Insights on Agricultural Policy News from the US

Agricultural policy news

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Did you know that last year, natural disasters cost American farmers over $21 billion in crop losses? This high figure highlights the need for strong agricultural policies and support. The *Inflation Reduction Act of 2022* has provided a massive $18 billion for conservation efforts. These funds are crucial for farms to overcome challenges due to climate change.

The problem is, this amount falls short of what’s needed. More than double the amount of funds are required. The US Farm Bill’s reauthorisation is currently under debate. Its aim is to tackle the shortage of funds and ensure a stable future for farming, despite the challenges of climate change.

Key Takeaways

  • Natural disasters caused over $21 billion in crop losses for US farmers in the last year.
  • The Inflation Reduction Act of 2022 includes a significant $18 billion investment in conservation programmes.
  • Demand for these conservation funds far exceeds availability, highlighting critical funding constraints.
  • The reauthorisation of the US Farm Bill is essential for ensuring long-term agricultural sustainability amidst extreme weather conditions.
  • Recent proposals in both the House and Senate aim to bolster these investments, reflecting a positive direction for agricultural policy updates.

Introduction to US Agricultural Policy

The US agricultural policy framework is key in shaping the rural scene and ensuring we all have enough to eat. It takes a wide view, helping in areas like preserving nature, growing rural areas, and supporting farmers. This strong system ensures our farmers and countryside thrive.

Overview of Current Policies

Today, US agriculture is guided by the 2018 Farm Act. This law, covering everything from crop insurance to helping rural areas, replaced the 2014 Farm Bill. It can change many different laws, showing its wide reach. What’s more, for transparency, the ERS puts out a yearly report on US agricultural policies.

Importance of Agricultural Policies

The importance of these policies is huge. They offer crucial help to the farm sector through well-structured plans, focusing on long-term health and economic strength. For instance, many farmers are part of conservation programs throughout the country. This shows how these initiatives support sustainable changes and boost rural places.

These policies are also about finding a balance. They make sure farming supports our economy and our environment. By offering help, farmers can grow their businesses in a way that’s friendly to the planet. So, these policies look at the big picture. They cover everything from how food is grown to keeping the countryside beautiful, guiding our nation’s farm rules.

Latest Updates on the Farm Bill

The 2024 Farm Bill reauthorisation matters a lot to those in farming and those watching agricultural policies. It looks to meet the needs of farmers and the country’s farming goals.

farming policy changes

Reauthorisation and its Impact

The Farm Bill update has big effects on farming. President Biden wants to up the Department of Agriculture’s funds by 7.4% in 2025. But, a bill from the House set to reduce funds by 30% for 2024 shows a difference in opinions.

The Senate’s bill for 2024 plans to spend $500 million more than the prior year, mostly on nutritional support for women, children, and infants. This shows how it’s tough to agree on where funds should go in farm policy.

The 2018 Farm Bill got extended to September 2024, giving more time to work on a new bill. This extension helps keep things steady for now. But, it also shows the need to sort out a clear and updated farming policy soon.

Key Proposals in the House and Senate

The House and Senate shared their 2024 Farm Bill outlines. The House wants to beef up help for farmers and put more money into protecting nature. They’re reacting to the growing challenges from climate change.

The Senate aims to boost nutrition help and promote making products from plants. It also introduces new plant insurance ideas. The Senate’s funding plans got full support in their committee, showing lots of agreement there.

Even though they share some goals, the House and Senate have different focuses in their bills. This means there’s a lot to figure out as they try to agree. Their debates are key to making farm policies that help farmers and meet wider goals for the environment and health.

Getting the 2024 Farm Bill agreed on is crucial for America’s farms. Keeping up with these policy updates is vital to see how the farm sector will move forward.

A Closer Look at Conservation Programmes

Conservation programmes are vital in US agriculture, focusing on eco-friendly practices. They get a lot of money from recent laws. This cash helps with soil, water, and fighting climate change. But, some talks might cut this money, which worries people about the future impact.

Funding and Support Mechanisms

The Inflation Reduction Act gives $19.5 billion to the Department of Agriculture for smart climate projects. This big amount shows a serious effort to cut greenhouse gases and save carbon. Important projects like the Regional Conservation Partnership and others get help. This backing is key for good environmental farming.

