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United States Code (Last Updated: May 24, 2014) |
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Title 7. AGRICULTURE |
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Chapter 100. AGRICULTURAL MARKET TRANSITION |
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SubChapter III. NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN DEFICIENCY PAYMENTS |
§ 7236a. Special competitive provisions for extra long staple cotton
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(a) Competitiveness program Notwithstanding any other provision of law, during the period beginning on
October 1, 1999 , and ending onJuly 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) Payments under program; trigger 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) Eligible recipients 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) Payment amount Payments under this section shall be based on the amount of the difference in the prices referred to in subsection (b)(1) of this section 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) Form of payment Payments under this section shall be made through the issuance of cash or marketing certificates, at the option of eligible recipients of the payments.