The Farm and Foreign Agricultural Services mission area is responsible for administering agricultural price and income support programs, production adjustment programs, and the Conservation Reserve Program. The Federal Crop Insurance Corporation programs are administered here, as are the farm lending programs for agricultural producers and others engaged in production of agricultural commodities. Programs that support exports of agricultural products are administered in this mission area including initiatives to combat unfair competition, that develop new markets for U.S. suppliers, and that provide food assistance to food-deficit countries.
The Farm and Foreign Agricultural Services mission area is organized into two agencies, the Consolidated Farm Services Agency and the Foreign Agricultural Service.
The Consolidated Farm Services Agency (CFSA) helps American agriculture with commodity, credit, export, and risk management programs that improve the economic stability of agriculture and help farmers adjust to meet demand. These programs help keep enough farmers in business to produce an adequate food supply and to keep consumer prices reasonable.
CFSA finances commodity loan programs through the Commodity Credit Corporation (CCC), a government entity for which CFSA provides operating personnel. The CCC helps maintain balanced and adequate supplies of farm commodities and helps in their orderly distribution.
CFSA administers commodity loan programs for wheat, rice, rye, corn, grain sorghum, barley, oats, soybeans, tobacco, peanuts, cotton, and sugar. CFSA programs for crops help stabilize farm income, help create a balance between the supply and demand of these crops, and help farmers at harvest time by providing interim financing.
Under the dairy price support program, CCC buys surplus butter, cheese, and nonfat dry milk from processors at announced prices. These purchases help maintain prices at the legislated support level.
CFSA administers the Agricultural Conservation Program (ACP) and the Conservation Reserve Program (CRP), which help preserve and improve America's farmland.
CFSA administers the crop insurance program, which provides catastrophic-level coverage that will compensate farmers for crop yield losses of greater than 50 percent at 60 percent of the expected market price. Farmers who participate in other CFSA programs must have catastrophic-level insurance.
CFSA provides farm loans to those farmers and ranchers who cannot obtain it from conventional lenders due to risk factors. Borrowers can get direct loans, where CFSA actually lends the money, or a guaranteed farm loan, where CFSA guarantees loans made by eligible lenders. Programs include farm ownership loans, farm operating loans, and a variety of other loans, such as aquaculture loans and both direct and secured loans for socially disadvantaged persons.
The Foreign Agricultural Service (FAS) represents the diverse interests of U.S. farmers and the U.S. food and agricultural sector abroad. It also collects, analyzes, and disseminates information about global supply and demand, trade trends, and emerging market opportunities. FAS seeks to improve market access for U.S. products and implements programs designed to build new markets and to maintain the competitive position of U.S. products in the global marketplace. FAS also carries out food aid and market-related technical assistance programs, as well as operates a variety of Congressionally mandated import and export programs. FAS operates worldwide with personnel located in more than 80 posts covering more than 100 countries.