The farm bill’s future spending is under debate. It might allocate just $13 billion for important conservation work. The debate shows how critical it is to carefully plan and secure these funds for the necessary agriculture conservation programmes.

Popular Conservation Practices

US farming relies on various conservation efforts. These include smart ways for animals to graze, less pesticide use, and controlled fires. They all get a boost from the Inflation Reduction Act, helping agriculture stand up to a changing climate.

Important programmes, like the Conservation Reserve Program, are looking to expand. They want to raise the land limit by two million acres by 2029. Adding more grasslands is part of aiming for better conservation. Other schemes, such as EQIP and CSP, now require plans to cut farm emissions. They focus on trapping more carbon. This approach aims for all-round progress in environmental farming.

Fighting for strong conservation is crucial despite funding worries. It not only helps our land but makes sure farming can sustain in the long run.

The Role of the Inflation Reduction Act in Agriculture

The Inflation Reduction Act (IRA) of 2022 is a big step for farming, especially in terms of saving the environment. Worth about $770 billion, it has about $40 billion for farming, forestry, and improving the countryside. This big cash shows strong help for farmers and land managers as they deal with climate change.

Inflation Reduction Act conservation investments

Investment in Conservation Programs

Almost $20 billion in the IRA goes to green farming projects. This includes things like making farms more eco-friendly, keeping them safe, and fixing up the land. These projects get way more money now than in the past, nine times more, thanks to this act.

There’s also $5 billion for looking after the forests better and another $3 billion for clean energy in the countryside.

Impact on Farmers

Farmers like the push for more eco-friendly and weather-proof farms. They’re happy with the $18 billion going into farming and forests that work smart against climate change. But, there’s a debate in Congress about keeping this money coming in the long run.

Some projects in the past few years didn’t fully match up to being eco-smart. Yet, there are teams working on making sure the next steps will be better.

Folks want to make sure the IRA’s help doesn’t stop in 2031. They hope to get a plan started in the 2023 farm bill to keep these good projects going. This strategy is all about keeping steady, strong help for making farms and forests better for everyone.

“The Inflation Reduction Act represents an unprecedented opportunity for agriculture,” notes USDA Secretary Tom Vilsack. “We must strategically allocate these resources to uphold our commitment to climate-smart practices and long-term agricultural sustainability.”

Challenges Due to Extreme Weather Conditions

Extreme weather is a big problem for farming. It endangers our food and the earth’s future. In just one year, the U.S. lost over $21 billion due to crops failing. This shows how important it is to manage risks well in farming. Let’s look at the dangers and how we can fight them to keep farming alive.

Agricultural Risks and Disasters

Bad weather hits farming hard. It doesn’t just ruin crops. It causes floods, droughts, and storms that make food harder to find and more expensive. For example, in Nigeria, farmers face increasing costs due to bad weather. A farmer there saw a big drop in the amount of maize and rice they could grow because it cost too much. This happened in 2023.

By 2023, 3.1 billion people couldn’t buy healthy food. That’s 42% of the world not eating right. Plus, 735 million were hungry, 122 million more than before the pandemic.

Mitigation Strategies

The U.S. has plans to fight these risks, like using better farming methods. They’re also working on stronger farms and roads. In Nigeria, they’re also trying to limit the bad effects of the weather changes on farming.

The Nigerian Meteorological Agency warns there could be even more hunger soon. They say over 25 million people might starve in the lean season. So, farmers are changing what they grow to save money and keep growing food. These efforts together are meant to make farming more stable, even with the bad weather.

Impact2023 Statistics
Global Food Insecurity735 Million People
Unaffordable Healthy Diet42% of World Population
Nigerian Inflation Rate29.9% (Food: 35.4%)
Affected Nigerian FarmersOver 25 Million
Reduced Crop Yield in NigeriaMaize, Rice, Cowpeas

Sustainable Farming Practices

Looking deeper into sustainable farming, the role of soil health and saving water is vital. U.S. farming policy heavily supports these methods with big funding. This shows their importance for future farm productivity and taking care of our planet.

sustainable agriculture methods

Importance of Soil Health

Soil health is key in sustainable farming. Good soil helps keep water, nutrients, and supports high crop growth. The SARE program, with over $46 million in funding from the USDA, is deeply committed. It helps farmers use smart ways to grow their crops, no matter the region.

