank on Tuesday as he surveyed his 4,500 acres of damaged wheat in Sharon Springs, Kan. NAWG had earlier tweeted: “A late season blizzard puts 43% of Kansas’ planted wheat acres under 14 inches of snow. @Heritage how would you handle w/o #cropinsurance?”
About 7.7 million acres of wheat in Kansas – more than 90 percent – are covered by a crop insurance policy, a liability amount equal to $1.1 billion, NAWG estimates based on USDA’s 2016 data. Most of those policies protect against revenue losses, as opposed to just drops in yield, the group said, making an important distinction.
Heritage’s two cents: It’s not true that the Heritage Foundation is against all forms of crop insurance, said Daren Bakst, the group’s research fellow on agricultural policy. “On the yield side, we should be covering deep losses,” like those experienced in the recent storm, he said. “Other risks farmers should be managing on their own.” Heritage did call for eliminating crop insurance policies that guarantee revenue when it released a 65-page paper – which Bakst edited – on managing risk in agriculture last year. Pros, read the report here.
Here’s the podcast recapping the damage in Kansas as well as some better news regarding rebuilding after the wildfires that raged through the plains states: