The Biden administration has announced a groundbreaking $2.2 billion allocation for Black farmers who have faced discrimination from the U.S. Department of Agriculture (USDA).
This move marks a significant milestone in addressing long-standing inequalities in the agricultural sector.
USDA Discrimination: A Long-Standing Issue
Black farmers have long reported discrimination by the USDA when applying for loans. Many were denied loans or received less favorable terms compared to their white counterparts. Some even faced premature foreclosure when struggling with payments.
Wardell Carter, whose family has owned 85 acres in Mississippi since 1939, shared his experience. Despite their long-standing ownership, they were repeatedly denied loan applications. USDA loan officers slammed doors in their faces or threatened to call the police.
Impact on Black Farmers’ Livelihoods
The discrimination had severe consequences for Black farmers’ operations. Carter’s family, unable to access USDA loans, couldn’t purchase a tractor for years. They relied on horses and mules, limiting their land use to just 40 acres.
John Boyd Jr., founder and president of the National Black Farmers Association (NBFA), described facing “blatant, in-your-face, real discrimination.” He recounted a loan officer spitting tobacco juice on him during a loan session.
The $2.2 Billion Relief Package
The new relief package, part of the Discrimination Financial Assistance Program (DFAP), aims to address these historical injustices. Over 23,000 approved farmers will receive payments between $10,000 and $500,000. An additional 20,000 who never received USDA loans will get $3,500 to $6,000.
Most beneficiaries are located in Mississippi and Alabama. This allocation represents a significant victory in a decades-long fight led by Boyd and the NBFA.
Legislative Journey and Challenges
The path to this relief package was not smooth. In 2021, Congress approved $5 billion for debt relief to 6,500 farmers of color. However, lawsuits from white farmers halted the program in June 2021.
To avoid a prolonged legal battle, Congress amended the law. The new version includes assistance for a broader group of farmers, with a designated amount for those discriminated against due to race.
Significance and Reactions
USDA Secretary Tom Vilsack acknowledged the relief package as recognition of past wrongs, stating it’s “not compensation for anyone’s loss or the pain endured, but it is an acknowledgment by the department.”
Boyd hailed the payout as historic, regardless of how it’s viewed. This allocation represents a crucial step towards addressing systemic discrimination in agriculture and providing long-overdue support to Black farmers.
