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CDFA Food and Agriculture Finance Update - June 10, 2025

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CDFA Food and Agriculture Finance Update
June 10, 2025
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CDFA Food & Agriculture Finance Update

Features

Don't Miss the CDFA Intro Housing Finance Course!
Join us for the Intro Housing Finance Course on June 25-26! The impact of housing on economic development efforts is a critical issue in many communities. This course will explore how the development finance toolbox can be utilized to support a myriad of housing challenges and opportunities. Register today!

Innovative Financing Fuels CSA Growth: New Avenues for Local Food System
Community Supported Agriculture (CSA) initiatives are leveraging diverse financing strategies to enhance sustainability and community engagement. These methods include micro-loans, peer-to-peer lending platforms, and community crowdfunding campaigns, providing flexible alternatives to traditional bank loans. Such financial tools are particularly beneficial for small-scale farmers seeking to expand operations, invest in infrastructure, or improve distribution networks. Aligning with broader trends in sustainable agriculture, these financing options offer practical solutions for fostering robust, community-centered food networks.

Advocates Rally Nationwide to Defend Food System Amid New Administration Cuts
The National Sustainable Agriculture Coalition (NSAC) led a Week of Action to protest the Trump administration's funding freezes and program terminations affecting farmers and local food systems. Key concerns included the abrupt cancellation of USDA programs which supported small and underserved producers. Advocates also promoted the Agriculture Resilience Act, aiming to enhance climate-smart farming practices. The campaign mobilized thousands to urge Congress to reinstate critical funding and protect USDA staff from dismissals. For development finance and community development professionals, these developments highlight the need for sustained advocacy and investment in resilient, equitable food systems.

U.S. Agricultural Surpluses Mount Amid Policy and Market Disruptions
At the Animal AgTech Innovation Summit in Dallas, industry leaders expressed concern over escalating surpluses of soybeans, beef, and poultry in the U.S., attributing the issue to renewed tariffs and shifting global trade dynamics. Investor Brett Wong highlighted that recent policy decisions, reminiscent of those from President Trump's first term, have led to canceled contracts with China and increased reliance on subsidies, undermining market-based incentives like the Renewable Fuel Standard. Simultaneously, China's substantial investments in Brazil's agricultural infrastructure are enhancing its access to grains and proteins, potentially sidelining U.S. producers.

Modern Ag Alliance Champions Science-Based Policies to Safeguard U.S. Agriculture
The Modern Ag Alliance is advocating for science-based agricultural policies to protect farmers' access to essential crop protection tools amid increasing regulatory uncertainty. Emphasizing the importance of these tools for food security and affordability, the Alliance highlights the need for consistent regulations that support sustainable farming practices. Recent legislative efforts, such as Georgia's SB 144 and North Dakota's HB 1318, reflect a growing movement to reinforce science-driven decision-making in agriculture. Development finance and community development professionals should monitor these policy shifts, as they have significant implications for rural economies and food systems nationwide.

Food Price Volatility Surges Amid Climate and Policy Challenges
Global food prices have become increasingly volatile due to a combination of climate disruptions, supply chain challenges, and policy shifts. Extreme weather events—such as droughts, floods, and unseasonal patterns—have disrupted agricultural productivity, leading to unpredictable harvests and reduced yields. These climate-induced disruptions are compounded by rising energy and labor costs, further straining the food supply chain. Additionally, policy decisions at both national and international levels play a significant role in shaping food price dynamics. Coordinated efforts are essential to address the multifaceted challenges contributing to food price fluctuations.

Agricultural implications of the "One, Big, Beautiful Bill"
President Trump's "One Big Beautiful Bill" has cleared the House Budget Committee, incorporating a $60 billion investment in agricultural programs. This funding aims to address challenges faced by farmers, including rising input costs and declining commodity prices, by enhancing crop insurance, conservation efforts, and rural development initiatives. The bill also proposes increasing payment limits for farm programs from $125,000 to $155,000 per individual or entity, starting in 2025. While these measures offer potential relief to the agricultural sector, the bill's broader fiscal implications—such as substantial tax cuts and spending reductions in programs like Medicaid and SNAP—have sparked debate among policymakers. Development finance and community development professionals should monitor these developments closely, as the bill's provisions could significantly impact rural economies and funding structures.

Advancing Dairy Industry Sustainability: The Dairy HERD Initiative
The Foundation for Food & Agriculture Research (FFAR), Dairy Management Inc. (DMI), and Zoetis are spearheading efforts to sustain and advance the U.S. dairy industry through the Dairy Health, Efficiency and Resource Dynamics (Dairy HERD) Initiative. This $1.3 million initiative aims to explore the intersections of animal health, economic viability, and environmental sustainability within the U.S. dairy industry. By funding projects that develop decision-support tools and models, the program seeks to quantify how improved herd health can lead to reduced greenhouse gas emissions and enhanced farm profitability. Development finance and community development professionals are encouraged to engage with this initiative, as it presents opportunities to support sustainable agricultural practices and bolster local economies through innovative research and implementation strategies.

