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Wool and the Coronavirus Food Assistance Program

Are you a wool producer whose operation has been directly impacted by the coronavirus pandemic? The Coronavirus Food Assistance Program provides direct relief to producers who faced price declines and additional marketing costs due to COVID-19.

The Coronavirus Food Assistance Program, or CFAP, provides vital financial assistance to producers of agricultural commodities who have suffered a five-percent-or-greater price decline or who had losses due to market supply chain disruptions due to COVID-19 and face additional significant marketing costs. USDA is accepting applications now through August 28, 2020. Learn more at farmers.gov/cfap.

 

Wool Eligibility

CFAP payments are eligible to wool producers who have suffered a five percent-or-greater price decline over a specified time as a result of the COVID-19 pandemic, and who face increased marketing costs for inventories.

Producers will be paid based on inventory subject to price risk held as of January 15, 2020. A single payment will be made based on 50 percent of a producer’s 2019 total production or the 2019 inventory as of January 15, 2020, whichever is smaller, multiplied by 50 percent and then multiplied by the commodity’s applicable payment rates.

Producers must provide the following information for CFAP:

  • Total 2019 production for the commodity that suffered a five percent-or-greater price decline, and
  • Total 2019 production that was not sold as of January 15, 2020.

 

CFAP Payments for Wool

The table below lists eligible wool commodities and payment rates for CFAP, based on the following formulation:

Payment per commodity = (Units x 50% x CARES rate) + (Units x 50% x CCC rate)

Units = Smaller of 1) 50 % of a producer’s 2019 total production OR

2) 2019 unpriced inventory as of Jan. 15, 2020.

Commodity

Unit of Measure

CARES Act Payment Rate

(Applied against 50% of unpriced inventory as of January 15, 2020, not to exceed 50 percent of 2019 total production)

CCC Payment Rate

(Applied against 50% of unpriced inventory as of January 15, 2020, not to exceed 50 percent of 2019 total production)

Wool (graded, clean basis) pound $0.71 $0.78
Wool (non-graded, greasy basis) pound $0.36 $0.39

Additional information for wool producers is available in our fact sheet, Coronavirus Food Assistance Program for Wool Producers. This fact sheet is also available in Spanish and Puerto Rican Spanish.

 

Additional CFAP Information

Farm Service Agency staff at local USDA Service Centers will work with producers to file applications. 

Visit farmers.gov/cfap for additional information on the Coronavirus Food Assistance Program, other eligible commodities, CFAP eligibility, payment limitations and structure, and how to apply.

 

Find Your Local Service Center

We are committed to delivering USDA services to America’s farmers and ranchers while taking safety measures in response to COVID-19. While employees continue to staff our Service Centers, some are only available for phone appointments at this time. You can learn the status of your service center through this tool. Learn more at farmers.gov/coronavirus.


USDA Service Centers are locations where you can connect with Farm Service Agency and Natural Resources Conservation Service employees for your business needs. Enter your state and county below to find your local service center and agency offices. If this locator does not work in your browser, please visit offices.usda.gov.

Visit the Risk Management Agency website to find a regional or compliance office or to find an insurance agent near you.