Donald Trump announces $8 billion fuel relief program for farmers in Kansas
President Donald Trump announced an $8 billion agricultural aid plan during a rally in Kansas on Monday. The federal initiative will provide one-time payments to growers facing high harvest diesel prices across the nation. The money aims to help producers manage steep equipment operating costs.
Trump said the plan is intended to “offset diesel costs during the harvest season.” Fuel prices have been especially high for growers this year.
American Farm Bureau Federation President Zippy Duvall praised the measure in a news release.
“Farmers and ranchers welcome the administration’s announcement of $8 billion in relief through the Harvest Fuel Relief program to help farmers struggling with high diesel prices,” Duvall said. “We appreciate President Trump and [U.S. Department of Agriculture] Secretary [Brooke] Rollins recognizing that higher diesel prices have squeezed farmers’ bottom lines.”
Net farm income will fall by 2.6% this year, according to a USDA projection. Production expenses will rise by 4.5%. Fuel and oil costs alone will jump nearly 30%, according to a September forecast.
The agency said the plan offers relief during temporary market disruptions and increased input costs. The money will cover a portion of modeled losses during the 2026 crop year.
The USDA will calculate payments with a specific formula. The agency explained the process in a release.
“This national loss average will be based on [Farm Service Agency] reported planted acres, Economic Research Service cost of production estimates, and World Agricultural Supply and Demand Estimates yields and prices,” the USDA explained.
Next month, officials will release rates for Title I commodities. These common row crops include:
- Wheat
- Corn
- Soybeans
- Oats
- Peanuts
Payment details for other eligible commodities will follow later, the USDA said. Specialty crop growers and fishermen are invited to email data on fuel expenses. The USDA will review that data when setting pay rates.
Growers do not need crop insurance linkage to qualify for the initiative. The USDA still urges producers to obtain coverage. Relief will not arrive immediately for Kansas farm operators.
Row crop payment rates will not appear until November. Online applications will open on Login.gov with pre-filled forms in January 2027. The USDA encourages producers to create a Login.gov account now.
The Farm Service Agency, or FSA, will administer the federal distributions. The Trump administration said funding is authorized under the Commodity Credit Corporation.
The Commodity Credit Corporation is a government-owned entity that handles agricultural financing programs. The Farm Service Agency operates local offices that deliver farm programs to rural communities across Kansas.
Trump spoke at the Kansas event earlier in the week. Help will disburse next year.
