§5677 Trade compensation and assistance programs

Summary

If, after April 4, 1996, the President or another executive-branch official stops U.S. exports to a country for national security or foreign policy reasons, and no other country with an agricultural economic interest joins the stoppage within 90 days, the Secretary must run a trade compensation assistance program to help affected farmers and producers. The Secretary will pick the option that gives the most benefit: either pay producers for losses or use funds to boost agricultural exports or send U.S. commodities to developing countries under existing authorities. If payments go to producers, the amount is set by the Secretary based on estimated price losses caused by the suspension. If funds are used for exports or donations, the yearly amount equals 90 percent of the average annual U.S. agricultural exports to that country over the most recent 3 years with available data. Support can be provided for each fiscal year the suspension lasts, up to 3 fiscal years. The Commodity Credit Corporation supplies the money. The rule does not apply to suspensions caused by war or armed hostility. If the suspension is for short supply, the Secretary must follow section 1310.