§9038 — Title 7 Agriculture | U.S. Code

Summary

From February 7, 2014, through July 31, 2032, the Secretary must run a program to keep U.S. extra long staple cotton in use at home, grow its exports, and help it stay competitive in world markets. The Secretary must pay money under the program when two things happen for a consecutive 4-week period: the lowest-priced competing world cotton (after the Secretary adjusts it for U.S. quality, location, and other competitiveness factors) is below the prevailing U.S. price, and that adjusted world price is less than 113 percent of the extra long staple loan rate. Payments go to U.S. users and exporters who sign an agreement with the Commodity Credit Corporation. The payment equals the price gap in the fourth week multiplied by documented purchases or export sales made in the week after that 4-week period.

Title 7, §9038

Agriculture — Source: USLM XML via OLRC

(a)Notwithstanding any other provision of law, during the period beginning on February 7, 2014, through July 31, 2032, the Secretary shall carry out a program—

(1)to maintain and expand the domestic use of extra long staple cotton produced in the United States;

(2)to increase exports of extra long staple cotton produced in the United States; and

(3)to ensure that extra long staple cotton produced in the United States remains competitive in world markets.

(b)Under the program, the Secretary shall make payments available under this section whenever—

(1)for a consecutive 4-week period, the world market price for the lowest priced competing growth of extra long staple cotton (adjusted to United States quality and location and for other factors affecting the competitiveness of such cotton), as determined by the Secretary, is below the prevailing United States price for a competing growth of extra long staple cotton; and

(2)the lowest priced competing growth of extra long staple cotton (adjusted to United States quality and location and for other factors affecting the competitiveness of such cotton), as determined by the Secretary, is less than 113 percent of the loan rate for extra long staple cotton.

(c)The Secretary shall make payments available under this section to domestic users of extra long staple cotton produced in the United States and exporters of extra long staple cotton produced in the United States that enter into an agreement with the Commodity Credit Corporation to participate in the program under this section.

(d)Payments under this section shall be based on the amount of the difference in the prices referred to in subsection (b)(1) during the fourth week of the consecutive 4-week period multiplied by the amount of documented purchases by domestic users and sales for export by exporters made in the week following such a consecutive 4-week period.

Notes & Related Subsidiaries

Editorial Notes

Amendments

2025—Subsec. (a). Pub. L. 119–21 substituted “2032” for “2026” in introductory provisions. 2024—Subsec. (a). Pub. L. 118–158 substituted “2026” for “2024” in introductory provisions. 2018—Subsec. (a). Pub. L. 115–334, § 1204(a), substituted “2024” for “2019” in introductory provisions. Subsec. (b)(2). Pub. L. 115–334, § 1204(b), substituted “113 percent” for “134 percent”.

Statutory Notes and Related Subsidiaries

Effective Date

of 2024 AmendmentAmendment by Pub. L. 118–158 to be applied and administered as if enacted on Sept. 30, 2024, see section 4101(g) of Pub. L. 118–158, set out in an Extension of Agricultural Programs note under section 9001 of this title.

§9038 Special competitive provisions for extra long staple cotton