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USDA reminds producers of March 15 sales closing date for noninsurable crops

 

(NACOGDOCHES/Texas), March 11, 2015 –The Executive Director for the U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) in Nacogdoches-Angelina-Trinity-San Augustine-Shelby County, Lance Jacobs, urges producers who want to purchase coverage through the Noninsured Crop Disaster Assistance Program (NAP) to do so before the sales closing date of  March 15, 2015.

 

NAP provides financial assistance to producers of noninsurable crops when low yields/grazing loss, loss of inventory or prevented planting occur due to natural disasters including drought, freeze, hail, excessive moisture, excessive wind or hurricanes.

 

In order to meet eligibility requirements for NAP, crops must be noninsurable, commercially-produced agricultural commodity crops for which the catastrophic risk protection level of crop insurance is not available.

 

According to Jacobs, FSA policy has changed - for the 2015 crop year, producers in Kansas, Nebraska, North Dakota, Oklahoma, South Dakota and Texas who annually plant crops used for mechanically harvested livestock feed, can purchase both NAP coverage at the catastrophic level or higher (“buy-up”) and Rainfall Index – Annual Forage Insurance plan coverage offered through Risk Management Agency (RMA); however if a NAP payment and indemnity benefit are payable, the producer must choose.  The producer cannot receive benefits under both.

 

The Agricultural Act of 2014 (the 2014 Farm Bill) allows producers to choose higher levels of NAP coverage. Previously, the program offered coverage at 55 percent of the average market price for crop losses that exceed 50 percent of expected production. Producers can now choose higher levels of coverage, up to 65 percent of their expected production at 100 percent of the average market price. It is important to note that the higher coverage is not available on grazing crops.

 

The following crops in Nacogdoches-Angelina-Trinity-San Augustine-Shelby County have a NAP application closing date of March 15, 2015:  Beans, Corn, Cucumbers, Peas, Tomatoes and Watermelons.

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