Water Conservation Techniques

Conserving water in farming is now essential. The SARE program actively helps with water-saving projects. This means farms are better prepared for climate changes. Techniques like smart irrigation, special crop types, and collecting rainwater help farming to stay strong.

Here’s a table showing the impact of SARE’s work:

YearInvestment (million $)Projects FundedFocus Areas
20222.2*VariousAgricultural research, education, and Extension
1988-20233808,400+Climate-smart solutions, soil health, water conservation

This table shows the huge effort made in sustainable farming. Companies like Clover Sonoma and Starbucks play a big role too. They focus on cutting down methane and making all farming more sustainable.

To sum up, working on soil health and saving water is crucial for farming’s future. With ongoing support and investment, we can make farming better for the planet and for the people who work the land.

Insights on Agricultural Policy News

Recent updates in farming have shown big changes in laws. This means rules must keep up with new conditions. The Midwest’s quick start to planting in April shows how important it is for farms to be up-to-date.

Recent Announcements

The U.S. wants to check beef for bird flu in places with sick dairy cows. This shows how serious it is to watch out for animal sickness. Also, President Biden is pushing for green jet fuel made from corn. It’s a move to use more eco-friendly energy. AGree has been working for ten years to make farming better for nature and farms. This shows how government policy is working to make farming stronger.

Legislative Changes

The new May report on farming is a big deal. It tells us about the new year’s farming and market needs. This helps everyone plan better. The fight against animal sickness is getting more money. This includes $200 million to fight bird flu and help dairy farmers who lose out.

AGree wants the next Farm Bill to help farmers with good advice, ways to reduce risks, and money. This means encouraging farmers to protect the environment and make their farms stronger.

Key Focus AreasDetails
Animal Disease SurveillanceTesting beef for avian influenza, $200M allocated for bird flu mitigation
Sustainable Energy GuidanceGreen jet fuel production for corn ethanol producers
Supply and Demand EstimatesFirst look at new crop year’s balance

To sum up, the latest updates in farming show a fast-moving sector. It’s marked by careful changes in laws and updates to farming policies. These are all aimed at keeping farming healthy and productive.

Farmers’ Safety Net Enhancements

The proposed 2024 Farm Bill by the House and Senate Committees plans to boost the farmers’ safety net. It aims to keep farmer incomes stable, even with changing markets and weather.

farmers' safety net

PLC and ARC Programmes

The safety net’s key parts are the PLC and ARC plans. These help farmers deal with money troubles due to low prices or crop risks. The Senate also wants to use IRA funds for better conservation. This could raise crop prices and make these plans work better.

Support for Specialty Crops

Fruits, vegetables, and nuts are key to US farming. The Senate plan adds a section just for these crops to help manage risks. This change means these crops will get more help than before.

The House wants to move $14.4 billion to better conservation and help specialty crops. These moves show a strong wish for a fair, strong farm world. As talks go on, it’s important to watch how these ideas are carried out. We must make sure all farms get good support.

Agricultural Subsidy News

The farmer’s world is always changing, and we see the need for good subsidy mechanisms in agriculture. These systems help keep farmers afloat and encourage eco-friendly farming. They make sure farmers can keep up with their work and stay successful.

Current Subsidy Mechanisms

The U.S. Department of Agriculture (USDA) is putting $1.5 billion into the Regional Conservation Partnership Program (RCPP) for 2024. This is part of President Biden’s efforts to support the environment. Over the next five years, more than 180,000 farms on 225 million acres will benefit. Also, the Inflation Reduction Act’s $19.5 billion includes $4.95 billion for the RCPP in the same period.

Currently, the Natural Resources Conservation Service (NRCS) is using $1.8 billion on 256 RCPP projects in almost every state. Tribal projects got a $100 million boost. This shows how important subsidies are in keeping farming sustainable.

Future Prospects and Changes

The role of agricultural subsidies in the coming policies is under the spotlight. The House Agriculture Committee is working on a new farm bill. This bill would increase spending on crop subsidies by $23 billion but cut SNAP funding by $28 billion over ten years. Crops like cotton, rice, and peanuts may see their subsidies go up by 140%.

