Governor Hochul launches $30 million tariff relief program to help New York farmers recover from rising costs and export market losses

Albany, New York – New York is rolling out a major financial support initiative aimed at helping farmers recover from the economic strain caused by federal tariff policies, with Governor Kathy Hochul announcing the launch of a new $30 million relief program designed specifically for agricultural producers across the state.

The Agricultural Resiliency Against Tariffs Program is now accepting applications from eligible dairy, livestock, specialty crop and aquaculture producers. First introduced as part of Governor Hochul’s 2026 State of the State agenda, the initiative is intended to cushion the financial impact that many farms experienced throughout 2025 as international trade disruptions, higher operating expenses and shrinking export opportunities placed increasing pressure on the agricultural sector.

State officials say the program represents a targeted effort to help farms remain financially stable while continuing to produce food, sustain rural communities and preserve thousands of agricultural jobs throughout New York.

Announcing the launch of the application process, Governor Hochul stressed that the state is stepping in to support an industry that has been caught in the middle of international trade disputes.

“The tariffs imposed by the Trump administration are reckless and damaging to so many of our industries, including our agricultural producers, who rely so heavily on the forces of international markets.” Governor Hochul said. “I promised to stand up and fight for our farmers and I’m proud that our Agricultural Resiliency Against Tariffs Program will provide the much-needed relief to New York’s farmers who feed our communities.”

The announcement comes as farmers across New York continue dealing with the lingering financial effects of tariff policies introduced during 2025. Agriculture officials note that many producers depend not only on domestic sales but also on international customers, making export markets an essential source of revenue.

On average, approximately one-fifth of a farmer’s income is tied to exports. When international trade conditions become unstable, many producers immediately feel the consequences through reduced demand, lower prices and fewer market opportunities.

At the same time, tariffs have also increased the cost of operating a farm. Essential supplies including grain, livestock feed, fertilizers, machinery and other agricultural inputs have become more expensive, creating additional financial pressure at a time when many farms are already operating with narrow profit margins.

According to state officials, the challenge extends well beyond exports. More than 80 percent of agrochemical imports and roughly 70 percent of imported farm machinery originate from countries affected by U.S. tariffs, limiting alternatives and increasing production costs for farmers throughout the state.

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While the full financial consequences are still being evaluated, several agricultural industries have already reported substantial losses.

Among the most heavily affected has been New York’s wine industry. As the third-largest wine-producing state in the nation, New York supports tens of thousands of jobs connected to vineyards, wineries and grape production.

Canada has traditionally served as the largest international market for U.S. wine exports, including bottles produced in New York. However, state officials reported that exports from New York to Canada declined by 77 percent over the past year, significantly exceeding the nationwide decline of 33 percent in U.S. wine exports during the same period.

Officials say those numbers highlight how quickly changes in international trade policy can affect local agricultural businesses that depend on foreign buyers.

The newly launched relief program has been structured to provide direct financial assistance to eligible producers, with payments ranging from a minimum of $1,000 to a maximum of $25,000.

Funding will be distributed through two separate categories.

The first track is dedicated exclusively to dairy farms based on cow milk production, recognizing the unique structure of New York’s dairy industry.

The second track will cover producers involved in livestock, livestock products, specialty crops and aquaculture.

To qualify for assistance, applicants must meet several eligibility requirements established by the New York State Department of Agriculture and Markets.

Among the conditions, applicants must demonstrate that at least two-thirds of their federal gross income exceeding $30,000 comes from agricultural activities as defined under New York State Tax Law.

Eligible crops must be produced within New York, while production information and financial data must be verified by a qualified financial professional.

Applicants are also required to submit a completed substitute W-9 form to facilitate payment processing. Dairy producers must additionally authorize the release of milk production records so officials can confirm production levels used during the application review process.

New York State Agriculture Commissioner Richard A. Ball said the relief program recognizes the double financial burden tariffs have placed on producers by simultaneously increasing operating costs while reducing access to export markets.

“Farmers get hit by tariffs on both the export and import side, losing market opportunities while also facing rising costs of things like grain, equipment and fertilizer. I thank the Governor for continuing to advocate for and stand by our agricultural industry. This program will ensure that the producers impacted by tariffs will receive some level of relief to help offset these new expenses and safeguard their operation.”

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Support for the initiative has also come from state lawmakers who say agriculture has carried an outsized share of the economic consequences resulting from trade disputes.

State Senator Michelle Hinchey described the program as an important step toward helping farms remain operational despite rising business costs.

“New York farmers have been forced to absorb the financial fallout of the Trump administration’s tariff wars, which have exploded the cost of doing business and the supplies needed to grow our food supply, while pushing some farms to the brink of closure. We are fighting to help our farmers survive Trump’s irrational tariff policies, and $30 million in direct state relief is coming to help. I thank the Governor for championing this effort, and we encourage all eligible farm businesses to apply for these funds.”

