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Ordinarily, CCC does not allow contaminated grain to be pledged as 

 collateral for a price support loan. However, as an aid to affected producers, 

 we have decided that wheat and barley that is otherwise eligible to be pledged 

 as collateral for a price support loan, but that contains vomitoxin, may be 

 pledged as collateral for a: 



• nonrecourse loan if the level of vomitoxin is 5 parts per million or 

 less, which is the minimum FDA advisory level for wheat to be 

 used for feed; or a 



• recourse loan, at a reduced loan rate, if the level of vomitoxin is 

 more than 5 parts per million. 



The loan rate would not be reduced for cases where the level of vomitoxin is 5 

 parts per million or less. Producers with loan collateral with more than 5 parts 

 per million of vomitoxin would be given a recourse loan using the sample grade 

 discount as if the grain had graded U.S. Sample. 



