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Crop Insurance and Farm Credit Barriers to Sustainable Agriculture



     I am currently trying to gather information for the USDA on crop
insurance and farm credit barriers to the adoption of sustainable
agriculture.  There is anecdotal evidence that farmers who are trying to
use sustainable practices or organic agriculture are having difficulties
receiving farm credit and crop insurance.  We have heard, in particular,
>from  an organic grower in Maryland who has been denied credit 6 of 7
times with farm credit and also has been routinely denied crop
insurance. 
     We are trying to find out the scope of the problem.  Is it a result of a
law or certain institutions?  For instance, would it help to alleviate the
barrier if efforts were made to educate farm support industries (including
private bankers, credit providers, and crop insurance underwriters) on
the economics and practices of sustainable agriculture?  Is the farm
credit and crop insurance barrier a problem only in certain areas or
throughout the United States?  Is it a barrier only on certain commodities
(i.e. cotton producers being required to spray in order to qualify)?  Are
there any efforts underway conducting outreach or education to
alleviate this problem?
     I am having trouble finding studies/literature documenting the extent of
this problem.  I would appreciate any direction as to where I can find
materials and any suggestions/comments on this issue.
          
          Thank you!
          Holly Hertel
          USDA
          Research, Education & Economics





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