Gov. Heineman Applauds Assistance for Nebraska Dry Bean Producers

May 4, 2009 -- (Lincoln, Neb.) -- Nebraska Governor Dave Heineman received word today that U.S. Agriculture Secretary Tom Vilsack has authorized the use of a federal food aid program to assist the dry bean industry, which has been distressed in recent months due in part to the global economic downturn.

The Governor communicated with Sec. Vilsack in March outlining the challenges facing Nebraska’s dry bean industry and requesting assistance through the U.S. Department of Agriculture’s (USDA) Section 32 program. USDA Section 32 funds have been used in the past to purchase surplus commodities from the marketplace to help align supply and demand.

“I want to offer my thanks to the Secretary for a positive response to our request,” Gov. Heineman said. “This comes at a critical time for our western Nebraska dry bean industry and I know it means a lot to them, as well as our state. I also appreciate the coordination and support we had from our Congressional Delegation.”

USDA announced today its intention to purchase up to $25 million of dry beans. This news is critical to Nebraska dry bean producers, who raised roughly 85 percent of the 2008 U.S. great northern bean crop.

The market for dry beans has been distressed recently, due in part to the impact of the economic downturn. Nebraska dry bean processors have not been able to find domestic or foreign markets for the contracted supply of 2008 great northern beans. Without markets for contracted beans, processors have been unable to bid on the remaining 2008 supply still held by producers in western Nebraska.

Source: Nebraska Governor