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Governor announces $26 million in federal COVID-19 aid to state agriculture industries

Heard of Hereford cattle in a gree field.

Gov. Kay Ivey on Wednesday announced the award of $26 million in federal coronavirus relief funds to the state’s agriculture industries. 

“Agriculture has an economic impact of over $70 billion in the state of Alabama. I know firsthand how hard our farmers work each day, and they are without a doubt a major part of who we are in Alabama,” Ivey said in a statement. “Due to COVID-19, numerous farms and processing facilities have struggled to remain open and sell their products. Establishing the Alabama Agriculture Stabilization Program is not only the right thing to do to protect our farmers, but it also key to stabilizing Alabama’s economy.”

The funds are to be administered by the Alabama Department of Agriculture and Industries through a new program called the Alabama Agriculture Stabilization Program, according to the memorandum of understanding between the Alabama Department of Finance and ADAI. 

According to the agreement, allocations of the federal funds are to be as follows: 

  • Direct Payment Business Stabilization Grants to Cattle Producers- $10.5 million
  • Meat Processing Plant Reimbursement Program- $1.5 million
  • Poultry Farmer Stabilization Grant Program- $4 million
  • Catfish Processor Reimbursement Program- $500,000
  • Fruit & Vegetable Processor Reimbursement Program- $500,000
  • State Supplemental CFAP Grant Program- $8 million
  • Nursery Grower Reimbursement Program- $1 million

“I want to thank Governor Ivey for her continued support of Alabama agriculture and for providing much needed assistance to farmers and processors adversely effected by COVID-19,” said Rick Pate, commissioner of the Alabama Department of Agriculture and Industries, in a statement. “Because of these men and women, our food supply chain is safe, abundant and sustainable. This program was a collaborative effort between our department and the Alabama Cattlemen’s Association, Alabama Farmers Federation, Alabama Poultry & Egg Association, Alabama Agribusiness Council, and other agriculture stakeholders.”

The $26 million for the state’s agriculture industries is a portion of the approximately $1.9 billion in federal CARES Act money allocated to Alabama.

Eddie Burkhalter
Written By

Eddie Burkhalter is a reporter at the Alabama Political Reporter. You can email him at [email protected] or reach him via Twitter.

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