The vice president of Washington Operations for the National Cotton Council (NCC) says a bill incentivizing the use of U.S. grown cotton through tax credits continues to build support in Congress.
Robbie Minnch says that co-sponsors are being added each week, and building domestic demand for U.S. cotton is important.
“When economic assistance is needed, it’s needed. When safety net programs that are included in the farm bill are needed, they’re needed,” he says. “But ultimately, I think as an industry, we’ve got to figure out how we create more demand so that it lessens the times that those programs are used.”
Minnch says the bill has been introduced in the U.S. House and Senate. “It’s a tax credit, so it doesn’t go through the agriculture committee. It goes through the Senate Finance Committee and the House Ways and Means Committee. I think the biggest question as we move ahead is what type of vehicle would open up for this to pass?” He says the legislation isn’t expected to make it into the Senate’s version of a farm bill, but it could be included in an upcoming reconciliation package or a bipartisan tax package.
Sponsors of the Buying American Cotton Act include Cindy Hyde-Smith, a U.S. Senator from Mississippi, and Greg Murphy, a U.S. Congressman from North Carolina.
EDITOR’S TAKE:
Cotton producers have faced stiff competition from other cotton producing countries who have, at times, identified ways to tilt the demand scales in their favor at the expense of U.S. cotton. This type of legislation, providing tax credits, is often used to once again level the playing field and help our domestic cotton industry. The legislation still has a long way to go but hope rings eternal – hopefully it will find legs and get passed soon.
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