Wednesday July 02 Ag New - OBBB passes Senate - Corn/Soy crush increases - Farmer sentiment declines in June - plus more!

 Fischer Statement on Senate Passage of One Big Beautiful Bill

U.S. Senator Deb Fischer (R-Neb.) released the following statement after the U.S. Senate passed the One Big Beautiful Bill Act: 

“Last November, Americans spoke loud and clear: they want safer communities, lower energy costs, and real relief for working families. Today, the Senate delivered—blocking a $4 trillion tax hike and investing in border security to keep America safe. This bill locks in the 2017 Tax Cuts and Jobs Act, saving the average Nebraska family $2,400 a year. It keeps taxes low, boosts small businesses, strengthens our military, supports farmers and ranchers, and makes energy more affordable for everyone.

“I’m also pleased this bill makes permanent my Paid Family and Medical Leave (PFML) Tax Credit. Since I established the nation’s first and only federal PFML policy in 2017, this credit has empowered employers of all sizes to offer paid leave to their workers voluntarily, rather than through a government mandate. Now, employers across America have the certainty they need to support employees as they care for a newborn or an aging parent without sacrificing their job or paycheck.

“I urge the House to take up this bill and send it to the president’s desk so we can deliver on our promises to empower working families and keep America safe, strong, and prosperous.”

One Big Beautiful Bill Provisions:
The One Big Beautiful Bill Act  contains the following provisions championed by Fischer:
    Paid Family Medical Leave Tax Credit Extension and Enhancement Act: makes the PFML Employer Tax Credit—the country’s first-ever nationwide PFML policy—permanent, helping employers of all sizes to voluntarily—not through a government mandate—offer PFML plans to their employees;
    A carve-out for the Department of Defense—for the first time in history—of specific spectrum bands (3, 7, and 8 gigahertz frequencies) from general Federal Communications Commission auction authority, which will safeguard the missile defense of the homeland, protect our military radars and sensors, and lay the groundwork for long-term defense innovation—including the Golden Dome Missile Defense Shield; and
    A modified version of her Protecting Rural Seniors Access to Care Act, which repeals a harmful Biden-era staffing mandate that would have forced several long-term care (LTC) facilities to close, depriving America’s seniors of care.

It also includes the following tax provisions to benefit Nebraska families:
    Prevents a more-than $2,400 tax hike on the average Nebraska family;
    Protects over 44,000 family-owned farms in Nebraska from having their death tax exemption cut in half;
    Protects 37,000 jobs in Nebraska from being lost;
    Ensures more than 239,000 Nebraska households’ child tax credit is not cut in half;
    Makes sure more than 868,000 Nebraska families’ standard deduction is not cut in half;
    Establishes work requirements for able-bodied adults who are choosing not to work and do not have dependent children or elderly parents in their care; and
    Ensures no taxes on tips or overtime for millions of tipped and hourly workers.

It also supports Nebraska’s agricultural industry by:
    Extending the 45Z Clean Fuels Production Tax Credit to support Nebraska’s farmers and biofuel producers;
    Investing in and modernizing the farm safety net, including improvements to crop insurance;
    Expanding markets for Nebraska’s ag producers by investing in trade promotion;
    Increasing funding for foreign animal disease prevention to protect Nebraska’s ag industry; and
    Increasing funding for agricultural research. 

The bill invests in America’s border security through the following provisions:
    $46.5 billion for U.S. Customs and Border Patrol (CBP) to build the border wall and associated infrastructure;
    $45 billion to increase the detention of illegal migrants;
    $6 billion for improvements to surveillance at the border; and
    Funding for the U.S. Department of Homeland Security (DHS) to increase staffing and enhance migrant screening and vetting processes.

The bill also makes crucial investments in America’s national security through the following provisions:
    $15 billion to modernize nuclear weapons and delivery systems and to invest in the infrastructure needed to restore America’s ability to manufacture nuclear weapons;
    $25 billion to accelerate procurement of key munitions and expand production capacity;
    $25 billion for America’s Golden Dome—building a layered missile defense shield and developing space-based assets to protect the homeland and deployed troops; and
    $1 billion to support Department of Defense personnel and logistics for border security and counterdrug operations. 



