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Updated May 20, 2021

U.S. Agricultural Aid in Response to COVID-19

Introduction
Coronavirus Disease 2019 (COVID-19) was first confirmed
in the United States in mid-January 2020. In addition to the
catastrophic health crisis it created, the COVID-19
pandemic has contributed to substantial economic upheaval
across the U.S. economy, including the agricultural sector.
This In Focus summarizes the majorCOVID-19-related
agricultural programs, the types of support they provide
(Table 2), and their implementation period, funding levels,
outlays to date, and underlying authorities (Table 3).
Relevant CRS reports on COVID-19-related programs for
agriculture and other areas, such as for nutrition assistance
programs, are identified in Table 1.
Impact of COVID-19 on US. Agriculture
The COVID-19 pandemic reduced domestic economic
activity and disrupted domestic and international supply
chains for goods and services, including food and
agricultural products. Initials upply chain disruptions
resulted in declines in producer prices of many agricultural
commodities between January and July 2020. In addition,
COVID-19-related shutdowns resulted in unexpected
higher marketing costs of unsold agricultural products. The
shutdowns' impacts were most severe forperishable
commodities, such as fruits, vegetables, and milk, as well as
for some market-ready livestock that could not be timely
processed (see Table 1, R46347).
Congressional and USDA Responses to COVID- 19
In response to agriculturalsupply chain disruptions,
Congress appropriated funds that the U.S. Department of
Agriculture (USDA) used to provide direct payments to
affected U.S. agricultural producers (Table 2 and Table 3).
USDA also used the general authority under the
Commodity Credit Corporation (CCC) Charter Act (P.L.
80-806; 15 U.S.C. § § 714 et seq.) to provide additional
funding. Programs funded included the Coronavirus Food
Assistance Program(CFAP-1, CFAP-2, and CFAP-AA)
(see Table 1, R46395 and R46645), plus a new USDA
Pandemic Assistance for Producers (USDA -PAP) program
that includes new funding and a follow-up effort to use
unspent CFAP dollars.
Congress also appropriated funds for USDA's nutrition and
food purchase and distribution programs, including the
Farmers to Families Food Boxprogram(F2F Food Box)
(see Table 1, R46432 and R46681), and for USDA loan
forgiveness to socially disadvantagedproducers.
Additionally, Congress appropriated funds for the Small
Business Administration (SBA) to create the Paycheck
Protection Program(PPP) to provide forgivable loans and
an emergency Economic Injury Disaster Loan (EIDL)

programto provide grants to smallbusinesses, including
agricultural businesses (Table 1, IN11357 and R46284).
Table I. CRS Reports on COVID-I 9-Related
Agricultural Support Programs
USDA Programs
CRS In Focus IFI 1491, Supplemental Appropriations for
Agriculture and Related Agencies Due to COVID-19
CRS Report R46347, COVID-19, U.S. Agriculture, and USDA's
Coronavirus Food Assistance Program (CFAP)
CRS Report R46395, USDA's Coronavirus Food Assistance
Program: Round One (CFAP-1)
CRS Report R46645, USDA's Coronavirus Food Assistance
Program: Round Two (CFAP-2)
CRS Report R46432, Food Banks and Other Emergency Feeding
Organizations: Federal Aid and the Response to COVID-1 9
CRS Report R46681, USDA Nutrition Assistance Programs:
Response to the COVID-19 Pandemic
SBA Loans and Grants
CRS Insight IN II 357, COVID-1 9-RelatedLoan Assistance for
Agricultural Enterprises
CRS Report R46284, COVID-1 9 Relief Assistance to Small
Businesses: Issues and Policy Options
Source: CRS. SBA = Small Business Administration.
Notes: For all otherCRS reports on COVID-19 and related issues,
see https://www.crs.gov/resources/coronavirus-disease-20 19.
Table 2. COVID-19-Related Agricultural Support
Programs: Implementing Agency and Type of Support
Implementing
Program           Agency          Support Provided
CFAP- I            USDA-FSA       Direct Payments
CFAP-2             USDA-FSA       Direct Payments
CFAP-AA            USDA-FSA       Direct Payments
USDA-PAP           USDA-FSA       Direct Payments and
Grants
PPP                  SBA          Forgivable Loans
EIDL                 SBA          Grants and Loans
F2F Food Box      USDA-AMS        Commodity Purchases
Source: Compiled by CRS. See Table 3 for program details.
Notes: CFAP = Coronavirus Food Assistance Program; PPP=
Paycheck Protection Program; EIDL= Economic Injury Disaster Loan;
F2F = Farmers to Families; FSA = Farm Service Agency; AMS =
Agricultural Marketing Service; PAP =PandemicAssistancefor
Producers; SBA = Small Business Administration.

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