Upcoming Events
CDFA Summer Institute: Fundamentals of Economic Development Finance Course

CDFA Food Systems Finance Webinar Series: Sustaining Food and Farm Investment Amid Federal Funding Shifts
June 24, 2025 - 2:00 PM - 3:30 PM Eastern
During this installment of the CDFA Food Systems Finance Webinar Series, we'll explore how food systems projects can remain viable and impactful amidst shifting federal priorities and how practitioners across sectors continue building creative financial frameworks to move their work forward. Speakers will share lessons learned and strategies for structuring capital stacks, leveraging remaining federal tools, and identifying flexible sources of financing that support food and farm entrepreneurs.

CDFA Food Systems Finance Webinar Series: Revitalizing Communities Through Food Systems Redevelopment
September 30, 2025 - 2:00 PM - 3:30 PM Eastern
During this installment of the CDFA Food Systems Finance Webinar Series, we will discuss the partnerships and funding streams that support these projects, showcasing successful examples of how food systems can be integrated into broader planning and economic development strategies. Whether you are a developer, lender, community leader, or policymaker, this session offers valuable insights into the power of redevelopment to drive sustainable, community-driven solutions.

Food & Agriculture Finance News

Sustainable Ag Practices Drive Revenue Growth for 70% of Companies
TRELLIS | Jun. 2 | Access to Capital | Agriculture Finance | Community Development | Economic Development | Food Systems Finance

USDA Boosts State Food Safety Funding by $14.5M
USDA | Jun. 2 | Access to Capital | Agriculture Finance | Community Development | Economic Development | Food Systems Finance | Infrastructure Finance

Inflation Pressures Reshape Farm Finance Strategies
Morning AgClips | Jun. 2 | Access to Capital | Agriculture Finance | Community Development | Economic Development | Food Systems Finance | Green Finance | Resiliency | Rural Development

Florida Community Loan Fund provided New Markets Tax Credit Allocation for Harry Chapin Food Bank
Florida Community Loan Fund | May. 30 | Food Systems Finance | Member News | Tax Credits

Pork Producers Welcome House Bill Progress
Farmers.com | May. 26 | Access to Capital | Agriculture Finance | Community Development | Economic Development | Food Systems Finance

USDA to Purchase $67M in Fresh Food from Domestic Producers to Distribute to Food Banks
USDA | May. 23 | Agriculture Finance | Community Development | U.S. Dept. of Agriculture (USDA)

New York City, NY Food Allergy Fund Champions Research and Awareness Initiatives
businesswire | May. 22 | Community Development | Economic Development | Food Systems Finance | Healthcare

AgSouth's AGAware Program Cultivates Financial Acumen in Emerging Farmers
Grice Connect | May. 19 | Access to Capital | Agriculture Finance | Community Development | Economic Development | Food Systems Finance | Resiliency | Rural Development

Philadelphia, PA Expands Fresh Food Access with $3.4M Administration Investment
Franklin County Free Press | May. 16 | Access to Capital | Agriculture Finance | Community Development | Economic Development | Food Systems Finance

Hurricane Helene Relief Spurs Farm Income Uptick in Atlanta, GA Amid Ongoing Challenges
Farm Progress | May. 16 | Access to Capital | Agriculture Finance | Community Development | Economic Development | Food Systems Finance | Resiliency

Springfield, IL Launches Farm Business Foundations Series to Empower New and Transitioning Farmers
Springfield Herald News | May. 16 | Access to Capital | Agriculture Finance | Community Development | Economic Development | Food Systems Finance



The Council of Development Finance Agencies (CDFA) is a national association dedicated to the advancement of development finance concerns and interests. CDFA is comprised of the nation's leading and most knowledgeable members of the development finance community representing public, private and non-profit entities alike. For more information, visit www.CDFA.net or email info@cdfa.net.


Council of Development Finance Agencies
425 Metro Place N., Suite 460
Dublin, OH 43017
(614) 705-1300
info@cdfa.net

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CDFA President's Club

  • BNY
  • Bricker Graydon Wyatt LLP
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  • Colorado Housing and Finance Authority
  • FBT Gibbons
  • Grow America | Formerly NDC
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  • McGuireWoods
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  • SB Friedman Development Advisors
  • Stifel Nicolaus
  • The Bond Buyer
  • U.S. Bank
  • Wells Fargo Securities
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