Ricketts Celebrates One Big Beautiful Win for Nebraskans

U.S. Senator Pete Ricketts (R-NE) issued the following statement after the U.S. Senate voted to pass the One Big Beautiful Bill Act as part of the budget reconciliation process.

“The One Big Beautiful Bill is a once-in-a-generation opportunity to deliver for Nebraska,” said Ricketts.  “This legislation will result in increased security, strength, and prosperity for the American people.  The bill restores critical pro-growth business provisions and makes them permanent, benefitting Nebraska farming, ranching, and small business. Most of all, this is a win for families in Nebraska—creating a brighter future for our country.”

BACKGROUND:
This legislation is a win for Nebraska families:
    Prevents a $2,443 tax hike on the average Nebraska family.
    Protects over 44,000 family-owned farms in Nebraska from having their death tax exemption cut in half.
    Ensures more than 239,000 Nebraska households’ child tax credit is not cut in half.
    Makes sure more than 868,000 Nebraska families’ standard deduction is not cut in half.
    Establishes community engagement requirements for able-bodied adults who are choosing not to work and do not have dependent children or elderly parents in their care.



Senate Advances Bold Tax and Ag Package Benefiting Iowa's Soybean Farmers

The Iowa Soybean Association (ISA) applauds today’s U.S. Senate passage of the One Big Beautiful Bill Act, a sweeping package delivering generational wins for soybean farmers through federal tax code reforms, farm safety net improvements, and biofuel incentives.

At the heart of the bill is a strengthened Section 45Z Clean Fuel Production Credit. It’s an essential tool for supporting biofuels, including biodiesel made from soybeans. The final Senate package reflects several of ISA’s top priorities including extension of 45Z through 2029, removal of indirect land use change (ILUC) penalties, and a new restriction ensuring only feedstocks sourced from the U.S., Mexico, and Canada qualify for the credit. Additionally, the Small Biodiesel Producer Credit increased to 20 cents per gallon, supporting local biodiesel plants and boosting market access for Iowa-grown soy.

“This bill corrects serious flaws in the clean fuel credit and ensures Iowa-grown soybeans are judged by their actual environmental performance, not by arbitrary land use penalties,” said ISA District 6 Director Dave Walton, a farmer from Wilton and Secretary of the American Soybean Association. “Senator Grassley’s work to fix 45Z is a legacy achievement for Iowa farmers and biofuel producers.”

The bill delivers long-term stability and permanent tax relief to farmers. It raises the estate tax exemption to $15 million per individual, locks in the Section 199A deduction, and boosts the soybean reference price to $10 per bushel in 2025 with annual inflation adjustments beginning in 2031. The Agriculture Risk Coverage (ARC) program is strengthened and Beginning Farmer and Rancher (BFR) benefits for crop insurance are also expanded. The bill doubles funding for USDA’s Market Access Program and Foreign Market Development, creating new global demand channels for Iowa commodities.

ISA extends a sincere thank you to Iowa’s congressional delegation for supporting policies that prioritize market access, tax fairness and a strong farm safety net.

“We especially want to recognize Senator Chuck Grassley for being a relentless advocate on behalf of farmers throughout the 45Z negotiations and Congressman Randy Feenstra, who championed Iowa agriculture throughout discussions on 45Z and estate tax reform that was critical in shaping the final package,” said ISA President Brent Swart, a farmer from Spencer.

“Our delegation understands that policies aren’t theoretical but can be instrumental in the success of family farms,” said Swart. “We urge the House to build on this momentum and pass the bill without delay.”



NCGA Expresses Support for Portions of Senate Reconciliation Bill

The National Corn Growers Association (NCGA) applauded pieces of the Budget Reconciliation bill, which passed the U.S. Senate Tuesday.

