Os subsídios dos EUA podem desaparecer?
Farmers, lobbying groups and agrochemical companies are facing a complex political environment that could affect the crop protection industry in the next few years.
Lawsuits and impending debates surrounding the Farm Bill, the current version of which is set to expire in September 2012, have left them wondering what will happen if the nation’s lawmakers cannot come to agreements on key issues including farming subsidies and pesticide regulations.
Farm Bill 2012
Current legislation regarding the 2012 Farm Bill has been put on hold as lawmakers in the United States debate the budget and attempt to cut spending to trim the nation’s deficit while simultaneously raising the debt ceiling.
There are 37 programs across 12 titles of the 2008 Farm Bill that will cease with the adoption of 2012 bill, and congressional leaders are specifically targeting agricultural subsidies in their reduction planning, according to the Congressional Research Service.
Both reigning political parties, the Republicans and the Democrats, have had continued disagreements on pending policies. The legislative process has slowed to a snail’s pace, forcing members of Congress to discuss minute details of pending bills for months, according to many Washington insiders.
“Current gridlock on Capitol Hill forces legislation to be better,” says John Boling, director of legislative affairs for the Chemical Producers & Distributors Association (CPDA). “Before, bills came down from leadership, and now there is a lot more openness to allow debate.”
Recent budget discussions are closely tied with measures outlined in the 2012 Farm Bill. The 2008 Farm Bill contained policies regarding subsidies for farmers of selected commodities, including wheat, feed grains, cotton, rice, oilseeds, peanuts, sugar, and dairy, according to a recent report from the Congressional Research Service.
“The budget situation creates uncertainty in dealing with agencies,” says Scott Kuschmider, director of government affairs for Monsanto. “The structure of subsidy bills is a concern.”
The US government should look at the long-term implications of cutting farming subsidies and domestic nutrition programs such as food stamps because of the potential negative consequences to farm incomes, the agriculture industry, and the economy, Kuschmider says.
Bob Hooten, regional technical sales manager for Corporação FMC, doesn’t see input use changing much with a reduction in subsidies unless commodity prices begin to significantly fall, he says.
“If we continue to use crops for energy production, that should keep crop prices high,” Hooten says. “Farmers will still see profit, just a lower profit if prices drop. Then they’ll look at input costs.”
With spending cuts on the horizon, pesticide formulators and manufacturers are recognizing the impact of the budget reduction talks and the realization that some programs will be cut.
“The reality is there are going to be cuts across the board,” says Dr. Michael White, director of regulatory affairs for CPDA.
EPA Regulations and Lawsuits
O Agência de Proteção Ambiental has been plagued by a barrage of lawsuits that could make it more difficult for agrochemical producers to break into the US market.
Environmental groups have been disrupting the efforts of the EPA to effectively regulate the crop protection industry, making it difficult for new agrochemical companies to enter the mix. Over the years, many lawsuits calling for the reform of pesticide regulation processes have exhausted the legal resources of the agency.
“How much it’s costing when environment groups are suing is a concern,” says Dr. Susan Ferenc, president of CPDA.
The most recent lawsuit, dubbed the “Mega Suit,” could affect 381 pesticide active ingredients in 49 states based on the welfare of more than 200 endangered or threatened species. The lawsuit states that the EPA is in violation of the Endangered Species Act (ESA) and has failed to properly consult with ESA services before registering new pesticides.
“This could impede agricultural progress,” says Jay Vroom, president of CropLife América.
However, the review process of the services the EPA utilizes to evaluate new formulations is broken. Inconsistencies between the type of research used to evaluate a product are affecting the EPA’s ability to fairly judge whether it is safe for human use and adheres to guidelines in the Endangered Species Act.
• US Ag Exports To Rise 26%
“A big goal of industry into coming year is that the consultation process is broken,” Dr. Ferenc says.
Much of the science is not peer-reviewed and could be considered gray, and there is no consistent standard to which new formulations are evaluated. The ESA should be improved as it is written, rather than trying to completely break down and come up with a new consultation process, which could use up resources and wastes taxpayers’ money, Dr. Ferenc says.
In addition, many experts within the EPA with specialized knowledge have been retiring, which could shape the US registration process in the coming years. New, younger hires don’t have the experience necessary to allow for a streamlined, accurate process, which could make it more difficult to register products in the future.
“The problem is replacing those with narrow expertise in EPA with qualified folks,” Dr. Ferenc says.