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Pima Cotton Trust Fund Distributions May Now Be Claimed

WASHINGTON — May 02, 2014 — The Department of Agriculture’s Foreign Agricultural Service is accepting through June 2 claims from eligible individuals or firms for distributions from the Pima Agriculture Cotton Trust Fund authorized by the farm bill enacted earlier this year. Such distributions, which will total up to $16 million per year for each of calendar years 2014 through 2018, aim to reduce the injury to domestic manufacturers resulting from tariffs on cotton fabric that are higher than tariffs on certain apparel articles made of cotton fabric.

Distributions out of the trust fund are payable to one or more nationally recognized associations established for the promotion of pima cotton for use in textile and apparel goods (25% of the total), yarn spinners of pima cotton that produce ring spun cotton yarns in the United States (25%), and manufacturers who cut and sew cotton shirts in the U.S. who certify that they used imported cotton fabric during calendar year 2013 (50%). To claim a distribution, eligible parties must submit a notarized affidavit affirming that they meet the statutory requirements, and shirting manufacturers and yarn spinners must provide definitive statements and supporting documentation verifying their eligibility. All claims, affidavits and supporting documentation for calendar year 2014 distributions are due no later than June 2.

Posted May 6, 2014

Source: Sandler, Travis & Rosenberg Trade Report

 




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