
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 7USC5621]

 
                          TITLE 7--AGRICULTURE
 
                      CHAPTER 87--EXPORT PROMOTION
 
               SUBCHAPTER II--AGRICULTURAL EXPORT PROGRAMS
 
                            Part A--Programs
 
Sec. 5621. Direct credit sales program


(a) Short-term program

    To promote the sale of agricultural commodities, the Commodity 
Credit Corporation may finance the commercial export sale of such 
commodities from privately owned stocks on credit terms for not to 
exceed a 3-year period.

(b) Intermediate-term program

    Subject to subsection (c) of this section, to promote the sale of 
agricultural commodities the Commodity Credit Corporation may finance 
the commercial export sales of agricultural commodities from privately 
owned stocks on credit terms for a period of not less than 3 years nor 
in excess of 10 years in a manner that will directly benefit United 
States agricultural producers.

(c) Determinations

    The Commodity Credit Corporation shall not finance an export sale 
under subsection (b) of this section unless the Secretary determines 
that such sale will--
        (1) develop, expand, or maintain the importing country as a 
    foreign market, on a long-term basis, for the commercial sale and 
    export of United States agricultural commodities, without displacing 
    normal commercial sales;
        (2) improve the capability of the importing country to purchase 
    and use, on a long-term basis, United States agricultural 
    commodities; or
        (3) otherwise promote the export of United States agricultural 
    commodities.

The reference in paragraphs (1) and (2) to ``on a long-term basis'' 
shall not apply in the case of determinations with respect to sales to 
the independent states of the former Soviet Union.

(d) Use of program

                          (1) General uses

        The Commodity Credit Corporation may use export sales financing 
    authorized under this section--
            (A) to increase exports of agricultural commodities;
            (B) to compete against foreign agricultural exports;
            (C) to assist countries in meeting their food and fiber 
        needs, particularly--
                (i) developing countries; and
                (ii) countries that are emerging markets that have 
            committed to carry out, or are carrying out, policies that 
            promote economic freedom, private domestic production of 
            food commodities for domestic consumption, and the creation 
            and expansion of efficient domestic markets for the purchase 
            and sale of agricultural commodities; and

            (D) for such other purposes as the Secretary determines 
        appropriate consistent with the provisions of subsection (c) of 
        this section.

                      (2) General restrictions

        Export sales financing authorized under this section shall not 
    be used for foreign aid, foreign policy, or debt rescheduling 
    purposes. The provisions of the cargo preference laws shall not 
    apply to export sales financed under this section.

(e) Terms of credit assistance

    Any contract for the financing of exports by the Commodity Credit 
Corporation under this section shall include--
        (1) a requirement that repayment shall be made in dollars with 
    interest accruing thereon as determined appropriate by the 
    Secretary; and
        (2) a requirement, if the Secretary determines such requirement 
    appropriate to protect the interests of the United States, that an 
    initial payment be made by the purchaser at the time of sale or 
    shipment of the agricultural commodity that is subject to the 
    contract.

(f) Restrictions

    The Commodity Credit Corporation may not make export sales financing 
authorized under this section available in connection with sales of an 
agricultural commodity to any country that the Secretary determines 
cannot adequately service the debt associated with such sale.

(Pub. L. 95-501, title II, Sec. 201, as added Pub. L. 101-624, title XV, 
Sec. 1531, Nov. 28, 1990, 104 Stat. 3672; amended Pub. L. 102-511, title 
VII, Sec. 707(a)-(c), Oct. 24, 1992, 106 Stat. 3350, 3351; Pub. L. 104-
127, title II, Sec. 277(c)(2), Apr. 4, 1996, 110 Stat. 979.)

                       References in Text

    The cargo preference laws, referred to in subsec. (d)(2), include 
act Mar. 26, 1934, ch. 90, 48 Stat. 500, and act Aug. 26, 1954, ch. 936, 
68 Stat. 832, which are classified to sections 1241-1 and 1241, 
respectively, of Title 46, Appendix, Shipping.


                            Prior Provisions

    A prior section 201 of Pub. L. 95-501 enacted section 1707b of this 
title prior to the complete revision of Pub. L. 95-501 by Pub. L. 101-
624.


                               Amendments

    1996--Subsec. (d)(1)(C)(ii). Pub. L. 104-127 substituted ``emerging 
markets'' for ``emerging democracies''.
    1992--Subsec. (c). Pub. L. 102-511, Sec. 707(a), inserted sentence 
at end.
    Subsec. (d)(1)(C). Pub. L. 102-511, Sec. 707(b), amended subpar. (C) 
generally. Prior to amendment, subpar. (C) read as follows: ``to assist 
countries, particularly developing countries, in meeting their food and 
fiber needs; and''.
    Subsec. (f). Pub. L. 102-511, Sec. 707(c), added subsec. (f).


                               Regulations

    Section 707(d) of Pub. L. 102-511 required Secretary of Agriculture 
to issue final regulations to implement this section not later than 30 
days after Oct. 24, 1992, prior to repeal by Pub. L. 104-127, title II, 
Sec. 276, Apr. 4, 1996, 110 Stat. 977.

                  Section Referred to in Other Sections

    This section is referred to in sections 5625, 5641, 5661, 5662 of 
this title.