“NCGA has worked closely with members of Congress as they drafted and voted on this legislation,” said Illinois farmer and NCGA President Kenneth Hartman Jr. “We are particularly pleased to see the permanent extension of certain tax provisions, which will provide more certainty to corn farmers around the country as they plan for the future of their businesses.”

 The bill contains many of NCGA’s federal tax priorities, including: 
    Permanently extending key provisions from the Tax Cuts and Jobs Act of 2017, including the expanded estate and gift tax exemptions, the qualified business income deduction and 100% bonus depreciation.
    Extending and modifying the clean fuel production tax credit, referred to as 45Z. The tax credit can help the biofuels industry make inroads into the aviation sector and attract investment into opening new markets for U.S. corn. One positive inclusion in the Senate’s 45Z language is its allowance of transferability of the credit. However, the Senate language reduces the value of the credit from $1.75 to $1.00 and shortens the lifetime of the credit from 2031 to 2029, actions that could injure the new market’s growth potential.

The bill also contains several of NCGA’s longstanding farm bill priorities, including: 
    Addressing the affordability of federal crop insurance coverage for producers, including support for beginning farmers and ranchers.
    Doubling mandatory funding for trade promotion programs, which will develop new markets and promote U.S. goods, helping to boost U.S. agricultural exports.  
    Strengthening the producer safety net by investing in modifications to the Agriculture Risk Coverage and Price Loss Coverage commodity programs that are more responsive to the current economic environment.

“While we would prefer to advance major agricultural legislation through a comprehensive farm bill, we are appreciative of the Senate leadership for getting a bill with many of our tax and farm bill priorities passed,” said Hartman.

NCGA has also advocated for policies to ensure that all base acres and payments better reflect growers’ recent planting history and is disappointed that meaningful reforms to existing base acres was not included in the bill.



ASA Applauds Senate Ag Support in Budget Bill

After over 24 hours of amendment debate, the “One Big Beautiful Bill Act” passed the Senate by a vote of 51-50, with Vice President Vance breaking the tie. The budget legislation, which paves the way for much of President Trump’s domestic agenda, included several American Soybean Association priorities, specifically securing key farm program and tax provisions. The bill now moves back to the House for final consideration.

“ASA applauds the Senate for its support of agriculture and the farm economy in this legislation. Soybean growers have long championed comprehensive revisions to the 45Z Clean Fuel Production Credit, an improved safety net for agriculture, and increased support for research and market expansion,” said ASA President Caleb Ragland, a Kentucky soybean grower. “The modified biofuel tax credits, enhancements to crop insurance and support for MAP and FMD, among other agriculture provisions included in this legislation will support U.S. farmers and expand market opportunities domestically. ASA urges the House to maintain these key agricultural provisions that support our rural economies as they consider this legislation.”

The House is expected to consider the Senate changes to the budget reconciliation legislation this week. If the chamber approves the legislation it will head to the President’s desk for signature, with a goal of July 4.



U.S. Senate Delivers Wins for Pork Producers in ‘One Big Beautiful Bill’
 
The Senate passed by a slim margin—with Vice President J.D. Vance casting the tiebreak—its version of the “One Big Beautiful Bill.” It includes many provisions important to pork, among them tax and animal health language.

National Pork Producers Council President Duane Stateler, a pork producer from McComb, Ohio, said, “We appreciate the efforts of Agriculture Chair John Boozman and other Senate leadership to ensure key animal health provisions were included in the bill, along with tax and other measures important to agriculture. Foreign animal diseases (FADs) threaten not only the livelihoods of pork producers but also our food supply chain at large. We thank our congressional leaders for these important steps to help keep our pork supplies safe, secure, and affordable for American families.”

The legislation fully funds measures and programs that help prevent, prepare for, and respond to FADs, including $233 million per fiscal year for the following:
    $10 million per year for the National Animal Health Laboratory Network (NAHLN)
    $70 million per year for the National Animal Disease Preparedness and Response Program (NADPRP)
    $153 million per year for the National Animal Vaccine and Veterinary Countermeasures Bank (NAVVCB)

The package also extends several key provisions of President Trump’s 2017 Tax Cuts and Jobs Act (TCJA), which are set to expire or begin phasing out at the end of 2025. These include provisions advantageous to agriculture related to bonus depreciation, estate tax exemptions, Section 179 expensing, and the qualified business income deduction.
 
