Rice farmers get $40.80 per acre while canola farmers get $13.69. What explains the difference?

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USDA calculated FBA payments using "2025 reported acres, Economic Research Service cost of production, and the World Agriculture Supply and Demand Estimate Report." Rice has higher production costs per acre than canola—it requires flooded paddies, specialized equipment, and more labor-intensive cultivation. Market losses also vary: rice exports to Japan increased 75% under new trade deals, while canola faced different price pressures. The payment formula aims to offset actual economic impact, not provide equal per-acre amounts.

Rice farmers get $40.80 per acre while canola farmers get $13.69. What explains the difference?

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