WASHINGTON, Aug. 2, 2016 – U.S. Department of Agriculture’s (USDA) Commodity Credit Corporation today announced 2016 crop loan rates for four types of peanuts.

USDA Announces Loan Rates for 2016 Crop Peanuts

For Immediate Release
August 02, 2016
    
U.S. Department of Agriculture, Florida/Virgin Islands Farm Service Agency
PO Box 141030
Gainesville, Florida 32614-1030
http://www.fsa.usda.gov/fl

Contact:
Janet Wright
352-379-4518
janet.wright@fl.usda.gov

 

WASHINGTON, Aug. 2, 2016 – U.S. Department of Agriculture’s (USDA) Commodity Credit Corporation today announced 2016 crop loan rates for four types of peanuts.

The 2014 Farm Bill established the national loan rate for peanuts at $355 per ton, which is unchanged from the previous Farm Bill. The Commodity Credit Corporation calculated the price support levels for each peanut type using the same method as last year. The Commodity Credit Corporation uses the national loan rate and five-year average quality factors, along with a three-year simple average weighted production. The rates take effect Aug. 1, 2016, the beginning of the peanut crop year. For an average grade ton of 2016-crop peanuts, loan levels by type are:

Runner-type peanuts

$354.43 per ton

Spanish-type peanuts

$339.00 per ton

Valencia-type peanuts

$359.97 per ton

Virginia-type peanuts

$359.97 per ton

The Commodity Credit Corporation applies premiums and discounts for quality factors to compute the loan value for an individual ton of peanuts. The actual loan level depends on the percent of various sizes of kernels in each ton. The Commodity Credit Corporation uses the percentage of sound mature kernels and sound splits to compute the basic loan value of the load. Sound mature kernels are whole kernels that pass over the testing screen officially designated for each type of peanut. Sound splits are whole kernels split into two pieces. Excess sound splits receive discounts. There are discounts for other kernels, damaged kernels and foreign materials. An additional discount occurs for loose shell kernels. Other quality discounts also may apply.

For each percent of sound mature kernels in a ton of peanuts, plus each percent of sound splits, the loan levels are:

Runner-type peanuts

$4.810 per percent

Spanish-type peanuts

$4.786 per percent

Valencia-type peanuts

$5.440 per percent

Virginia-type peanuts

$4.906 per percent

Additional peanut program information is available at http://go.usa.gov/x4mAw.

Since 2009, USDA has worked to strengthen and support American agriculture, an industry that supports one in 11 American jobs, provides American consumers with more than 80 percent of the food we consume, ensures that Americans spend less of their paychecks at the grocery store than most people in other countries, and supports markets for homegrown renewable energy and materials. USDA has also provided $5.6 billion in disaster relief to farmers and ranchers; expanded risk management tools with products like Whole Farm Revenue Protection; and helped farm businesses grow with $36 billion in farm credit. The Department has engaged its resources to support a strong next generation of farmers and ranchers by improving access to land and capital; building new markets and market opportunities; and extending new conservation opportunities. USDA has developed new markets for rural-made products, including more than 2,500 biobased products through USDA's BioPreferred program; and invested $64 billion in infrastructure and community facilities to help improve the quality of life in rural America. For more information, visit www.usda.gov/results.

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