The House version of the bill contains similar tax and animal health provisions. The next step on the path to passage is House consideration of the changes included in the Senate bill passed July 1. NPPC is hopeful for swift passage to preserve these key inclusions.



NCBA Encouraged by Senate Passage of Big Beautiful Bill, Urges House Action

National Cattlemen’s Beef Association (NCBA) Senior Vice President of Government Affairs Ethan Lane thanked the Senate for passing the One Big Beautiful Bill and urged the House to quickly pass the revised version of the bill so President Trump can sign it into law:

“The Senate version of the One Big Beautiful Bill protects family farmers and ranchers across the country from a massive tax hike at the end of the year, increases the Death Tax exemption, makes the Section 199A tax deduction permanent, increases the Section 179 tax deduction, funds foreign animal disease prevention programs, and delivers so many more wins for cattle producers.

“The Senate version of the bill also does not include controversial provisions that have gained national attention. The bill does not include any sale of public lands, and it does not include controversial language on eminent domain. NCBA’s grassroots policy supports landowners’ private property rights, and we oppose the expanded use of eminent domain.

“It’s time for the House to pass this bill and send it to President Trump’s desk so he can sign it into law.”



Farm Bureau Applauds Senate Passage of One Big Beautiful Bill

American Farm Bureau Federation President Zippy Duvall commented today on the Senate passage of the One Big Beautiful Bill Act.

“Farm Bureau applauds the U.S. Senate for passing the reconciliation package. Farmers and ranchers are the foundation of America’s food supply chain, and they need the certainty that this legislation will provide. Improvements to farm safety net programs that reflect today’s agricultural economy and maintaining important tax provisions will directly benefit farm and ranch families.

“Prices being paid to farmers continue to fall, while expenses remain stubbornly high. The combination is taking a toll – America lost more than 141,000 farms in a five-year period, leading to more consolidation of family farms. Increases to reference prices as well as investments in conservation, research and trade are desperately needed, especially since it’s been seven years since passage of a new farm bill. Farmers will stand a better chance of enduring tough times so they can plant for another season.

“Important tax provisions will also help farmers save money that can be used to pay bills, invest in new technologies, and pass the family farm to the next generation.

“We now urge the House to pass the bill and get it to the president’s desk for his signature to ensure America’s farmers and ranchers can continue putting food on the table for America’s families.”



2025 Livestock Enterprise Estimates Available

Iowa livestock producers can estimate their production costs for 2025 by using information published in the June edition of Ag Decision Maker.

The article, “Livestock Enterprise Budgets for Iowa,” https://www.extension.iastate.edu/agdm/livestock/html/b1-21.html provides average production cost estimates for common swine, beef and sheep enterprises in the state. Decision tool spreadsheets are also included that allow producers to enter their own numbers and estimate livestock enterprise budgets for their own operation.

Each budget contains estimates for both fixed and variable costs. The article notes that fixed costs occur regardless of tWoman with pigs in hog confinement buildinghe level of production each year. These costs include factors such as depreciation, interest and taxes on facilities and breeding livestock. Variable costs, like feed, depend on the scale of the production. 

Production costs are always important for producers to understand, said Tim Christensen, farm management specialist with Iowa State University Extension and Outreach and co-author of the article.

“Having a strong handle on production costs is a core business management aspect for livestock producers. Knowing the key components of their production costs can help producers immediately see the impacts changing feed costs or profits will have on their overall operation.”

Christensen noted that long-term average prices were used in the development of the livestock budgets. However, since each operation is unique, producers are encouraged to use the Livestock Enterprise Budgets for Iowa resource as a template and to build budgets for individual costs and projections using the decision tool spreadsheets https://www.extension.iastate.edu/agdm/decisiontools.html#livestock.

