U.S. Secretary of Agriculture Tom Vilsack is exploring ways the U.S. Department of Agriculture (USDA) can help American cotton farmers battle low commodity prices, high inputs and a lack of a farm bill safety net.
Vilsack told reporters at the Commodity Classic last week that one way USDA could help is by making Cotton Transition Assistance Payments (CTAP) similar to transition payments that were used in the first year of the 2014 Farm Bill.
According to Delta Farm Press, Congress would have to restore Vilsack’s authority to use the Commodity Credit Corp. Act to do.
The authority for the Agriculture Secretary to use the act to provide funds to help farmers market their crops was taken away in 2010 after allegations surfaced that a previous secretary misused the funds.
Weeks ago, Vilsack announced the USDA felt it lacked the authority to designate cottonseed as an “other oilseed” in order to make cotton growers eligible for farm bill safety net programs.
House Ag Committee Chair Mike Conaway disagrees.
At Commodity Classic, Vilsack said he wants to help cotton growers, but feels USDA lacks the authority to make the oilseed designation.
He said another option to help cotton growers would be to develop a program that would allow USDA to cost-share the ginning of cotton.
The USDA is reportedly working with growers on the details of how that would work.
Vilsack also went on to say that Congress will have to find a way to address cotton in the next farm bill.