
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: 7USC5623]

 
                          TITLE 7--AGRICULTURE
 
                      CHAPTER 87--EXPORT PROMOTION
 
               SUBCHAPTER II--AGRICULTURAL EXPORT PROGRAMS
 
                            Part A--Programs
 
Sec. 5623. Market access program


(a) In general

    The Commodity Credit Corporation shall establish and carry out a 
program to encourage the development, maintenance, and expansion of 
commercial export markets for agricultural commodities through cost-
share assistance to eligible trade organizations that implement a 
foreign market development program.

(b) Type of assistance

    Assistance under this section may be provided in the form of funds 
of, or commodities owned by, the Commodity Credit Corporation, as 
determined appropriate by the Secretary.

(c) Requirements for participation

    To be eligible for cost-share assistance under this section, an 
organization shall--
        (1) be an eligible trade organization;
        (2) prepare and submit a marketing plan to the Secretary that 
    meets the guidelines governing such plans established by the 
    Secretary; and
        (3) meet any other requirements established by the Secretary.

(d) Eligible trade organizations

    An eligible trade organization shall be--
        (1) a United States agricultural trade organization or regional 
    State-related organization that promotes the export and sale of 
    agricultural commodities and that does not stand to profit directly 
    from specific sales of agricultural commodities;
        (2) a cooperative organization or State agency that promotes the 
    sale of agricultural commodities; or
        (3) a private organization that promotes the export and sale of 
    agricultural commodities if the Secretary determines that such 
    organization would significantly contribute to United States export 
    market development.

(e) Approved marketing plan

                           (1) In general

        A marketing plan submitted by an eligible trade organization 
    under this section shall describe the advertising or other market 
    oriented export promotion activities to be carried out by the 
    eligible trade organization with respect to which assistance under 
    this section is being requested.

                          (2) Requirements

        To be approved by the Secretary, a marketing plan submitted 
    under this subsection shall--
            (A) specifically describe the manner in which assistance 
        received by the eligible trade organization in conjunction with 
        funds and services provided by the eligible trade organization 
        will be expended in implementing the marketing plan;
            (B) establish specific market goals to be achieved as a 
        result of the market access program; and
            (C) contain whatever additional requirements are determined 
        by the Secretary to be necessary.

                           (3) Amendments

        A marketing plan may be amended by the eligible trade 
    organization at any time, with the approval of the Secretary.

                        (4) Branded promotion

        An agreement entered into under this section may provide for the 
    use of branded advertising to promote the sale of agricultural 
    commodities in a foreign country under such terms and conditions as 
    may be established by the Secretary.

(f) Other terms and conditions

                        (1) Multi-year basis

        The Secretary may provide assistance under this section on a 
    multi-year basis, subject to annual review by the Secretary for 
    compliance with the approved marketing plan.

                    (2) Termination of assistance

        The Secretary may terminate any assistance made, or to be made, 
    available under this section if the Secretary determines that--
            (A) the eligible trade organization is not adhering to the 
        terms and conditions of the program established under this 
        section;
            (B) the eligible trade organization is not implementing the 
        approved marketing plan or is not adequately meeting the 
        established goals of the market access program;
            (C) the eligible trade organization is not adequately 
        contributing its own resources to the market access program; or
            (D) the Secretary determines that termination of assistance 
        in a particular instance is in the best interests of the 
        program.

                           (3) Evaluations

        The Secretary shall monitor the expenditure of funds received 
    under this section by recipients of such funds. The Secretary shall 
    make evaluations of such expenditure, including--
            (A) an evaluation of the effectiveness of the program in 
        developing or maintaining markets for United States agricultural 
        commodities;
            (B) an evaluation of whether assistance provided under this 
        section is necessary to maintain such markets; and
            (C) a thorough accounting of the expenditure of such funds 
        by the recipient.

    The Secretary shall make an initial evaluation of expenditures of a 
    recipient not later than 15 months after the initial provision of 
    funds to the recipient.

                          (4) Use of funds

        Funds made available to carry out this section--
            (A) shall not be used to provide direct assistance to any 
        foreign for-profit corporation for the corporation's use in 
        promoting foreign-produced products;
            (B) shall not be used to provide direct assistance to any 
        for-profit corporation that is not recognized as a small-
        business concern described in section 632(a) of title 15, 
        excluding--
                (i) a cooperative;
                (ii) an association described in section 291 of this 
            title; and
                (iii) a nonprofit trade association; and

            (C) may be used by a United States trade association, 
        cooperative, or small business for individual branded 
        promotional activity related to a United States branded product, 
        if the beneficiaries of the activity have provided funds for the 
        activity in an amount that is at least equivalent to the amount 
        of assistance provided under this section.