Assemblymember Donna Lupardo likewise pointed to the difficult financial environment already facing farms before tariffs further complicated the situation.

“The tariff program included in this year’s budget will provide relief to our farm community when they need it most. Farmers nationwide were already operating at thin profit margins with farm bankruptcies at record highs; Trump administration tariffs were the last thing they needed. I am grateful to the Governor and my colleagues for supporting this infusion of $30 million into New York’s farm economy and for recognizing the struggles our farmers are facing.”

Leaders representing New York’s agricultural organizations also welcomed the launch of the program, saying it provides meaningful assistance during an especially challenging period for producers.

AJ Wormuth, Chair of the Northeast Dairy Producers Association and a dairy farmer, emphasized that New York’s dairy industry depends heavily on access to global markets.

“There’s no doubt, Governor Hochul has made it a priority to support the viability of our family dairy farms and security of our local food supply. From investments in expanding dairy processing, to programs and funding in the state budget that directly support the sustainable growth of farms for the next generation, the Governor clearly understands the challenges and complexities of the dairy industry. We work in a global marketplace and rely heavily on the export of dairy products to support the price we receive for the milk we produce. With no control over milk pricing, and rising input costs on top of lower prices, the economic squeeze is difficult for many farms to grapple with. This relief program, along with other ongoing initiatives, will help support the competitiveness of New York dairy farms.”

New York Farm Bureau President David Fisher noted that tariffs have affected numerous agricultural commodities, making financial relief welcome across the industry.

“Farmers of many different commodities have been faced with significant tariffs, which have sometimes been staggeringly difficult to manage. As we all know, farmers already operate on razor-thin margins, so we welcome any kind of relief program and appreciate the Governor’s efforts to help alleviate some of the pain points farmers have been experiencing.”

Apple growers, another cornerstone of New York agriculture, have also experienced significant disruptions tied to changing trade conditions.

New York ranks as the nation’s second-largest producer of apples, and exports play a vital role in maintaining profitability across the industry.

Jim Bittner, Executive Director of the New York State Horticultural Society, explained that export markets are critical because a substantial portion of U.S.-grown apples must be sold internationally.

“New York State is the number 2 producer of apples in the country. About 30 percent of the apples grown in the US need to be exported in order to have returns back to growers at a profitable level. When the US imposes tariffs on other countries, one of the first things those countries target is apples from the US. New York apple growers are the ones hurt by those tariffs on our apples. We are also hurt by the tariffs the US applies to inputs we use on our farms to produce those great local apples. The specialty equipment and the parts to repair them as well as the fertilizers we use are mostly imported and have increased in price to us because of the tariffs. The growers of New York apples appreciate the Governor’s Agricultural Resiliency Against Tariffs Program. It will help us weather the economic squeeze we are in. Between lower prices for the apples we produce and paying more for many of our major inputs, we need help to mitigate these influences. The last two years of tariffs have been especially harmful. Agriculture is the bedrock of our economy. We want to be able to continue to grow high quality apples for New York residents.”

Vegetable producers have faced similar challenges, particularly through higher prices for imported materials and supplies used during production.

Brian Reeves, President of the New York State Vegetable Growers Association, said reducing some of those additional costs can make a meaningful difference for farms already operating with limited financial flexibility.

“There is an old saying that farmers are the only ones who buy at retail and sell at wholesale. While this is not always the case, the tariff activity has raised the cost of many inputs, which are partly or in whole imported. Relief from the increased costs can only help farmers’ bottom line.”

State officials are encouraging eligible producers to begin the application process as early as possible rather than waiting until the deadline. Only completed applications will be reviewed for payment, and applicants must ensure all supporting documentation is submitted alongside the required forms.

The deadline to apply for assistance through the Agricultural Resiliency Against Tariffs Program is Tuesday, August 11, 2026.

Detailed application instructions, required documentation and educational resources, including an informational webinar, have been made available through the New York State Department of Agriculture and Markets to help producers complete the process successfully.

The program fulfills a commitment Governor Hochul first outlined in her 2026 State of the State address before later including the initiative in her Executive Budget proposal. Lawmakers ultimately approved the full $30 million allocation as part of the enacted 2026-27 New York State Budget.

State leaders say the funding is intended to provide immediate financial relief while reinforcing New York’s long-term commitment to protecting its agricultural economy. By helping farms offset losses tied to tariffs and rising production costs, officials hope the program will strengthen the resilience of family farms, preserve agricultural employment and ensure producers remain competitive despite continued uncertainty in global markets.

For many farmers, the assistance represents more than a temporary financial boost. It reflects the state’s broader effort to help an industry navigate shifting international trade conditions while continuing to supply food, support rural economies and sustain one of New York’s most important economic sectors.