ANNOUNCEMENT 07 Feb 2014
On February 7, 2014 President Obama signed into law the Agricultural Act of 2014 (H.R.2642, which became Public Law No: 113-79). This bill was the result of months of negotiations, with members of Congress having announced on January 27, 2014 that they had reached agreement on a new U.S. farm bill. The bill authorizes agricultural, nutrition, and other programs during 2014-2018.
NUMBER OF INTERVENTIONS
H.R.2642 - Agricultural Act of 2014. Available at
Section 1423 of the farm bill repeals the subsidies offered under the Dairy Export Incentive Program by striking section 153 of the Food Security Act of 1985 (15 U.S.C. 713a-14).
Section 3101 renews the Export Credit Guarantee Program, with an annual budget of $5.5 billion, but would also make several amendments to its operation. One such provision provides to the executive the authority (subject to consultations with the members of the agricultural committees in Congress) to 'administer and carry out ... the program pursuant to such terms as may be agreed between the parties to address the 'WTO cotton dispute' to the extent not superseded by any applicable international undertakings on officially supported export credits to which the United States is a party.'
Several provisions in the law are aimed at supporting domestic cotton producers. One is section 1207, which directs the President to carry out a special import quota program for upland cotton beginning on August 1, 2014, and a limited global import quota program for it based upon specified price conditions.
It also directs the Secretary of Agriculture to make monthly adjustment assistance payments of 3 cents per pound beginning on August 1, 2013, to domestic users of upland cotton during the previous monthly period regardless of the cotton's origin. It also requires that such assistance be used for acquisition, construction, installation, modernization, conversion, or expansion of land, plant, buildings, equipment, facilities, or machinery.