USDA Counter-Cyclical Payments

WASHINGTON - Oct 22/04 - SNS -- The first partial 2004 crop year counter-cyclical program payments are now available for wheat, corn, sorghum, barley, oats, soybeans, upland cotton, rice and peanuts, as are the final counter-cyclical payments for the 2003 crop year.

Counter-cyclical payments are available to producers participating in the Direct and Counter-cyclical Program (DCP) if "effective" prices for each eligible commodity are less than the respective "target" prices set in the 2002 Farm Bill.

The 2004 crop year projected annual payment rates and the first partial payment rates, equal to 35% of the total amount, are:

                               Total      First
                              Projected    Partial
Commodity        Unit           Rate       Rate
                            --dollars per unit--
Wheat           bushel          0.10      0.0350
Corn            bushel          0.40      0.1400
Sorghum         bushel          0.27      0.0945
Barley          bushel          0.15      0.0525
Oats            bushel          0.016     0.0056
Soybeans        bushel          0.26      0.0910
Upland cotton   pound           0.1373    0.0481
Rice            hundredweight   0.90      0.3150
Peanuts         short ton      73.00     25.55

A first installment payment is not available for other oilseeds because the projected effective price equals the target price.

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