Reports R43632
Specialty Crop Provisions in the 2014 Farm Bill (P.L. 113-79)
Published July 10, 2014 · Renée Johnson
Summary
U.S. farmers grow more than 350 types of fruit, vegetable, tree nut, flower, nursery, and other horticultural crops in addition to the major bulk commodity crops. Specialty crops, defined in statute as “fruits and vegetables, tree nuts, dried fruits, and horticulture and nursery crops (including floriculture)” (P.L. 108-465; 7 U.S.C. §1621 note) comprise a major part of U.S. agriculture. In 2012, the value of farm-level specialty crop production totaled nearly $60 billion, representing about one-fourth of the value of U.S. crop production. The U.S. Department of Agriculture (USDA) reports that retail sales of fresh and processed fruits and vegetables for at-home consumption total nearly $100 billion annually. Exports of U.S. specialty crops totaled about $14 billion in 2013, or about 10% of total U.S. agricultural exports.
Farm bill support specifically targeting specialty crops (and also certified organic agriculture) is relatively recent. Many programs supporting specialty crops were established in the Specialty Crops Competitiveness Act of 2004 (P.L. 108-465), which was enacted outside a farm bill year. Many of the programs in the 2004 act were further expanded and reauthorized in the 2008 farm bill (Food, Conservation, and Energy Act of 2008, P.L. 110-246). Some other programs were established in the 2002 farm bill (Farm Security and Rural Investment Act of 2002, P.L. 107-171), often as pilot initiatives that have since become established programs. In addition, some programs supporting specialty crops and organic agriculture are long-standing farm support programs that benefit all agricultural producers and are regularly contained within omnibus farm legislation. These include marketing and promotion programs, crop insurance and disaster assistance, plant pest and disease protections, trade assistance, nutrition programs, and research and extension services, among other types of program support.
The 2014 farm bill (Agricultural Act of 2014, P.L. 113-79) reauthorized and expanded many of the existing farm bill provisions designed to support the specialty crop and certified organic sectors. The 2014 farm bill also provided additional program funding in some cases. Many provisions in Title X (“Horticulture”) of the farm bill fall into the categories of marketing and promotion; data and information collection; pest and disease control; food safety and quality standards; and support for local foods. Title X also includes provisions benefitting certified organic agriculture producers, including USDA’s National Organic Program. However, provisions supporting the specialty crop and certified organic sectors are not limited to Title X, but are also contained within several other titles of the farm bill, including the research, nutrition, and trade titles. An important source of support for the specialty crop industry includes fruit and vegetable purchases under USDA’s domestic nutrition assistance programs.
Despite this wide range of program support, overall program spending for specialty crops and organic agriculture still accounts for a small share of estimated total farm bill spending and remains lower than spending levels for program commodity crops (such as corn, soybeans, grains, dairy, and other farm commodities). Total mandatory spending for specialty crops and organic agriculture under the 2014 farm bill is expected to average about $773 million annually (FY2014-FY2018). In addition, individual specialty crop and organic producers generally do not directly benefit from the same types of federal commodity price and income support programs that benefit producers of commodity crops.
Other federal agencies also play important roles in the specialty crop industry—either indirectly supporting or overseeing the industry—but are not addressed in this report. For information, see CRS Report R42771, Fruits, Vegetables, and Other Specialty Crops: Selected Farm Bill and Federal Programs.
Topics
Farm Support