Title 7AgricultureRelease 119-73

§1736 Use of Commodity Credit Corporation

Title 7 › Chapter CHAPTER 41— - FOOD FOR PEACE › Subchapter SUBCHAPTER IV— - GENERAL AUTHORITIES AND REQUIREMENTS › § 1736

Last updated Apr 6, 2026|Official source

Summary

The Commodity Credit Corporation can buy and supply agricultural commodities needed to carry out the agreements under this chapter. For commodities provided under subchapters III and III–A, the Corporation can pay certain costs. Those costs cover seven areas: buying the commodities; packaging, enrichment, preservation, and fortification (including work under section 1736g–2); processing, transport, handling, and other costs up to delivery on board ships at U.S. ports; ocean freight from U.S. or designated Canadian transshipment ports to overseas entry ports; moving commodities from U.S. ports to other entry points when a country is landlocked, a port is unusable, carriers are unavailable, or large cost/time savings result; for urgent and extraordinary relief (including pre‑positioned supplies) the costs to move from entry points to storage and distribution sites and related storage, distribution, and program costs; and general average charges from ocean transport. The CCC can use its funds, facilities, and authorities for these actions, but money may be spent only if Congress provides it in advance in appropriation Acts.

Full Legal Text

Title 7, §1736

Agriculture — Source: USLM XML via OLRC

(a)The Commodity Credit Corporation may acquire and make available such agricultural commodities as necessary to carry out agreements under this chapter.
(b)With respect to commodities made available under subchapters III and III–A, the Commodity Credit Corporation may pay—
(1)the cost of acquiring such commodities;
(2)the costs associated with packaging, enrichment, preservation, and fortification of such commodities, including the costs of carrying out section 1736g–2 of this title;
(3)the processing, transportation, handling, and other incidental costs up to the time of the delivery of such commodities free on board vessels in United States ports;
(4)the vessel freight charges from United States ports or designated Canadian transshipment ports, as determined by the Secretary, to designated ports of entry abroad;
(5)the costs associated with transporting such commodities from United States ports to designated points of entry abroad in the case—
(A)of landlocked countries;
(B)of ports that cannot be used effectively because of natural or other disturbances;
(C)of the unavailability of carriers to a specific country; or
(D)of substantial savings in costs or time that may be effected by the utilization of points of entry other than ports;
(6)in the case of commodities for urgent and extraordinary relief requirements (including pre-positioned commodities) the transportation costs incurred in moving the commodities from designated points of entry or ports of entry abroad to storage and distribution sites and associated storage, distribution, and program implementation costs to use the commodities; and
(7)the charges for general average contributions arising out of the ocean transport of commodities transferred pursuant thereto.
(c)The funds, facilities, and authorities of the Commodity Credit Corporation may be used to carry out this chapter.
(d)Funds shall be available under this chapter only to the extent provided in advance in appropriation Acts.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

2018—Subsec. (b)(6). Pub. L. 115–334 substituted “storage, distribution, and program implementation costs to use the commodities” for “storage and distribution costs”. 2008—Subsec. (a). Pub. L. 110–246, § 3014(b)(1), struck out “(that have been determined to be available under section 1731(a) of this title)” after “commodities”. Subsec. (b)(2). Pub. L. 110–246, § 3016, inserted “, including the costs of carrying out section 1736g–2 of this title” before semicolon at end. 1996—Subsec. (a). Pub. L. 104–127, § 215(1), substituted “may” for “shall” after “Corporation”. Subsec. (b). Pub. L. 104–127, § 215(2)(A), in introductory provisions, substituted “subchapters III and III–A” for “this chapter”. Subsec. (b)(4). Pub. L. 104–127, § 215(2)(B), added par. (4) and struck out former par. (4) which read as follows: “the ocean freight charges from United States ports to designated ports of entry abroad;”. 1991—Subsec. (b)(5)(D). Pub. L. 102–237 substituted “time” for “items”. 1990—Pub. L. 101–624 amended section generally, substituting present provisions for provisions authorizing appropriations and authorizing the President to administer a program of farmer-to-farmer assistance, enter into agreements or make grants to train farmers in recipient countries, seek exchange of farm youth and farm leaders with developing countries, conduct research in tropical and subtropical agriculture, coordinate program with other foreign assistance programs, establish conditions for eligibility in farmer-to-farmer program, and pay costs of program through use of foreign currencies accruing from sale of commodities. Subsec. (d). Pub. L. 101–508 added subsec. (d). 1975—Subsec. (a). Pub. L. 94–161, § 214(1), substituted “the President” for “the Secretary of Agriculture”. Subsec. (a)(1). Pub. L. 94–161, § 214(2), struck out “through existing agencies of the Department of Agriculture” after “establish and administer”. Subsec. (a)(5). Pub. L. 94–161, § 214(3), substituted “with other foreign assistance activities of the United States” for “with the activities of the Peace Corps, the Agency for International Development, and other agencies of the United States and to assign, upon agreement with such agencies, such persons to work with and under the administration of such agencies: Provided, That nothing in this section shall be construed to infringe upon the powers or functions of the Secretary of State”. 1966—Pub. L. 89–808 substituted food production assistance provisions for provision respecting applicability of other laws, now provided for by section 1707(d) of this title. 1962—Pub. L. 87–703 made section 1701(b) and (c) applicable to this subchapter.

Statutory Notes and Related Subsidiaries

Effective Date

of 2008 AmendmentAmendment by Pub. L. 110–246 effective May 22, 2008, see section 4(b) of Pub. L. 110–246, set out as an

Effective Date

note under section 8701 of this title.

Effective Date

of 1990

Amendments

Amendment by Pub. L. 101–624 effective Jan. 1, 1991, see section 1513 of Pub. L. 101–624, set out as a note under section 1691 of this title. Amendment by Pub. L. 101–508 effective Nov. 29, 1990, see section 1301 of Pub. L. 101–508, set out as an

Effective Date

note under section 1994 of this title.

Effective Date

of 1966 AmendmentAmendment by Pub. L. 89–808 effective Jan. 1, 1967, see section 5 of Pub. L. 89–808, set out as a note under section 1691 of this title. Farmer-to-Farmer Programs for Fiscal Years 1986 Through 1990 Pub. L. 99–198, title XI, § 1107, Dec. 23, 1985, 99 Stat. 1467, as amended by Pub. L. 100–277, § 6, Apr. 4, 1988, 102 Stat. 69, directed that not less than one-tenth of 1 percent of the funds available for each of the fiscal years ending Sept. 30, 1986, through Sept. 30, 1990, to carry out this chapter be used to carry out section 1736(a)(1), (2) of this title, and directed the Administrator of the Agency for International Development, in conjunction with the Secretary of Agriculture, to submit to Congress a report, not later than 120 days after Dec. 23, 1985, indicating the manner in which the Agency intended to implement such provisions.

Reference

Citations & Metadata

Citation

7 U.S.C. § 1736

Title 7Agriculture

Last Updated

Apr 6, 2026

Release point: 119-73