While feed costs saw a decline from 2024, notably, purchase prices for all livestock increased, making changes variable across the various enterprises.

For more information, contact Tim Christensen at tsc@iastate.edu.



Fats and Oils: Oilseed Crushings, Production, Consumption and Stocks

Soybeans crushed for crude oil was 6.11 million tons (204 million bushels) in May 2025, compared with 6.07 million tons (202 million bushels) in April 2025 and 5.75 million tons (192 million bushels) in May 2024. Crude oil produced was 2.42 billion pounds, up 1 percent from April 2025 and up 7 percent from May 2024. Soybean once refined oil production at 1.92 billion pounds during May 2025 increased 10 percent from April 2025 and increased 7 percent from May 2024.

Grain Crushings and Co-Products Production
Total corn consumed for alcohol and other uses was 501 million bushels in May 2025. Total corn consumption was up 6 percent from April 2025 but down 2 percent from May 2024. May 2025 usage included 91.9 percent for alcohol and 8.1 percent for other purposes. Corn consumed for beverage alcohol totaled 3.80 million bushels, up 42 percent from April 2025 and up 1 percent from May 2024. Corn for fuel alcohol, at 449 million bushels, was up 6 percent from April 2025 but down 1 percent from May 2024. Corn consumed in May 2025 for dry milling fuel production and wet milling fuel production was 92.0 percent and 8.0 percent, respectively.

Dry mill co-product production of distillers dried grains with solubles (DDGS) was 1.78 million tons during May 2025, up 9 percent from April 2025 but down 11 percent from May 2024. Distillers wet grains (DWG) 65 percent or more moisture was 1.22 million tons in May 2025, down 3 percent from April 2025 but up 1 percent from May 2024.

Wet mill corn gluten feed production was 265,970 tons during May 2025, up 10 percent from April 2025 but down 2 percent from May 2024. Wet corn gluten feed 40 to 60 percent moisture was 200,541 tons in May 2025, up 1 percent from April 2025 but down 4 percent from May 2024.



USDA Announces July 2025 Lending Rates for Agricultural Producers 

The U.S. Department of Agriculture (USDA) announced loan interest rates for July 2025, which are effective July 1, 2025. USDA Farm Service Agency (FSA) loans provide important access to capital to help agricultural producers start or expand their farming operation, purchase equipment and storage structures or meet cash flow needs.               

Operating, Ownership and Emergency Loans       
FSA offers farm ownership, operating and emergency loans with favorable interest rates and terms to help eligible agricultural producers obtain financing needed to start, expand or maintain a family agricultural operation.      

Interest rates for Operating and Ownership loans for July 2025 are as follows:        
    Farm Operating Loans (Direct): 5.000%  
    Farm Ownership Loans (Direct): 5.875%  
    Farm Ownership Loans (Direct, Joint Financing): 3.875%  
    Farm Ownership Loans (Down Payment): 1.875% 
    Emergency Loan (Amount of Actual Loss): 3.750%    

FSA also offers guaranteed loans through commercial lenders at rates set by those lenders.  To access an interactive online, step-by-step guide through the farm loan process, visit the Loan Assistance Tool on farmers.gov.        

Commodity and Storage Facility Loans      
Additionally, FSA provides low-interest financing to producers to build or upgrade on-farm storage facilities and purchase handling equipment and loans that provide interim financing to help producers meet cash flow needs without having to sell their commodities when market prices are low.  Funds for these loans are provided through the Commodity Credit Corporation (CCC) and are administered by FSA.    
    Commodity Loans(less than one year disbursed): 5.125%  
    Farm Storage Facility Loans:  
        Three-year loan terms: 3.875% 
        Five-year loan terms: 4.000% 
        Seven-year loan terms: 4.250% 
        Ten-year loan terms: 4.500%
        Twelve-year loan terms: 4.625%
     Sugar Storage Facility Loans(15 years): 4.750%         

More Information
To learn more about FSA programs, producers can contact their local USDA Service Center. 



