Producers’ Net Costs Influence Offers to USDA’s Conservation Reserve Program

Bryan Pratt and Steven Wallander

Amber Waves:The Economics of Food, Farming, Natural Resources, and Rural America, 2022, vol. 2022

Abstract: The USDA’s Conservation Reserve Program (CRP) is one of the largest and longest-running programs to provide payments for environmental services. Owners of environmentally sensitive cropland who enroll in the program agree to remove the land from crop production and maintain approved conservation cover for the term of the CRP contract, which can be 10 to 15 years. Most land is enrolled in CRP through the General Signup, a national competitive process that operates much like a reverse auction. Producers offer to establish a specific conservation cover practice on their fields in return for a rental rate set by USDA’s Farm Service Agency (FSA). FSA offers to reimburse half the cost of establishing conservation covers for enrolled land in addition to making annual rental payments.

Keywords: Agribusiness; Agricultural and Food Policy; Crop Production/Industries; Farm Management; Industrial Organization; Land Economics/Use; Production Economics; Productivity Analysis (search for similar items in EconPapers)
Date: 2022
References: Add references at CitEc
Citations:

Downloads: (external link)
https://ageconsearch.umn.edu/record/329719/files/U ... serve%20Program.html (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:uersaw:329719

DOI: 10.22004/ag.econ.329719

Access Statistics for this article

More articles in Amber Waves:The Economics of Food, Farming, Natural Resources, and Rural America from United States Department of Agriculture, Economic Research Service Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().