CRP Economic Impacts Study Released

The USDA Economic Research Service (ERS) has completed a study on the economic impacts of the Conservation Reserve Program (CRP) required in the 2002 Farm Bill.  NAWG policy requested this analysis to describe the economic and social effects of CRP on rural communities.  The study has been completed and submitted to Congress.  Major findings, according to ERS are that:

1. While CRP enrollment is high in counties that have experienced long-term decline in population, CRP did not contribute to a systematic decline in population or public services.

2. Though CRP enrollments may have temporarily slowed job growth or amplified job losses in some communities, such impacts were relatively small and dissipated over time.

3. CRP enrollment was associated with long-term decline in some industries, such as farm input suppliers and grain elevators.

4. Differential per acre payment rates have little impact on the productivity of acres enrolled into the CRP.

5. The CRP has improved hunting and fishing opportunities in rural areas. Implications are that travel expenditures are up to $300 million per year.