House Approves Ag Spending Bill

Late last week, the U.S. House of Representatives voted to approve a $125.5 billion agriculture spending bill that would halt millions of dollars of payments to Brazil and bar the U.S. government from investing in new ethanol blender pumps.

The Senate must also approve its own version of the 2012 agriculture spending bill before legislation can be sent to the White House to be signed into law by President Obama.

The halt in payments to Brazil blocks funding for part of a complex scheme that keeps that country from placing heavy duties on U.S. exports there. The U.S. is currently paying Brazil over $12 million per month. Brazil won the right to impose the tariffs on U.S. goods during a World Trade Organization battle.

“I’m pleased that a bipartisan group of members agreed with me that supporting Brazil’s cotton industry with taxpayer dollars is wasteful and unnecessary,” Rep. Ron Kind, (D-WI) said. Opponents of the amendment argued that cutting off the payments could start a trade war with Brazil. ◆