2020 was not an easy year for agriculture by any means. The COVID pandemic caused huge disruptions in the supply chain and low prices for many commodities, including dairy. Getting enough food to the supermarket was a challenge. With many states imposing lockdowns of businesses and school closings, the situation around the country was very difficult and our economy took a nosedive.
USDA paid out over $37 Billion in direct payments to farmers and ranchers to help bolster commodity prices. These were the largest federal government payments made in years. Early in the pandemic with supply chain disruptions there was food wasted as it could not get to the market. There was some milk that had to be dumped. Meat packing plants operated at less than 50% capacity.
But agriculture is resilient and as we head into 2021 the farm sector remains ready to continue to ensure that our food supply is stable. Layoffs and closed businesses have caused many families to suffer from lack of food. Efforts to get enough food to these needy families has been successful in many cases but more needs to be done. The issue is not that there isn’t enough food but the logistics in getting it to the families that need it most and to pay for the costs.
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