Trade Update • August 17, 2023 T
he Agricultural Marketing Service (AMS) of the U.S. Department of Agriculture has introduced a direct final rule that raises the fee for importers of cotton and cotton-containing products governed by the Cotton Research and Promotion Order. This adjustment will take effect on October 16, 2023.
Currently, the fee for imported cotton stands at $0.013215 per kilogram. The new fee will be $0.014691 per kilogram, marking a rise of $0.001476 per kilogram. This modification aligns with the upsurge in the average weighted price of Upland cotton received by American farmers from January to December 2022, ensuring equitable assessment rates for both importers and domestic stakeholders. Additionally, AMS has made revisions to the Import Assessment Table, which outlines the applicable Harmonized Tariff Schedule (HTS) classification numbers subject to this fee, along with the corresponding conversion factor and assessment rate for each HTS classification.
The revenue generated from these assessments serves as funding for research and promotional initiatives aimed at boosting consumer demand for upland cotton in both the domestic and international markets.
For questions on these this fee increase and how it might impact your imports, please contact us, we’re here to help.