COLUMBIA, Mo. (AP) — The Biden administration has announced the distribution of over $2 billion in direct payments to Black and other minority farmers who have faced discrimination by the U.S. Department of Agriculture (USDA). This significant financial aid marks a critical step towards rectifying historical injustices in the agricultural sector.
More than 23,000 farmers have been approved for payments ranging from $10,000 to $500,000, according to the USDA. Additionally, around 20,000 prospective farmers who had planned to start a farm but did not receive a USDA loan were awarded between $3,500 and $6,000. The majority of these payments have been directed towards farmers in Mississippi and Alabama, regions historically marked by systemic discrimination in agricultural lending practices.
USDA Secretary Tom Vilsack acknowledged the limitations of the aid, stating, “This is not compensation for anyone’s loss or the pain endured, but it is an acknowledgment by the department.” The USDA has long been criticized for its discriminatory practices, including refusing to process loans for Black farmers, approving smaller loans compared to white farmers, and expedited foreclosures on loans to Black farmers who encountered difficulties.
John Boyd Jr., the Founder and President of the National Black Farmers Association, welcomed the aid but emphasized its inadequacy. “It’s like putting a bandage on somebody that needs open-heart surgery,” Boyd said, highlighting the broader need for land restoration and comprehensive policy changes. Boyd is currently involved in a federal lawsuit seeking 120% debt relief for Black farmers, a measure approved by Congress in 2021 but stalled due to legal challenges from white farmers.
The initial $5 billion allocated for debt relief was part of the $1.9 trillion COVID-19 stimulus package. However, legal battles halted the program, leading Congress to amend the law and expand financial assistance to a broader group of farmers. The revised legislation allocated $3.1 billion to help farmers struggling with USDA-backed loans and $2.2 billion to compensate farmers who faced discrimination.
Wardell Carter, a Black farmer from Mississippi, shared his family’s struggles, detailing how they were denied access to loan applications since his father purchased land in 1939. Carter described the hostile treatment by USDA loan officers, including threats of police intervention. Without access to loans, the family relied on a horse and mule for farming, limiting their productivity and profitability.
Despite these challenges, Carter remains hopeful. At 65, he plans to use any compensation from the USDA program to prepare his land for his nephew to farm. “If I receive money through the USDA program, I will use it to get my property in shape so my nephew can begin farming on it again,” Carter said, expressing a desire to contribute to the purchase of a tractor for his nephew.
This distribution of funds represents a significant, albeit partial, redress for the systemic discrimination faced by Black and minority farmers. While the payments provide immediate financial relief, the broader struggle for equitable treatment and comprehensive policy reform in the agricultural sector continues.