990369 Hog Farmers to Receive $50 Million From USDA Soon

Washington - More than 45,000 U.S. hog farmers will soon receive nearly $50 million from the government in an effort to keep pork producers afloat during times of low prices, the Agriculture Department said.

Under a plan announced in January, the producers will receive an average payment of $1,100 each, the USDA said.

“Most hog producers are small family farmers, and, although a relatively small amount, this money can help them survive through a time of low prices,” Agriculture Secretary Dan Glickman said in a statement.

“For farmers who had to sell their hogs at the market low, this money can help ease their losses,” he said.

Glickman said the checks should be in the farmers' mailboxes by the end of next week. In order to have qualified for the aid, producers must have marketed fewer than 1,000 hogs during the last six months of last year and still be in operation.

Pork prices fell dramatically last year, at one point reaching the lowest level since World War II, due to huge worldwide supplies and a decrease in export demand from financially struggling foreign countries.

Prices have since risen, but are still low. Hog farmers received $28.10 per hundred pounds last month, up $1.80 from January, but still drastically lower than February 1998, when farmers received $35.90, the USDA recently reported.

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