This increase plans to put $17.4 billion more into the Price Loss Coverage (PLC) programme. It would also expand the Agriculture Risk Coverage (ARC) system. The aim is to make the subsidy processes quicker. The NRCS wants to cut down the time it takes to make agreements from 15 months to 6 months. They are also improving policies and tools for business and giving more power to State Conservationists.

Nutritional Assistance Updates

Government efforts to improve nutritional help show how much they care for those in need. They aim to make sure vulnerable groups can find enough food. A big change is happening with the Thrifty Food Plan, key for SNAP, to make food assistance better.

nutritional assistance policies

Thrifty Food Plan

Recent Thrifty Food Plan updates are about making better food a real choice for everyone. The US Department of Agriculture considers current health guidelines, food costs, and what people eat. It tries to show the true expense of a healthy diet. This would help families pick healthier foods.

Changes in Nutrition Title Programmes

Changes in food support go beyond just the Thrifty Food Plan. The USDA is working to make its food help match changing times and real needs. These efforts are part of the Farm Bill’s food aid, with most funds going to these efforts. With these changes, better support is made for people, especially 12 million kids, struggling with hunger.

Biofuels and Agricultural Policies

The U.S. Department of Agriculture (USDA) is making big investments in clean energy. They are supporting biofuels and jobs, aiming to lower energy costs. This shows the government’s strong support for the agricultural sector.

Support for Biofuels Production

The USDA is putting in a lot of money for biofuels. They’ve given out $238 million for projects through two big programs. These efforts are especially helping renewable energy in farms across America.

The Higher Blends Infrastructure Incentive Program has added $43 million to make domestic biofuels more available. Now, in June 2023, another $450 million is set to further boost biofuels. This shows a long-term commitment to using biofuels in farming.

Impact on the Agricultural Sector

Biofuels are really helping in farming. Ethanol has cut fuel costs by 25%, and in many states, gas is under $2.99. The USDA has also invested a lot to make sure more places have biofuels at their gas stations, with a big focus on Iowa.

Big boosts are happening in biofuels sales. For example, Casey’s is increasing their supply by 50 million gallons. And Piasa Enterprises Inc. expects to sell 2 million more gallons of biodiesel yearly. AC&T Inc. is also installing more ethanol equipment in Maryland to increase sales by over 106,000 gallons a year.

ProgrammeFundingImpact
REAP$238 millionSupport across 35 states and Puerto Rico
HBIIP$43 millionIncrease biofuels availability in 15 states
Casey’s Initiative$5 million50 million gallons/year increase in biofuels supply
Piasa Enterprises Inc.$200,0002 million gallons/year increase in biodiesel sales
AC&T Inc.106,000 gallons/year increase in ethanol supply

The USDA’s strong support for biofuels highlights their importance in agriculture. These initiatives are key for a sustainable farming future.

Trade and Export Policies

Trade and export policies in agriculture are key for U.S. farm products to be known worldwide. The U.S leads in exporting agricultural goods globally. The USDA closely watches trade and export policies in agriculture to understand their impact. They work to make sure U.S. farmers can compete well worldwide.

trade and export policies in agriculture

The U.S. promotes open trading to help boost agriculture in poorer nations. The USDA, together with groups like the Foreign Agricultural Service and the Office of the U.S. Trade Representative, focuses on making good trade deals. This effort aims to open up international markets for U.S. farmers.

Market Access Programmes

Market Access Programmes greatly help in reaching more agricultural markets. They push U.S. farm products in foreign lands, breaking down barriers to trade. The Indo-Pacific Economic Framework is a big effort towards this. It aims to make a top-notch deal that will help U.S. farming.

Foreign Market Development

Developing foreign markets is key to expanding U.S. agriculture globally. The pact with Kenya started in July 2022 to boost trade and economic growth. There’s also the U.S.-Taiwan 21st Century Trade Initiative, showing efforts to find new thriving sectors. The Americas Partnership for Economic Prosperity helps boost economic ties with other countries for mutual growth.

In 2023, U.S. agricultural exports totalled $181 billion. This high number shows the impact of trade and export policies in agriculture. These policies improve the U.S. economy and keep the U.S. farming sector strong in the global market.

Rural Development Policies

Rural development policies and agricultural productivity are closely linked. These policies focus on investing in infrastructure and services. This helps not only farmers but also improves life for those in rural areas.

