Title 7AgricultureRelease 119-73

§602 Declaration of policy; establishment of price basing period; marketing standards; orderly supply flow; circumstances for continued regulation

Title 7 › Chapter CHAPTER 26— - AGRICULTURAL ADJUSTMENT › Subchapter SUBCHAPTER I— - DECLARATION OF CONDITIONS AND POLICY › § 602

Last updated Apr 6, 2026|Official source

Summary

Requires the Secretary of Agriculture to set up and keep orderly markets for farm products sold between states so farmers get parity prices (parity prices are defined in section 1301(a)(1)). It must protect consumers by moving farm prices toward that parity level at a speed the Secretary finds feasible given current domestic and foreign demand, and it must not be used to keep farmers’ prices above that parity level. Allows the Secretary to run production and marketing research and development projects (see section 608c(6)(I)), set container and pack rules (see section 608c(6)(H)), and require minimum quality, maturity, grading, and inspection for the commodities listed in section 608c(2) (except milk and its products). Requires keeping a steady flow of supply to market during the normal season to avoid big swings in supply or price, and permits continuing any order-based regulation begun that season or year if needed to prevent market disruption and serve the public interest.

Full Legal Text

Title 7, §602

Agriculture — Source: USLM XML via OLRC

It is declared to be the policy of Congress—
(1)Through the exercise of the powers conferred upon the Secretary of Agriculture under this chapter, to establish and maintain such orderly marketing conditions for agricultural commodities in interstate commerce as will establish, as the prices to farmers, parity prices as defined by section 1301(a)(1) of this title.
(2)To protect the interest of the consumer by (a) approaching the level of prices which it is declared to be the policy of Congress to establish in subsection (1) of this section by gradual correction of the current level at as rapid a rate as the Secretary of Agriculture deems to be in the public interest and feasible in view of the current consumptive demand in domestic and foreign markets, and (b) authorizing no action under this chapter which has for its purpose the maintenance of prices to farmers above the level which it is declared to be the policy of Congress to establish in subsection (1) of this section.
(3)Through the exercise of the powers conferred upon the Secretary of Agriculture under this chapter, to establish and maintain such production research, marketing research, and development projects provided in section 608c(6)(I) of this title, such container and pack requirements provided in section 608c(6)(H) of this title 11 So in original. Probably should be followed by a comma. such minimum standards of quality and maturity and such grading and inspection requirements for agricultural commodities enumerated in section 608c (2) of this title, other than milk and its products, in interstate commerce as will effectuate such orderly marketing of such agricultural commodities as will be in the public interest.
(4)Through the exercise of the powers conferred upon the Secretary of Agriculture under this chapter, to establish and maintain such orderly marketing conditions for any agricultural commodity enumerated in section 608c(2) of this title as will provide, in the interests of producers and consumers, an orderly flow of the supply thereof to market throughout its normal marketing season to avoid unreasonable fluctuations in supplies and prices.
(5)Through the exercise of the power conferred upon the Secretary of Agriculture under this chapter, to continue for the remainder of any marketing season or marketing year, such regulation pursuant to any order as will tend to avoid a disruption of the orderly marketing of any commodity and be in the public interest, if the regulation of such commodity under such order has been initiated during such marketing season or marketing year on the basis of its need to effectuate the policy of this chapter.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

1970—Subsec. (3). Pub. L. 91–292 inserted authority to establish and maintain the production research, marketing research, and development projects provided in section 608c(6)(I) of this title. 1965—Subsec. (3). Pub. L. 89–330 inserted “such container and pack requirements provided in section 608c(6)(H) of this title”. 1961—Subsec. (5). Pub. L. 87–128 added subsec. (5). 1954—Subsec. (4). Act Aug. 28, 1954, added subsec. (4). 1948—Subsec. (1). Act
July 3, 1948, made definition of “parity” conform to definition stated in section 1301(a)(1) of this title. 1947—Subsec. (3). Act Aug. 1, 1947, added subsec. (3). 1937—Act
June 3, 1937, inserted “orderly marketing conditions for agricultural commodities in interstate commerce as will establish” before “as the prices to farmers”. 1935—Subsec. (1). Act Aug. 24, 1935, ch. 641, § 1, amended first sentence and act Aug. 24, 1935, ch. 641, § 62, amended second and third sentences. Subsec. (2). Act Aug. 24, 1935, amended subsec. (2).

Statutory Notes and Related Subsidiaries

Effective Date

of 1948 AmendmentAmendment by act
July 3, 1948, effective Jan. 1, 1950, see section 303 of act
July 3, 1948, set out as a note under section 1301 of this title. Validity of Section AffirmedAct
June 3, 1937, ch. 296, § 1, 50 Stat. 246, affirmed and validated, and reenacted without change the provisions of this section except for the amendment to subsec. (1) by section 2 of said act. See note set out under section 601 of this title.

Reference

Citations & Metadata

Citation

7 U.S.C. § 602

Title 7Agriculture

Last Updated

Apr 6, 2026

Release point: 119-73