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Great news- help for South Carolina Sheep Farmers. Wool, Lambs, Sheep, Dairy- Eligible for CFAP 2 Payments. 

American sheep and wool producers will see direct benefits from a second round of Coronavirus Food Assistance Program (CFAP-2) payments that were announced in September by President Donald J. Trump and Secretary of Agriculture Sonny Perdue.

“The American Sheep Industry Association had been assured by officials from the U.S. Department of Agriculture that a second round of CFAP funding was coming, and that America’s sheep and wool producers would be eligible for payments through the additional funding,” said ASI President Benny Cox.

In South Carolina, most of our farmers have already been approved and paid for over 2,900 CFAP 1 applications which disbursed over $22.5 million as of August 5, 2020. I know many of you have applied for CFAP 2 and hope you will help spread the word to our fellow farmers.

These explanations are helpful but lengthy. We listed dairy first, because it’s new for small ruminants with this second round of payments and because we’re asking for your involvement. The order is dairy, wool and livestock. We have some FAQ’s at the very end to clear up some of the confusion about what’s eligible in regard to sheep. The direct links are listed at the top of each category.

Eligible Dairy Commodities

  Cow milk and goat milk are both listed eligible for CFAP 2. Sheep milk is approved but not yet listed. The link is www.farmers.gov/cfap/dairy 

CFAP 2 payments are available for eligible producers of dairy commodities categorized as either price trigger or sales based. Goat milk is sales based. Small Ruminants have a much lower amount of milk compared to cows but command a much higher price per pound!  It’s a better option to be sales based.

  Sheep milk was not listed. SC Sheep President Debbie Webster is working hard to get it listed. She called contacts in Washington, D.C. and was told that unequivocally sheep milk is approved, but some producers in other states contacted Debbie for help.

  Their local agents wouldn’t allow it! Here’s how you can help! If enough FSA agents call in to the USDA office in DC, they will send out an update. ASI worked diligently to get all age sheep approved not just lambs as originally listed as eligible. USDA send out an updated eligibility list!  

  Contact your local FSA agents across the US. Ask why sheep milk isn’t listed as eligible and see if it’s being approved. We can definitely argue that it’s not listed as ineligible and that list is exhaustive. Since goat milk is listed as eligible, it would appear as an unintended oversight by USDA in not listing sheep milk. The USDA wanted to include, “Anything animal used for food, fur, feather, or fiber!” is covered.

Eligible Wool Commodities

Our wool growers, here’s the direct link- www.farmers.gov/cfap/wool  and what you need to know-

CFAP 2 payments are available for eligible producers of wool, which is categorized as a sales commodity. Payment calculations will use a sales-based approach, where wool producers are paid based on five payment gradations associated with their 2019 sales.

Payments for wool will be based on the producer’s 2019 sales of eligible commodities in a declining block format using the following payment factors, and will be equal to:

1. The amount of the producer’s eligible sales in calendar year 2019, multiplied by

2. The payment rate for that range.

Eligible Livestock Commodities

Livestock eligible for CFAP 2 includes: beef cattle, hogs and pigs, and lambs and sheep.

For lambs and sheep, payments will be equal to:

• The producer’s highest owned inventory of eligible lambs and sheep, excluding breeding stock, on a date selected by the producer from April 16, 2020, through August 31, 2020,

• Multiplied by the payment rate of $27 per head.

For the link, go to https://www.farmers.gov/cfap/livestock

We know there’s been some confusion on what’s accepted. We have some FAQ’s listed below for clarity. Read all!

Replacement Animals

Q: Are “replacement stock intended for breeding” cattle, hogs/pigs, sheep, and other livestock eligible?

A: Yes. All females that have not produced offspring and males who have not started breeding females are eligible for inclusion in inventory. Breeding stock such as cows, bulls, sows, boars, ewes, and rams are not eligible for CFAP 2. Culled cows are also not eligible for CFAP 2.

Breeding Stock

Q: Why isn’t breeding stock eligible for CFAP 2?

A: The payments to livestock are focused on market inventory because there are limited funds available for CFAP 2 and the Commodity Credit Corporation (CCC) authority that fully funds the program is meant to assist with costs associated with market disruptions. Breeding stock is typically kept for many years and therefore their value is less likely to be impacted by temporary price impacts than lambs or replacement stock.

Dairy Sheep

Q: I have dairy sheep and my FSA agent told me this is for meat sheep. Is it only for meat sheep?

A: No. USDA lists eligible sheep as “not breeding stock meaning not bred.” No breeds or eventual purpose is listed as ineligible. If you think about it, most rams (even dairy sheep breeds) will be used for meat. Some ewes will be culled and used for meat. In the same way, ewes of a meat breed could be used for milk and we see this all the time! Entry level dairies would desire to use every lamb for dairy, but as you grow, culling is inevitable. The USDA is not concerned with the purpose of the sheep just the current eligible status of your flock.  Hopefully, most local agents will help new producers figure this one out.