Trump announces $8 billion Harvest Fuel Relief program at Kansas rally

President Donald Trump announced the $8 billion Harvest Fuel Relief program at a rally in Park City, Kansas, on 19 October, two weeks before the midterm elections. The program will send one-time payments to farmers to offset diesel costs during harvest, the US Department of Agriculture said.

“Tonight I’m also pleased to announce that the Department of Agriculture will be launching a new Harvest Fuel Relief program, providing our farmers with $8 billion in support to offset diesel costs during this harvest season,” Trump said. Agriculture Secretary Brooke Rollins said the investment would “help bring certainty to our farmers during this harvest so they can continue to feed our nation.”

The package

The $8 billion is the largest single item in a package of more than $15 billion in aid and incentives pledged before the 3 November midterms. The Associated Press reported the package also includes at least $5 billion in guaranteed loans for ranchers and fishermen, $1.8 billion in conservation payments, $573 million for fertilizer manufacturing, $57 million for meat processing and $86.6 million in specialty crop grants. USDA said it would buy up to $472.5 million in agricultural commodities.

Reuters reported the new aid could push total government payments to farmers to $55.4 billion this year, above the previous record of about $45 billion in 2020. USDA said the program follows $12 billion in bridge payments to more than 560,000 farmers and nearly $14 billion in recent Agriculture Risk Coverage and Price Loss Coverage payments.

How payments will work

USDA said the $8 billion will provide proportional support based on modeled losses in the 2026 crop year. Payments will be calculated using planted acres, yields, prices and cost-of-production estimates. The Farm Service Agency will administer the program, which is funded through the Commodity Credit Corporation Charter Act. USDA said the payments cover only a portion of modeled losses and are not designed to make farmers whole.

Payment rates for major commodity crops such as corn, soybeans and wheat are due in November, with specialty crop rates to follow later. Farmers can pre-apply through Login.gov. Specialty crop growers have been asked to send fuel-cost data to [email protected].

Diesel costs behind the aid

Diesel averaged $6.31 a gallon on 21 October, up from $3.62 a year earlier, according to AAA data cited by the Detroit News. Prices had set a record $6.52 a gallon on 22 September.

The American Farm Bureau Federation projects an extra $8 per acre in diesel costs for corn, or $2,227 for an average 279-acre corn farm using 3.07 gallons per acre. A Democrat-led congressional report found farmers are on track to spend an additional $2.4 billion on diesel because of the war with Iran.

What happens next

USDA said more payment details will come later in November, and the timing of payments has not been specified.