Administration Secures Win for American Poultry Producers, Expands Market Access to Namibia

U.S. Secretary of Agriculture Brooke L. Rollins announced American poultry producers will have greater market access to Namibia, which will now accept fresh, frozen, and chilled poultry exports from the United States. The Trump Administration continues to take bold action to break down non-tariff barriers and defend current market access for farmers and ranchers.

"President Trump is renegotiating the status quo of bad trade deals that have left behind American farmers and ranchers for far too long. Our agriculture is the best in the world, and under President Trump’s leadership, we are providing more markets for farmers to share their bountiful harvest. The announcement today is a win for farmers, a win for exporters, and a win for freedom-loving nations who want access to safe, high-quality U.S. food,” said Secretary Rollins.

Effective July 1, U.S. exporters are now eligible to ship fresh, frozen, or chilled poultry and poultry products to Namibia, unlocking a market valued at $15 million. In addition, USDA successfully negotiated the removal of burdensome export and transit permit requirements for processed poultry products—reopening a previously restricted channel.

Namibia’s decision to recognize U.S. food safety standards and the work performed by the USDA’s Food Safety and Inspection Service, affirms the global reputation of USDA’s inspection system, which ensures that American poultry products are not only competitively priced, but rigorously verified for safety and wholesomeness.

This trade win follows four years of inaction by the Biden Administration, which caused the agricultural trade balance to go from a trade surplus under President Trump to a nearly $50 billion trade deficit under President Biden. Secretary Rollins has traveled to the U.K. and Italy, and will travel to Japan, Vietnam, India, Peru, and Brazil over the next three months to fight for American farmers and ranchers. Other USDA Trade Missions this year include the Dominican Republic, Taiwan, Côte d’Ivoire, and Mexico.



Farmer sentiment weakens due to cloudy trade outlook

Farmer sentiment weakened in June following two months of improvement, as tracked by the Purdue University/CME Group Ag Economy Barometer. The barometer dropped 12 points to 146 from the previous month. A change in producers’ expectations for the future served as the primary factor in the shift, with the Index of Future Expectations sinking 18 points to 146. The Current Conditions Index, however, lost only 2 points, standing now at 144. A drop in optimism about future agricultural exports seems to have influenced producers’ weakened outlook. Even with the June declines, all three indices persist at higher levels than a year ago. The barometer survey took place between June 9-13.

The Farm Financial Performance Index dropped 5 points to 104, with producers projecting a slightly weaker financial outlook for their farms in June than in May. An index above 100 indicates that U.S. farmers expect a stronger financial performance in 2025 than in 2024. The index has ranged from 101 to 111 since January. Helping to support this outlook are strong income prospects for the livestock sector, especially for beef producers.

The Farm Capital Investment Index, meanwhile, rose 5 points from May to 60, nearly matching April’s reading of 61. The investment index increased as the percentage of farmers who said it’s a good time to invest reached 24%, up from 19% in May. The percentage of respondents who indicated it’s a bad time to invest was unchanged from a month earlier. Based on responses to an additional question in the producer survey, the improvement in the investment index is not expected to translate into higher farm machinery sales. The percentage of producers stating that they planned reductions in farm machinery purchases compared to last year climbed to 54% in June, up 6 points from May.

The Short-Term Farmland Value Expectations Index fell 4 points to 120 in June. An index above 100 signals cautious optimism among producers about farmland values since it means more producers expect values to rise than fall. The main factor in this month’s change in the index stems from the falling percentage of producers (37% to 32%) who expect values to rise. The percentage of producers who expect values to hold steady increased 6 points to 56%.

Shifting producer expectations for ag exports seem to be driving the shift in farmer sentiment. From May to June, the percentage of producers who said they expect increasing agricultural exports over the next five years dropped to 41% from 52%. By contrast, the percentage of respondents who expect declining exports rose 4 points to 16%. The June reading was more negative than in May, but still notably more optimistic than in March, when 30% of those surveyed said they expected exports to decline in the future.

