USDA Cuts DEI Funding, Boosts Trade & Nutrition Standards

Welcome back to the USDA Weekly Update, where we break down the latest moves from the Department of Agriculture and how they touch your life. Our top story this week: U.S. Secretary of Agriculture Brooke L. Rollins has announced a major shakeup, cutting more than 145 Diversity, Equity, and Inclusion, or DEI-focused awards, resulting in a savings of nearly $149 million for the department. Secretary Rollins said the move is about “putting American Farmers First,” arguing that these funds were being spent on what she called “woke DEI propaganda” and will now be redirected to support core agricultural priorities.

Among the programs on the chopping block were initiatives for socially disadvantaged farmers, urban forestry models aimed at environmental justice, and efforts to expand land and market access for underserved producers. For American citizens, especially those in historically underserved communities, this signals a significant funding shift. Businesses and organizations focused on environmental justice or food equity will need to adjust, while traditional producers may see more direct support. Some state and local governments that relied on these federal funds for targeted conservation or outreach may need to seek new partners.

Internationally, the department is touting new trade wins. President Trump and Secretary Rollins secured greater U.S. agricultural market access in Brazil, Thailand, and Vietnam. For example, the Brazilian government just lifted a suspension on U.S. whey protein concentrate exports, restoring access to a market worth $83 million last year, while Thailand reopened its doors to eastern U.S. apples—a potential $5 million boost annually. These trade developments could mean better prices for farmers and a more competitive U.S. agricultural sector on the world stage.

On the regulatory front, USDA is implementing gradual updates to school nutrition standards. No changes are required for the coming school year, giving schools and the food industry time to adapt. Starting in July 2025, added sugar limits will take effect for foods like breakfast cereals and flavored milk, with broader restrictions phased in by 2027. USDA says these moves are grounded in feedback from schools and child nutrition professionals to make the transition workable and positive for kids’ health.

In research, the department announced it will halt grants related to “gain of function” research for projects submitted after June 20, 2025. This follows a recent Executive Order focused on the safety and security of biological research.

Looking ahead, Secretary Rollins is hitting the road for trade missions to Japan, Vietnam, India, Peru, and Brazil, aiming to secure more export opportunities for American producers. At home, keep an eye on the phase-in for new nutrition standards and upcoming updates to the 2025-2030 dietary guidelines, which could further shape school meals and food policy.

For more on these changes, advice on how they may impact you, or to voice your thoughts, visit the USDA website, or contact your local extension office. If public input is needed, USDA will post calls for comment directly online.

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