Cotton growers win relief from payment limitBottom line. Despite the actively engaged change I discussed yesterday, a well-organized interest group has ways to advance their interests which don't involve the farm bill.
Here are some key provisions for food and agriculture in the omnibus:
Cotton assistance - The bill would reinstate the use of commodity certificates, which provide a way around the $125,000-per-person limit on marketing loan gains and other forms of subsidies. The provision would help producers “sell their cotton on a more orderly basis, and it keeps us from having to take ownership of the cotton,” said Conaway.
The use of certificates ended in 2009 when Congress eliminated a limit on marketing loan gains. The 2014 farm bill restored a limit on marketing loan gains by including them in the $125,000 limit and didn't restore certificates. But the cotton industry argues that the $125,000 limit ($250,000 per married couple) has created challenges for individual growers while threatening to disrupt cotton marketing.
Thursday, December 17, 2015
No End to Payment Limitation Fights
From Agri-pulse on the omnibus bill: