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  • Off Base, Part 2: The View from the CBO Baseline
    Release of the CBO Baseline is an annual ritual required by federal budget policy, pursuant to which the Congressional Budget Office projects spending on certain programs ten years into the unknowable future. CBO released its February 2026 baseline ahead of schedule, providing a new look at agricultural policy after enactment of major changes in the […]
  • Projected Incomes on Owned vs Rented Farmland for 2026
    Projections in the latest Illinois Crop Budgets suggest negative returns on cash rented farmland for the 2026 crop year (see farmdoc daily article from January 13, 2026).  This article compares…

Agriculture News

CHINA TO INSIST U.S. LIFTS HUAWEI BAN AS PART OF TRADE TRUCE –

Chinese President Xi Jinping plans to present President Trump with a set of terms the U.S. should meet before Beijing is ready to settle the trade confrontation, raising questions of whether the two leaders will agree to relaunch talks. Among the preconditions, Beijing is insisting that the U.S. remove its ban on the sale of U.S. technology to Huawei Technologies Co. Beijing also wants the U.S. to lift all punitive tariffs and drop efforts to get China to buy even more U.S. exports than Beijing said it would when the two leaders last met in December. (Wall Street Journal)

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GOVERNOR LEGALIZES MARIJUANA –

Gov. J.B. Pritzker Tuesday made Illinois the 11th state to legalize marijuana. Starting Jan. 1, Illinois residents older than 21 will be able to possess up to nearly 1 ounce of marijuana, while nonresidents may have nearly a half-ounce. The state will license a maximum of 30 cultivation centers and up to 100 craft growers, which would have initial capacity of a maximum 5,000 feet of growing space. (FarmWeekNow)

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DRAFT G-20 STATEMENT STRESSES ‘URGENCY’ OF WTO REFORM –

G-20 leaders will issue an urgent call this weekend for reform of the World Trade Organization, which has been under increased stress since Donald Trump became president, according to a draft statement reviewed by POLITICO. “The rules-based multilateral trading system is at a critical juncture, facing unprecedented challenges,” the draft statement says. “To restore confidence in the system, we will reiterate our support for necessary WTO reform, and work constructively with other WTO members … to undertake it with a sense of urgency, including in the lead-up to the Twelfth WTO Ministerial Conference.” (Politico)

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ERS UNION PREDICTS MASS EXODUS AHEAD OF RELOCATION –

As many as four out of five employees at the Agriculture Department’s Economic Research Service could quit instead of relocating to the agency’s new headquarters in Kansas City, according to a preliminary survey compiled by union leaders. ERS employees monitor agricultural markets and provide assessments of global commodity production, consumption and trade that farmers depend on when making planting decisions.The mass exodus forecast by the union’s review, combined with departures ERS has already absorbed, has added to deep concerns among staff that relocation could paralyze the research agency’s work. (Politico)

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FARMERS ARE ‘CASUALTIES’ OF TRUMP’S TRADE WAR, SAYS PERDUE –

Agriculture Secretary Sonny Perdue acknowledged that American farmers are “casualties” of President Donald Trump’s trade war with China, according to an interview broadcast on Tuesday. Perdue told CNN he did not expect a trade deal to be reached when Trump meets with Chinese President Xi Jinping this month at the G-20 summit in Japan but hopes one can be struck by the end of the year. “You can’t pay the bills with patriotism,” Perdue said. (NBC News)

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FLOOD DAMAGE AT LEAST $2 BILLION FOR MISSISSIPPI RIVER TOWNS –

Repairs and cleanup following the prolonged flooding along the Mississippi River will cost more than $2 billion, according to early estimates from an advocacy group for river communities. Heavier than normal snow melt in the late winter and frequent and heavy rains through the spring led to flooding that approached record levels in several towns from Iowa to Louisiana. The Mississippi has been above flood stage at some southern towns for more than 200 days. Mayors who spoke during a conference call with the media Tuesday described challenges and unusual troubles the swell has created. (St. Louis Post-Dispatch)

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