11/23/2021 | Press release | Distributed by Public on 11/23/2021 14:39
Date
November 23, 2021
To:
All Approved Insurance Providers
All Risk Management Agency Field Offices
All Other Interested Parties
From:
Richard H. Flournoy, Deputy Administrator /s/ Richard H. Flournoy 11/23/2021
Subject:
2022 Crop Year Organic Rice Price Factor, Organic Cotton Price Premium, Popcorn Price Factors, and Sunflower Price Factors
Background
The Risk Management Agency (RMA) derives prices for certain programs by applying factors and premiums to conventional projected and harvest prices established in accordance with the Commodity Exchange Price Provisions (CEPP). The factors and premiums for organic rice, organic cotton, popcorn, organic popcorn, confectionery sunflowers, and organic sunflowers are provided below.
Action
Organic Rice Price Factor
The 'CEPP Section II: Rice' document authorizes RMA to derive organic practice rice prices. The following 2022 crop year (CY) organic practice price factor will be applied to the conventional practice rice prices, in accordance with the CEPP, to derive the organic practice rice prices:
Organic Cotton Price Premium
The 'CEPP Section II: Cotton' document authorizes RMA to derive organic practice cotton prices. The following 2022 CY organic practice price premium will be added to the conventional practice cotton prices, in accordance with the CEPP, to derive the organic practice cotton prices:
Popcorn Price Factors
The Popcorn Revenue Coverage (Pilot) Crop Provisions specify that projected and harvest prices shall be the "price for grain type corn determined in accordance with the [CEPP] multiplied by a factor…". The factor converts the conventional per bushel corn price into a per pound popcorn price. The Special Provisions of Insurance contain similar language for the projected price for Yield Protection. The following conversion factor is applicable for the 2022 CY:
An organic popcorn factor converts conventional per bushel corn prices into per pound organic popcorn prices. The following conversion factor is applicable for the 2022 CY:
Sunflower Price Factors
The 'CEPP Section II: Sunflowers' document instructs RMA to derive confectionery type sunflower prices. The following 2022 CY confectionery type price factor will be applied to the oil type sunflower prices, in accordance with the CEPP, to derive the confectionery type sunflower prices:
The 'CEPP Section II: Sunflowers' document authorizes RMA to derive organic practice sunflower prices. The following 2022 CY organic practice price factor will be applied to the conventional oil type sunflower prices, in accordance with the CEPP, to derive the organic practice sunflower prices for both oil and confectionery types:
DISPOSAL DATE:
December 31, 2023