Infrastructure Investments

Recognising the need for infrastructure investment in rural areas, policies set aside big sums for projects. For example, the European Agricultural Fund allots €95.5 billion for 2021-27. Part of this, €8.1 billion, addresses COVID-19 through the EU recovery fund.

This money goes towards important areas like loans, microcredit, and more. The aim is to support the most crucial projects. Moreover, the LEADER Programme oversees local projects to drive innovation and sustainable growth. The Smart Villages Initiative, on the other hand, pushes for technological progress in rural spots.

At least 35% of the budget goes to projects focusing on climate, biodiversity, and animal welfare. This ensures the developed infrastructure meets environmental goals.

Healthcare and Education Support

Rural policies also focus on healthcare and education. The USDA is introducing new efforts to strengthen these in rural regions. For healthcare, there are partnerships to improve water systems. For education, grants are available to boost educational access.

This support aims to make rural spots vibrant and healthy. Policies are designed to enhance the lives of people living in the countryside. This isn’t just about farming, it’s about the overall well-being of rural communities.

Investment AreaDescriptionAllocated Funds
InfrastructureLoans, microcredit, guarantees, and equities for priority projects€95.5 billion (total EAFRD budget 2021-27)
LEADER ProgrammeManagement of thousands of local projectsAt least 5% of RDP funding
Smart Villages InitiativeInnovation in rural areasCovered under EAFRD and national CAP strategic plans
Climate & BiodiversityEnvironmental and animal welfare measuresAt least 35% of rural development funding
HealthcareAccess to clean water, modern wastewater systems, technical assistance for rural hospitalsVariable under new USDA initiatives
EducationGrant funding, housing loan feedback, enhanced accessVariable under new USDA initiatives

Investments are key for building a bright future in rural areas. They aim to support both farming and the general well-being of rural folks.

International Perspectives on US Agricultural Policy

US agricultural policy is shaped by global events. This offers insights into international trade and market stability. *Global supply chain impacts* and conflicts affect US farming significantly. This shows how US policy is linked to worldwide issues.

international perspectives on US agri policy

Global Conflicts and Their Impact

Conflicts around the world can deeply affect agricultural supplies and prices. In 2023, US trade wins allowed access to markets valued at $6.4 billion. Yet, ongoing instability can disrupt these gains, affecting the global flow of goods.

Inflation and Supply Chain Issues

Inflation plays a key role in supply chain problems. In 2023, the USDA launched the Regional Agricultural Promotion Program (RAPP) to help. It was a $1.2 billion effort to support struggling markets. *International perspectives on US agri policy* stress the importance of strong supply chains. The FAS’s 25 trade shows in 15 countries resulted in $1.5 billion in expected sales. This effort shows why stable supply chains are vital.

EventOutcome
Total U.S. agricultural exports in 2023$174.9 billion
Trade wins in 2023Access to markets worth $6.4 billion
FAS’s trade missions1,600+ meetings, $70 million in projected sales
FAS’s international trade shows$1.5 billion in projected sales
USDA’s RAPP initiative$1.2 billion investment
FAS’s Food for Progress and McGovern-Dole Programmes$442 million investment

Economic Factors Influencing Agriculture

Understanding the agricultural world means looking at economic factors. The economic influence on agriculture goes beyond simple market prices. It includes things like the Consumer Price Index (CPI), interest rates, and costs of building. All these things affect the economy of farms, guiding choices and results in the farming industry.

Consumer Price Index Trends

The Consumer Price Index (CPI) shows how prices are changing over time. It reflects what consumers pay for goods and services, showing the inflation rate. Changes in inflation affect farming by changing the prices of inputs and the products farmers sell. So, when CPI changes, it affects how much money farmers can make.

Interest Rates and Construction Costs

Interest rates are key in the economic influence on agriculture. When interest rates are low, farmers can borrow money cheaply to invest in their farms. This helps them grow and become more efficient. However, when rates rise, it’s harder for them to borrow what they need, which can slow down their growth.

At the same time, building and labour costs are high. This makes it tough for farmers to improve their buildings or grow their operations. The high costs of building can stop them from investing, affecting how well they can compete and how productive they are.

