Title 7 — AgricultureRelease 119-73not60

§7236a Special Competitive Provisions for Extra Long Staple Cotton

Title 7 › Chapter 100— AGRICULTURAL MARKET TRANSITION › Subchapter III— NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN DEFICIENCY PAYMENTS › § 7236a

Last updated Apr 3, 2026|Official source

Summary

From October 1, 1999, to July 31, 2003, the Secretary must run a program to help U.S. extra long staple cotton stay in use at home, sell more abroad, and stay competitive in world markets. Payments happen if, for four weeks in a row, the adjusted world price for the cheapest competing extra long staple cotton is lower than the U.S. price and is also under 134% of the loan rate. Eligible domestic users and exporters who sign up with the Commodity Credit Corporation get payments equal to the price gap in week four times the documented purchases or export sales made in the week after that four‑week period. Recipients may choose cash or marketing certificates.

Full Legal Text

Title 7, §7236a

Agriculture — Source: USLM XML via OLRC

(a)Notwithstanding any other provision of law, during the period beginning on October 1, 1999, and ending on July 31, 2003, the Secretary shall carry out a program to maintain and expand the domestic use of extra long staple cotton produced in the United States, to increase exports of extra long staple cotton produced in the United States, and 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 134 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 who 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.

(e)Payments under this section shall be made through the issuance of cash or marketing certificates, at the option of eligible recipients of the payments.

Reference

Citations & Metadata

Citation

7 U.S.C. § 7236a

Title 7 — Agriculture

Last Updated

Apr 3, 2026

Release point: 119-73not60