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AG ECONOMISTS REPORT SHOWS WHICH STATES AND CROPS RECEIVE MOST GOVERNMENT PROGRAM PAYMENTS
May 24, 2023
by Carl Zulauf, Department of Agricultural, Environmental and Development Economics, Ohio State University and Jonathan Coppess, Department of Agricultural and Consumer Economics
University of Illinois
Payment by State: Seven of the 10 states receiving the most commodity payments are in the South (see Figure 2). PLC made 99% of payments in 6 of them and 86% of payments in Texas. Collectively, these 7 states accounted for 86% of PLC payments. The other 3 states in the top 10 are in the Northern Plains. ARC-CO accounted for over 90% of their payments.
Payment by Covered Commodity: Peanuts and long-grain rice accounted for 48% and 22%, respectively, of all commodity program payments (see Figure 3). Nearly all their payments were from PLC. Georgia, which received the most commodity payments, is the leading producer of peanuts and has 40% of US peanut base acres. Leading producer of long-grain rice is Arkansas. It has 48% of US long-grain rice base. Roughly 20% of US peanut base and 13% of long-grain rice base are in Texas, which received the second most commodity payments. The only other program commodities to receive payments from PLC were rapeseed and medium / short grain rice).
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