GENERAL FARM PROGRAM 9 



D. Farm marketirig quotas 



1. Amount. — The farm marketing quota is the sum of (a) the number of bales 

 equal to the normal production or the actual production, whichever is the larger, 

 of the farm acreage allotment and (6) the number of bales of penalty-free cotton 

 carried over from previous crops (sec. 346 (a)). 



2. Marketing quota penalty. — Cotton marketed in excess of the farm marketing 

 quota is subject to a penalty at a rate equal to 50 percent of the basic loan rate 

 applicable to cooperators '^ for the marketing year beginning in the year in which 

 such cotton is produced (sec. 348 as amended by Public Law 74, 77th Cong.). 



S. Exemption. — The marketing quota penalty does not apply to the marketing 

 of cotton produced on any farm with a farm acreage allotment if the production 

 thereon does not exceed 1,000 pounds of lint cotton (sec. 346 (b)). 



VI. RICE 



A. National marketing quota 



1. When proclaimed . — The Secretary is required to proclaim a national mar- 

 keting quota for rice whenever in anj^ calendar year he determines (a) that the 

 total supply 20 for the marketing year beginning in such calendar year will exceed 

 the normal supply -^ for such marketing year by more than 20 percent, or (6) that 

 the total supply for the marketing year ending in such calendar year is not less 

 than the normal supply and the average farm price for rice for three consecutive 

 months in such marketing year does not exceed 66 percent of the parity price. 

 The ciuota for any marketing year may be proclaimed at any time during the cal- 

 endar vear preceding the calendar year in which such marketing vear begins 

 (sec. 355 (a)). 



2. Amount. — The amount of the national marketing quota is that quantity of 

 rice which will make available during the marketing vear a normal supply (sec. 

 355 (a^). ' 



3. Referendum. — Within 30 days after the proclamation of the quota the Secre- 

 tary shall conduct a referendum to determine M^hether producers who would be 

 subject to the quota favor or oppose such c|uota. If more than one-third of the 

 producers voting in the referendum oppose such quota, the Secretary is required, 

 prior to February 15 following, to proclaim the results of the referendum and 

 thereupon the cjuota does not become effective (sec. 355 (b)). 



4. ApportioJiment to States and producers. — The Secretary is required to appor- 

 tion (a) the national marketing quota among the rice-producing States on the basis 

 of the average amount of rice produced in each State during the preceding 5 years 

 including the calendar year in which such national allotment is announced, with 

 adjustments for abnormal weather and trends to acreage diu'ing such 5 years, 

 and (b) the State marketing quota among persons producing rice in the State on the 

 basis of the aggregate normal yields of the acreage allotments established for such 

 persons (sees. 335 (e) and 354 (b), (c)). 



5. Termination cr increase in quota. — -The national marketing quota may be 

 increased or terminated if, after investigation, the Secretary finds such action 

 necessary to (a) make available free of marketing restrictions a normal supply of 

 rice, (b) meet a national emergency, or (c) meet an increase in export demand for 

 rice (sec. 371 (a), (b)). 



B. Domestic allotment 



1. When proclaimed. — Not later than December 31 of each year, the Secretary 

 is required to ascertain and proclaim the domestic allotment of rice (sec. 354 (a)). 



2. Amount. — The amount of the domestic allotment is the total cjuantity of 

 rice which will be needed to meet the requirements of consumers in the United 

 States during the marketing year beginning in the next calendar year (sec. 354 (a)). 



3. Apportionment to States and producers. — The Secretary is recjuired to appor- 

 tion (a) the do?nestic allotment of rice among the rice-producing States on the 

 basis of the average amount of rice produced in each State during the preceding 

 5 years including the year in which such allotment is announced, with adjust- 

 ments for abnormal weather and trends in acreage during such 5 years, and {b) 

 the State portion of the domestic allotment among persons producing rice in the 

 States on the basis of the aggregate normal yields of the acreage allotments estab- 

 lished for such persons (sec. 354 (b), (c)). 



19 See footnote 9. 



20 Carry-over on August 1 nlu.s estimated production for the current calendar year plus estimated imports 

 for the marketing year beginning in the current calendar year. 



2' Estimated domestic consumption in the preceding marketing year plus estimated exports for the mar- 

 keting year for which the determination is made plus 10 percent of such consumption and exports as a carry- 

 over allowance. 



