Louise Calderwood, Director of Regulatory Affairs, American Feed Industry Association
It has been a hectic year for agriculture as producers and agribusinesses have navigated tariffs and the 43 days of the government shutdown. As the year winds to a close here is a re-cap of several issues of importance to the northeast.
Federal Funding Provisions
When the Continuing Appropriations, Agriculture, Legislative Branch, Military Construction and Veterans Affairs, and Extensions Act, 2026 was signed into law on November 12 it provided a Continuing Resolution (CR) that funded some parts of the federal government including the U.S. Department of Agriculture and the Food and Drug Administration through the end of Fiscal Year 2026. The new law also includes appropriations bills, which will be effective September 23, 2026, to provide a full year of funding for Agriculture, Rural Development and the FDA. This federal stability is essential for farmers and the animal food industry as they look ahead to the coming year.
Funding for conservation programs like EQIP and CSP was bolstered through the CR which helps Northeast farmers implement sustainable practices and climate-smart agriculture and the dairy margin coverage (DMC) was extended through 2031, giving Northeast dairy farmers greater security. The bill made the estate tax exemption permanent at $15 million per individual or $30 million per couple, which is a significant benefit for generational farms in the Northeast looking to transfer ownership.
Tariffs
Tariffs on goods from China and other countries are increasing the input costs for imported ingredients such as vitamins, amino acids and other feed-inputs. It has been estimated that certain agricultural inputs (including feed additives) have faced input cost increases of 15–22% in 2025 due to these tariffs and supply chain disruptions. The cost of expanding or improving feed mills has also been hit by tariffs. In June Oxford Economics published a report stating the effective tariff rate on US construction imports have surged to 27.7%, up from 0.9% in 2024.
Not federal- but important-Vitamin and Amino Acid Supply Chain
Although this isn’t connected to federal policy, it is worth noting that earlier this month the Institute for Feed Education and Research (IFEEDER) released a report titled “Strategic Assessment on Impact of Vitamin and Amino Acid Supply Chain Disruptions on U.S. Food Security” which evaluated the vitamin and amino acid supply chains and assessed how potential disruptions in supplies could affect U.S. livestock and poultry production. The project analyzed global production capacity and trade flows of vitamins (A, B-complex, D and E) and amino acids (lysine, methionine, threonine and tryptophan) that are critical to animals and the feed industry, the majority of which come from China. This dependence poses risks to both supply chain stability and national food security. A disruption in imports could harm domestic livestock and poultry production while increasing feed and production costs.
And so the year winds to a close with some points of stability for northeast agriculture and several areas where uncertainty prevails.