Plains Cotton Growers Statement on Cotton Ginning Cost Share Assistance for 2016 Crop

LUBBOCK, TX (NEWS RELEASE) - The following is a news release from Plains Cotton Growers, Inc.:

Plains Cotton Growers, Inc., commended the U.S. Department of Agriculture today for authorizing a Cotton Ginning Cost Share program for the 2016 crop that will provide much-needed assistance to growers across the Cotton Belt.

"We greatly appreciate U.S. Secretary of Agriculture Sonny Perdue and the USDA, along with the House Committee on Agriculture led by Chairman Mike Conaway, for understanding the needs of cotton producers and acknowledging the success of the previous Cotton Ginning Cost Share Program," PCG President Johnie Reed, a cotton producer from Kress, said. "Re-authorizing this program for the 2016 crop will help cotton growers offset their ginning costs, which in turn will improve many growers' financial situations and help keep them in business."

The program will be similar to the one for the 2015 crop in that it will be a one-time payment determined by a producer's 2016 cotton acres reported to the Farm Service Agency, multiplied by 20 percent of the average ginning cost for each production region. The payment rate for Texas will be $19.65 per acre. The program has the same eligibility requirements as were used for the 2015 Cotton Ginning Cost Share Program, including a $40,000 per producer payment limit, requirement to be actively engaged in farming, meet conservation compliance provisions and a $900,000 adjusted gross income limit.

"We are grateful for the opportunity for assistance, because our producers certainly need it," Reed said. "We've been dealing with many factors over the past few years that are beyond our control, and we thank Secretary Perdue and the USDA for responding to their needs and helping ensure a stronger future for cotton."

The sign-up period for the program begins March 12, 2018, and runs through May 11. Growers should watch for a letter and pre-filled application from FSA in the mail. For more on the Cotton Ginning Cost Share Program, visit or contact a local FSA county office.

(News release from Plains Cotton Growers, Inc.)


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