The Digester
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Trump unveils loans and biofuel boost for farmers amid Iran conflict

At a White House event, the Trump administration announced a new 90% guaranteed loan program and updated renewable fuel requirements to boost US agricultural production and ease food-supply pressures as the conflict with Iran continues.

Mar 27th 2026 · United States

Insights

  • The SBA will administer loans with a 90% federal guarantee, up from the agency’s current 75% guarantee.
  • Certain small businesses become eligible for the program starting May 1.
  • The administration tightened renewable fuel standards to increase domestic biofuel production and cited projected rural benefits of over $10 billion and 100,000 jobs.
  • The measures are designed to expand food production, processing and distribution and to help reduce grocery costs.
  • Farmers are facing higher fertilizer and diesel prices after the closure of the Strait of Hormuz, increasing pressure ahead of the spring planting season.

Sources