Of the six rice producing states in the U.S., Arkansas grows more than half of the nation’s rice. This makes research and promotion an important topic. While funding these efforts can be controversial at times, there are many benefits of research and promotion for farmers and stakeholders alike.
Jim Whitaker, fifth-generation McGehee farmer and chair of the Arkansas Rice Research and Promotion board, painted a picture of how rice checkoff dollars and other funds contribute to the industry, especially in Arkansas.
He shared how checkoff rates differ in Arkansas compared to other rice producing states. Whitaker also discussed how these efforts impact U.S. rice beyond the borders of the Natural State, from land-grant university research to domestic and international promotion.
Goal of the organization
The Arkansas Rice Research and Promotion Board consists of nine farmers. The board was established in 1985. Then in 1999, a mandatory leveled assessment was signed into law to collect funds based on the annual sale of U.S. rice. These funds, or checkoff dollars, are collected from the farmer and the purchaser.
Whitaker said, “The role of the board is to support research and promotion of Arkansas rice, and we try to make the best decisions and distribute these collected funds to the best of our ability.”
In Arkansas, a total of 2.7 cents per bushel of rice is allocated to checkoff dollars. Of that, 1.35 cents per bushel come from the farmer at the point of sale, and 1.35 cents per bushel come from industry mills. The portion collected from the farmer goes to research, while money collected from the purchaser goes to promotion.
Each rice producing state sets their own collection rates. While Arkansas may rank number one in rice production, it ranks fifth lowest for checkoff rates. Whitaker shared the allocations.
California collects 9.1 cents per bushel
Louisiana collects 3.64 cents per bushel
Texas collects 3.64 cents per bushel
Mississippi collects 3.0 cents per bushel
Arkansas collects 2.7 cents per bushel
Missouri collects 2.0 cents per bushel
Over the last 24 years, Arkansas has collected the same rate. While rice yields have increased, planted acres have declined and driven rice checkoff funding lower. Based on state average yields, Whitaker said the Arkansas rice checkoff program generated $5,882,560 from 2000 through 2009. Then from 2010 to 2019, that collection dropped to $5,732,165.
How the industry benefits from rice checkoff
Each year, Arkansas plants anywhere from 1.2 to 1.6 million acres of rice, contributing an estimated $6 billion to the state’s economy and creating around 25,000 jobs. Thus, research and promotion are important to fuel the industry. From a promotional standpoint, Whitaker talked about recent successes from funds distributed directly to Arkansas rice farmers. These include:
$20.6 million through conservation programs of the USA Rice and Ducks Unlimited Rice Stewardship Partnership
$30.5 million of the total $80 million allocated through the Climate-Smart Commodities grant
$1.2 billion in payments through the Rice Production Program, spearheaded by Senator John Boozman in 2022, after an economic analysis conducted by Ag Economist, Joe Outlaw
Beyond funding for farmers, the USA Rice Federation and the Arkansas Rice Federation advocate on the federal level for the industry. USA Rice is an umbrella organization representing farmers, millers, merchants, and the USA Rice Council.
Sarah Moran, chief operating officer at USA Rice, explained that over 30 different committees are part of an inclusive and comprehensive grassroots process to address policy for the industry. “That really helps us when we go to Capitol Hill and talk with administration about priorities. We have a unified voice from the rice industry, and that is one of our strengths,” Moran said.
Plus, USA Rice conducted 2,700 promotions in 25 countries across the globe in 2023 to promote the sale of U.S. rice, and farm and mill tours are hosted annually for foodservice professionals.
Jeff Rutledge, a Jackson County farmer who also serves on the Arkansas research and promotion board, said, “We are cooperating with other states in doing national promotions and collectively using checkoff dollars from other rice producing states to stretch our U.S. dollars internationally.”
Communication is also key. Michael Klein, USA Rice vice president of communications and strategic development, oversees this through podcasts and daily newsletters to provide information on behalf of U.S. rice farmers.
Whitaker added, “Every morning when I get up as a farmer and go to work in a town with one stop light, I know there is somebody working on my behalf all over the world. Somebody is doing domestic promotions, and someone is doing international promotions. Then I have Extension agents and researchers from the University of Arkansas and the USDA in our state, and I can pick up the phone and get advice on how to make a better crop.”
Rice research in Arkansas
The University of Arkansas System Division of Agriculture is dedicated to outreach, sharing its research findings in a variety of ways. Printed publications are handed out by the tens of thousands each year for weed, insect, and disease management. You may know these as Extension publications MP44, MP144, and MP154.
Digital outreach is also impressive. In 2023 alone, the Division produced 21 podcasts involving rice, 25 weekly newsletters, and 50 text message updates to over 350 subscribers. Whitaker specially applauded outreach contributions of Extension Rice Agronomist Jarrod Hardke, including his social media engagements on Facebook and Twitter.
In the same year, over 500 field trials were conducted in Arkansas for verification, variety performance, and pest and disease management. Whitaker emphasized those 500 trials took place on actual farms.
Researchers have also intervened when farmers needed additional means of crop protection. In 2022 and 2023, Extension Entomologist Nick Bateman fought for a Section 18 exemption from the EPA so farmers could use the product Endigo to control rice stinkbug infestations.
“I can promise you I would not have killed stinkbugs on my farm without that chemical and without Nick Bateman’s hard work,” Whitaker said. “It would be hard to quantify exactly how that benefitted the state of Arkansas.”
Deacue Fields is vice president for agriculture at the Division. He said, “Our budget is equally split between research and extension. We are the research and development arm as well as an information delivery system for the industry. Our folks are in the service business, to provide information that everybody uses, from farmers to Extension agents and consultants who all rely on the research.”
TRQ funds and other efforts
Another source of funding for rice research and promotion comes from Columbian Tariff-Rate Quota funds through a program established in 2012. Rice exporters can sell a set amount of duty-free rice to Columbia. Companies bid on the right to bring in duty-free rice, and proceeds from those auctions are split equally between Columbia and the U.S.
From there, TRQ funds are divided between the six rice producing states. A similar program generates European TRQ funds, and Whitaker said Arkansas has benefitted by over $43 million of the proceeds.
Up until 2022, TRQ funds could were allocated only for research. Now, TRQ funds can be used for research or promotion, and recently Arkansas utilized a portion of this money with other public-private funding to construct the Northeast Rice Research and Extension Center.
Whitaker said the station fills a research need for northeast Arkansas where most of the state’s rice is produced. “Rice production is moving north in the state because of climate. This center gives the industry representation there, and we have something to be proud of.”
He also stressed the need for continued rice studies through the University of Arkansas. After all, anyone should be able to turn to the top rice producing state when looking for information about the crop.
Bottom line, all producers have benefitted from these resources and checkoff dollars continue to work for the Arkansas and U.S. rice industry that invests in itself. For more information on the benefits of the Arkansas rice checkoff program, please visit the Arkansas Rice website, USA Rice website and the farm and ranch pages of the University of Arkansas Cooperative Extension Service.
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