USDA Boosts Payment Rate for Textile Mills Cotton Assistance Program
Published Date: 2/24/2026
Rule
Summary
The USDA is boosting the payment rate for the Economic Adjustment Assistance for Textile Mills program from 3 to 5 cents per pound of upland cotton, starting August 1, 2025. This means eligible U.S. textile mills get more financial help to upgrade their equipment and facilities. The new rule kicks in officially on February 24, 2026, giving mills a bigger boost to grow and modernize their operations.
Analyzed Economic Effects
2 provisions identified: 2 benefits, 0 costs, 0 mixed.
Textile mills: payment rate raised to $0.05/lb
If you run an eligible U.S. textile mill, the Economic Adjustment Assistance for Textile Mills payment rate increased from $0.03 to $0.05 per pound of upland cotton. The higher rate is applicable beginning August 1, 2025, and the rule was finalized on February 24, 2026; payments are made by the Commodity Credit Corporation to mills that have an Upland Cotton Domestic User Agreement with AMS.
Program stays voluntary with minimal burden
Participation in the EAATM program is voluntary, requires an agreement with the Commodity Credit Corporation, and participants submit a monthly consumption report using normal business records. AMS certified the rule will not have a significant economic impact on small textile mill entities and states the action does not impose new requirements.
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