Black Farmers Play Racial Bias Card

The U.S. Government is offering to pay $50,000 to qualified farmers to settle claims of racial bias.

The settlement, which could cover as many as 80,000 black farmers, is looking to cost the government over one billion dollars!!

Photo Courtesy: N.B.F.A.

The Pigford Case, as it is better known, showed a pattern of discrimination at the U.S. Department of Agriculture(U.S.D.A) against African-American farmers applying for farm loans.

While, I am sympathetic to any instances of racial bias, having grown up on a white, dairy farm and seeing the loan process first-hand, I have to consider possibilities other than racial bias.

Loans are given based on a farmers current income, credit, and the likelihood that the loan will be paid back. The U.S.D.A also examines the size of the farm and must approve the specific construction and such that the loan will be used for.

The average annual market value for farms operated by African-American farmers in 2007 was $30,829. The national average for white U.S. farmers was $140, 521. A significant difference!!

While, U.S. farmers would likely be asking for larger loans, they would also have more money coming in to pay back the loans and as a result be less likely to default. Therefore, this case of bias may actually be based on money, not race.