Legislation would help combat record high fertilizer prices
U.S. Senator Roger Marshall and Congressman Tracey Mann of Kansas have introduced The Emergency Relief From Duties Act to help combat rising fertilizer prices.
The bills, introduced in the Senate and House, would create a pathway for emergency waivers for duties on fertilizers by the U.S. International Trade Commission.
Kansas Corn Growers Association CEO Greg Krissek says it would help address duties on inputs.
“If such a duty or tariff existed, the federal government would, in a time of emergency, waive that duty or tariff for a year in order to allow ag producers to have better access to that product and more likely access at a lower price,” he says.
Krissek says it’s too early to say what will happen with the legislation, but the message is clear.
“It sends the message too that we’re working on this and we really want to call it to the attention of the regulators within the different agencies and the Biden Administration that this is what some folks really need,” he says.
Speaking to Brownfield during Commodity Classic, he said the organization is appreciative of the lawmakers’ efforts. The Kansas Corn Growers Association represents its members in legislative and regulatory issues and promotes corn and its products.
The Emergency Relief From Duties Act would allow a waiver of Countervailing Duty (CVD) or Anti-dumping Duty (AD) for a year if there is an emergency including natural disasters, war, epidemics, labor disputes, or major accidents.
The lawmakers say the current process for the U.S. International Trade Commission (ITC) doesn’t consider broader economic issues when issuing a CVD or AD.
There are two ways that emergency situations will allow ag groups to petition the ITC: If the emergency situation limits the domestic production of merchandise subject to the duty in a manner that causes economic hardship for users of that merchandise or merchandise made from merchandise subject to the duty; or if the emergency situation would result in a supply and demand disruption that substantially increases the price of merchandise subject to the duty or merchandise made from merchandise subject to the duty.
Audio: Greg Krissek