'Certain Amount of Nervousness' on Farm Bill

The Farm Bill expired earlier this week, with Congress unable to come to terms on a new deal.

Since the 1950s, the bill tied together agricultural and nutrition programs, so rural and urban interests could bargain together.

But, as Purdue Agricultural Economist Otto Doering explains, a new bill is being delayed over continuing this union.

"The Farm Bill is not about the commodity title of the Farm Bill that we think of, it's about the food and nutrition programs," he said.  "The political battle over the food and nutrition programs has basically put the Farm Bill in limbo."

Conservative members consider some food and nutrition programs such as food stamps and the Women, Infants, and Children program too generous and wasteful and want them scaled back.

Doering says about 70 percent of the Farm Bill impacts non-farmers and says letting it expire has a real economic impact on some of the state’s poorest residents.

"Unemployment is staying high and it's not that these people are necessarily cheating the system.  It's that they are still in real trouble," he said.  "That's why the food stamp expenditure has stayed so high and it's important for these people in Indiana."

Because of the federal government shutdown, debate on a new farm bill is on hold.

Doering says one of the main concern is planning for next year.

"It's tremendously helpful for farmers to know really before the first of the year in terms of what they are going to grow next year," he said.  "Part of that decision relys on a Farm Bill, which hasn't been passed."

Doering doesn’t think the delay will result in lower commodities, but says some farmers may adjust what they produce.

"Farmers get nervous if they can't plan ahead," he said.  "So, there is just going to be a certain amount of nervousness out there.   I don't expect down the road we will see any great differences in total volume of commodities."