Bill Overview
Title: Emergency Relief from Duties Act
Description: This bill provides for a temporary waiver of countervailing and antidumping duties relating to fertilizer or fertilizer ingredients in emergency situations. Specifically, a covered party (e.g., a manufacturer, trade association, or other interested party) may petition the U.S. International Trade Commission (USITC) to waive countervailing or antidumping duties assessed for fertilizer or fertilizer ingredients (or renew such a waiver) in emergency situations that limit the production or supply of fertilizer or fertilizer ingredients. The bill requires the USITC to (1) allow the public to submit comments on any petition for a waiver or renewal; and (2) issue, within 30 days after the close of the public comment period, a final decision concerning the waiver or renewal. Any waiver or renewal shall be for a period of one year.
Sponsors: Rep. Mann, Tracey [R-KS-1]
Target Audience
Population: People reliant on global agricultural systems
Estimated Size: 332000000
- The bill targets the fertilizer industry, which is a critical component of the agricultural supply chain.
- Farmers across the world rely on fertilizers to enhance soil fertility and boost crop yields.
- By waiving duties in emergency situations, the bill could ensure a stable supply of fertilizers, impacting agricultural productivity and food security globally.
- The bill's provision allows stakeholders, including manufacturers and trade associations, to petition for waivers, indicating direct impacts on these groups.
- Access to affordable fertilizers can affect farmers' costs globally, influencing food prices and availability worldwide.
Reasoning
- The fertilizer industry is a critical component of the agricultural supply chain. Disruptions in this supply can potentially lead to increased costs for farmers and, subsequently, higher food prices.
- The US has about 2 million farming operations, directly affecting a small portion of the population, but indirectly influencing food prices and overall economic stability for the entire country.
- This policy offers a way to mitigate sudden cost increases in fertilizers during emergencies, which could help stabilize food prices by maintaining steady agricultural production.
- Both small-scale family farms and larger corporate farming operations could benefit from this policy during crises, potentially affecting the range of crop outputs and costs.
- The budget constraints limit the extent and frequency of duty waivers, ensuring the policy targets truly emergency situations thus maintaining a balance between support and fiscal responsibility.
- To simulate a range of impacts, the interviews include people from various sectors of the agricultural industry, including those indirectly impacted by food cost stability.
Simulated Interviews
Corn Farmer (Iowa)
Age: 45 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 1.0 years
Commonness: 4/20
Statement of Opinion:
- This policy could be vital during shortages; anything that helps avoid driving fertilizer costs sky-high is good for us.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 5 |
| Year 2 | 8 | 5 |
| Year 3 | 7 | 4 |
| Year 5 | 7 | 4 |
| Year 10 | 6 | 3 |
| Year 20 | 6 | 3 |
Organic Farmer (California)
Age: 38 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 1.0 years
Commonness: 5/20
Statement of Opinion:
- Since we don't rely on chemical fertilizers, this policy doesn't directly impact us, but could affect overall market dynamics.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 5 | 4 |
Agricultural Trade Association Executive (Texas)
Age: 55 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 2.0 years
Commonness: 2/20
Statement of Opinion:
- This policy is a sensible safeguard. We need mechanisms to address emergency supply chain issues.
- Waiving duties can help our industry smooth out supply blips.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 5 | 4 |
| Year 10 | 5 | 4 |
| Year 20 | 4 | 3 |
Retired, former USDA Employee (Nebraska)
Age: 62 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 3/20
Statement of Opinion:
- If implemented right, this will be a powerful tool to manage prices during crises and enhance food security.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 5 |
| Year 3 | 7 | 5 |
| Year 5 | 7 | 5 |
| Year 10 | 7 | 5 |
| Year 20 | 7 | 5 |
Graduate Student in Environmental Studies (Florida)
Age: 29 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 0.0 years
Commonness: 6/20
Statement of Opinion:
- The short-term benefits might be there, but we should focus more on sustainable solutions.
- Emergency waivers might overlook long-term environmental impacts.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 7 | 7 |
| Year 3 | 7 | 7 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Owner of a Large Agricultural Supply Company (Missouri)
Age: 50 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 3.0 years
Commonness: 5/20
Statement of Opinion:
- Having a mechanism for waivers is critical to manage unexpected spikes in demand or supply chain issues. It helps our business adapt quickly.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 6 | 5 |
| Year 3 | 7 | 6 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 4 |
| Year 20 | 5 | 4 |
Wheat Farmer (Kansas)
Age: 56 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 1.0 years
Commonness: 4/20
Statement of Opinion:
- Fertilizer costs are a huge factor in our operation's viability. Emergency waivers might just keep us afloat during tough times.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 6 | 4 |
| Year 5 | 6 | 4 |
| Year 10 | 5 | 3 |
| Year 20 | 5 | 3 |
Agricultural Policy Analyst (Montana)
Age: 33 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 2.0 years
Commonness: 3/20
Statement of Opinion:
- Waivers during emergencies can be smart policy, but need robust checks to ensure they're not misused.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 5 |
| Year 10 | 6 | 5 |
| Year 20 | 6 | 5 |
Environmental Activist (Ohio)
Age: 41 | Gender: other
Wellbeing Before Policy: 6
Duration of Impact: 0.0 years
Commonness: 4/20
Statement of Opinion:
- Policies like this often miss the bigger picture of environmental impacts, though they might address immediate supply issues.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 5 |
Dairy Farmer (Minnesota)
Age: 31 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 2.0 years
Commonness: 3/20
Statement of Opinion:
- The cost of feed is tied directly to fertilizer prices; anything that stabilizes costs is beneficial for dairy operations.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 6 | 4 |
| Year 5 | 5 | 4 |
| Year 10 | 5 | 3 |
| Year 20 | 5 | 3 |
Cost Estimates
Year 1: $50000000 (Low: $30000000, High: $80000000)
Year 2: $0 (Low: $0, High: $0)
Year 3: $0 (Low: $0, High: $0)
Year 5: $0 (Low: $0, High: $0)
Year 10: $0 (Low: $0, High: $0)
Year 100: $0 (Low: $0, High: $0)
Key Considerations
- The potential increase in fertilizer imports and their distribution to farmers must be efficiently managed to avoid market distortions.
- Consideration of how temporary waivers might set precedents for other sectors seeking similar emergency relief in times of supply crises.