FactorImpact on Agriculture
Consumer Price IndexInfluences cost of inputs and pricing of commodities
Interest RatesAffects loan affordability and investment capabilities
Construction CostsHigh costs limit infrastructure expansion and upgrades

Conclusion

The US agriculture industry is facing crucial changes. The 2024 Farm Bill proposals from the House and Senate aim to help farmers and the environment. President Biden wants to raise funds for agriculture by 7.4% in 2025. This shows the government’s strong support in tough times.

The path to these decisions wasn’t easy. The House cut funding by 30% in 2024, but the Senate added $500 million from the year before. They also faced issues including policy riders, showing deep disagreements. Despite this, everyone is trying hard to meet the sector’s changing needs.

The USDA is also taking solid steps to help. They bought more apples and increased support against bird flu, helping farmers. Initiatives like leasing cropland for solar power and discussions on the Williamson Act are adding layers to agricultural policy. These show how complex and important these policies are for the future.

To sum up, US agricultural policy is about finding the right balance. It must support the economy while protecting the environment. Figuring out funding, laws, and debates highlight the industry’s strength. Moving ahead, these policies will keep evolving to support American agriculture’s future.

FAQ

What are the latest updates on agricultural policy news from the US?

Right now, the US is focusing on the Farm Bill debate. The future of farmers dealing with extreme weather is at stake. A big billion from the Inflation Reduction Act supports them. This is for conservation and keeping agriculture sustainable amidst high demand.

What are the current US agricultural policies?

US policies cover many areas like conservation and trade. They support farmers and encourage sustainable practices. These policies keep our food secure while considering environmental and economic issues.

Why is the 2024 Farm Bill reauthorisation important?

Reauthorising the 2024 Farm Bill is key. It aims to improve safety nets for farmers and fund more conservation. It’s also about making sure more people get the food they need. This step is vital for a strong, sustainable agricultural sector.

How do conservation programmes support agriculture?

Conservation programmes in the US help protect soil and water. They also make farms better at dealing with climate change. But, they need more stable funding and better rules to be even more effective.

What is the role of the Inflation Reduction Act in agriculture?

The Act shows a big commitment to farming with an billion budget for conservation. This money helps agriculture fight the challenges of climate change. But, there’s still debate in Congress about making this budget permanent.

How do extreme weather conditions affect US agriculture?

Bad weather can cause huge losses, sometimes over billion in a year. US policy aims to lessen these risks with climate-smart farming. It’s about keeping the farming industry strong despite the challenges.

What are some sustainable farming practices encouraged by US policy?

US policy likes farming that focuses on keeping soil healthy and saving water. These practices are key for farming’s long-term success. Students, you can learn more about them through different funding and activities.

What recent announcements and legislative changes have there been in agricultural policy?

Recent changes show how farming is always evolving. They deal with new problems, make old programs better, and use new tech. This shows that farming policy is always changing to be more effective.

What mechanisms are in place for enhancing the farmers’ safety net?

Programmes like Price Loss Coverage and Agriculture Risk Coverage help farmers feel safe financially. They protect against sudden changes in income. There’s also extra help for special crops to be fair to all farmers.

What is the current status of agricultural subsidy mechanisms?

Subsidy mechanisms are there to help farmers cope with unpredictable markets. Current discussions might change how these work, which could affect how well farmers do and choose what to produce.

What are the updates to nutritional assistance policies?

Change in nutritional help includes updates to what the Thrifty Food Plan offers. These updates aim to help food reach more people who need it. They make sure food programs work well while considering costs and health.

How do biofuels policies impact the agricultural sector?

Biofuels policies are big on using crops for energy, which brings farming and energy together. They change how much demand there is for crops used in biofuels. This changes where the farming industry goes, making it greener.

What are the key trade and export policies in agriculture?

Key to trading abroad are Market Access Programmes and Foreign Market Development. They help make what the US farms more competitive worldwide. This is a smart way to join in the global market.

How do rural development policies support agricultural communities?

Rural development looks at building better places with good roads, health, and schools. It helps grow the country and its farming together. This shows a strong link between the countryside’s well-being and good farming.

What are the international perspectives on US agricultural policy?

Other countries see how global problems can affect US farming. Things like global conflicts and shortages of supplies change prices and markets. This shows how farming in the US is part of a bigger world economy.

What economic factors are influencing US agriculture?

Things like how much it costs to live, bank rates, and building can change farming a lot. Lower bank rates might help farmers invest. But high building and labour costs make the future of farming more complicated.

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