USDA announces additional food purchase plans

The U.S. Department of Agriculture (USDA) has announced details of $470 million in Section 32 food purchases to occur in the third quarter of the fiscal year 2020, in addition to purchases previously announced, which will enable the agency to purchase surplus food for distribution to communities nationwide. These Section 32 purchases will provide additional support for producers and Americans in need, in response to changing market conditions caused by the COVID-19 national emergency.

On an ongoing basis, the Agricultural Marketing Service (AMS) purchases a variety of domestically produced and processed agricultural products as authorized by Section 32 of the Agriculture Act of 1935. These “USDA Foods” are provided to the USDA’s Food and Nutrition Service (FNS) nutrition assistance programs, including food banks that operate The Emergency Food Assistance Program (TEFAP), and are a vital component of the nation’s food safety net.

In addition to Section 32 purchases, the USDA will use other available funds to purchase food in support of American agriculture and families on an ongoing basis and in response to recent disruptions in the food supply chains. The U.S. food industry is experiencing high inventories due to a decrease in demand as foodservice establishments, restaurants, and schools have closed, and prices producers typically receive have declined. Meanwhile, food banks, food pantries, and other organizations supporting communities across the country have experienced an increase in demand.

Using these available funds, the USDA plans to purchase 100% American-grown and produced agricultural products totaling $4.89 billion for the remainder of this fiscal year in support of American agriculture and people in need.