U.S. Peanut producers will receive some assistance to help compensate for low commodity prices, drought damage and increasing production costs, according to the USDA Commodity Credit Corporation. Peanut Producers will receive an estimated $61 million for the 2000 crop year.
Signup for peanut producers began at their local USDA Service Center or Farm Service Agency county office on Oct. 2 and is set to end on Feb. 1, 2001. Eligible producers include anyone producing quota or additional peanuts during the 2000 crop year.
Producers must have completed marketing of the 2000 crop before signing applications for payments. The rate for calculating payments is $30.50 per ton for quota and $16 per ton for additional peanuts. The amount of payment will be the product of the quantity of quota and/or additional peanuts produced or considered produced for the 2000 crop year times the payment rate for quota or additional peanuts as applicable. Where there were temporary transfers of peanut quota in the fall, both parties will be compensated at the quota rate for the pounds transferred.