The June survey again asked producers for their perspective on if “free trade benefits agriculture and most other American industries.” Similar to the May survey results, only 31% of farmers in June said they strongly agreed with the statement. This stands in contrast to responses received to this question in fall 2020. When asked this question five years ago, 49% of respondents said they strongly agreed that free trade was beneficial.

The four most recent barometer surveys sought to learn more about farmers’ perspectives on the effect of U.S. trade policies on farm income. Each survey included a question that asked what impact they expected from the imposition of tariffs on their farm’s income. The May and June surveys confirmed ongoing producer worries about the tariffs’ impact on farm income. However, the percentage of producers who expect a negative or very negative impact has dropped since March and April. Most respondents (56%) in March and April said they expected a negative impact from U.S. tariff policy on their farms’ income. That percentage slipped to 45% in May and June. The percentage of respondents indicating that they expected a positive or very positive impact of the tariffs on their farm’s income shifted upward to 27% in May and June from 23% in March and April.

“Overall, we see weakened agricultural producer sentiment coupled with their weakened expectations for the future,” said Michael Langemeier, the barometer’s principal investigator and director of Purdue University’s Center for Commercial Agriculture. “Reduced optimism about the future of U.S. agriculture’s export prospects stands out as a major cause of the shift in sentiment. Although farmers remain concerned that U.S. tariff policies will reduce their income, fewer producers in May and June said they expect a negative or very negative impact on their income than they did in March and April.”



New Study Shows Economic Importance of Corn Refining

The Corn Refiners Association (CRA) released a report today detailing the critical nature of the corn refining industry and its work to support rural economies across the country. The report comes amid suggestions that foods should be considered Ultra-Processed based on the content of certain ingredients or use of production practices, a classification that fails to consider nutritional content.

The report, an independent analysis commissioned by CRA, focuses on the financial implications of displacing High Fructose Corn Syrup (HFCS) in the U.S. food supply.

“Any serious policymaker should consider the serious economic and food security consequences of unnecessarily restricting a long-standing, safe ingredient produced by American farmers and workers,” said CRA President and CEO John Bode. “HFCS has been used for decades because it is a safe, functional, and affordable ingredient that keeps food prices stable and supports jobs in rural U.S. communities. Today, as farmers are looking for more local demand options for their harvests, HFCS fuels demand for more than 410 million bushels of American corn each year.”

Bode continued, “Efforts to vilify HFCS threaten President Trump’s rural prosperity and trade agendas and ignore the science behind food and nutrition.”

The report outlines the severe consequences of removing HFCS from the domestic food supply:
    Complete elimination of HFCS would slash corn prices by up to $0.34 per bushel, wiping out $5.1 billion in revenue to farms. The resulting economic shockwave would lead to rural job losses and significant economic consequences to communities across the country.
    Broader corn refining demand loss – including HFCS, glucose, dextrose, and starch – could result in short-term losses of $13.9 billion, with long-term damage ranging between $5.2 billion and $7.5 billion annually.
    Even under more moderate assumptions, such as partial export redirection, losses could still reach $4.3 billion.
    Local economies would suffer, especially in regions anchored by corn refineries, where farmers stand to lose $0.25 to $0.50 per bushel in price premiums alone.

High-fructose corn syrup has been a foundational ingredient in the U.S. food supply for nearly half a century, valued for its safety, reliability, and versatility. It meets all regulatory standards and remains a preferred choice for many food and beverage manufacturers due to its affordability, shelf stability, consumer taste preference, and consistent performance. Backed by decades of science, domestically produced HFCS plays a vital role in maintaining both product quality and supply chain strength across the industry.

“HFCS is nutritionally equivalent to sugar and other caloric sweeteners, such as honey, sugar, and agave. Consumed in moderation, caloric sweeteners have a beneficial role to play in the diet. Due to the growing global obesity epidemic, we do not promote increased consumption of HFCS and encourage consumers to limit consumption of caloric sweeteners and other sources of calories,” Bode said.