(g) Level of marketing assistance

                           (1) In general

        The Secretary shall justify in writing the level of assistance 
    provided to an eligible trade organization under the program under 
    this section and the level of cost-sharing required of such 
    organization.

                           (2) Limitation

        Assistance provided under this section for activities described 
    in subsection (e)(4) of this section shall not exceed 50 percent of 
    the cost of implementing the marketing plan, except that the 
    Secretary may determine not to apply such limitation in the case of 
    agricultural commodities with respect to which there has been a 
    favorable decision by the United States Trade Representative under 
    section 2411 of title 19. Criteria for determining that the 
    limitation shall not apply shall be consistent and documented.

                 (3) Staged reduction in assistance

        In the case of participants that received assistance under 
    section 1736s of this title prior to November 28, 1990, and with 
    respect to which assistance under this section would be limited 
    under paragraph (2), any such reduction in assistance shall be 
    phased down in equal increments over a 5-year period.

(Pub. L. 95-501, title II, Sec. 203, as added Pub. L. 101-624, title XV, 
Sec. 1531, Nov. 28, 1990, 104 Stat. 3674; amended Pub. L. 102-237, title 
III, Sec. 309, Dec. 13, 1991, 105 Stat. 1856; Pub. L. 103-66, title I, 
Sec. 1302(b)(1), Aug. 10, 1993, 107 Stat. 330; Pub. L. 103-465, title 
IV, Sec. 411(d), Dec. 8, 1994, 108 Stat. 4963; Pub. L. 104-127, title 
II, Sec. 244(a)(1), (b), Apr. 4, 1996, 110 Stat. 967, 968.)

                       References in Text

    Section 1736s of this title, referred to in subsec. (g)(3), was 
repealed by Pub. L. 101-624, title XV, Sec. 1572(3), Nov. 28, 1990, 104 
Stat. 3702.


                            Prior Provisions

    A prior section 203 of Pub. L. 95-501 enacted section 1707d of this 
title prior to the complete revision of Pub. L. 95-501 by Pub. L. 101-
624.


                               Amendments

    1996--Pub. L. 104-127, Sec. 244(a)(1)(A), substituted ``access'' for 
``promotion'' in section catchline.
    Subsecs. (e)(2)(B), (f)(2)(B), (C). Pub. L. 104-127, 
Sec. 244(a)(1)(B), substituted ``market access program'' for ``marketing 
promotion program''.
    Subsec. (f)(4). Pub. L. 104-127, Sec. 244(b), added par. (4).
    1994--Subsec. (c). Pub. L. 103-465, Sec. 411(d)(1), struck out par. 
(1) designation and heading, redesignated subpars. (A) to (C) of former 
par. (1) as pars. (1) to (3), respectively, and realigned margins, and 
struck out former par. (2) which related to assistance to counter or 
offset adverse effects of subsidy, import quota, or other unfair trade 
practice of foreign country, except in the case of activities conducted 
by small entities operating through regional State-related 
organizations.
    Subsec. (f)(2)(C) to (E). Pub. L. 103-465, Sec. 411(d)(2), inserted 
``or'' at end of subpar. (C), redesignated subpar. (E) as (D), and 
struck out former subpar. (D) which read as follows: ``the unfair trade 
practice that was the basis of the provision of assistance has been 
discontinued and marketing assistance is no longer required to offset 
its effects; or''.
    1993--Subsec. (c)(2). Pub. L. 103-66 amended par. (2) generally. 
Prior to amendment, par. (2) read as follows: ``The Secretary shall 
provide export assistance under this section on a priority basis in the 
case of an unfair trade practice.''
    1991--Subsec. (g)(3). Pub. L. 102-237 substituted ``November 28, 
1990,'' for ``the date of enactment of this Act''.


                    Effective Date of 1994 Amendment

    Amendment by Pub. L. 103-465 effective on the date of entry into 
force of the WTO Agreement with respect to the United States (Jan. 1, 
1995), except as otherwise provided, see section 451 of Pub. L. 103-465, 
set out as an Effective Date note under section 3601 of Title 19, 
Customs Duties.


             Prohibition on Assistance to Mink Associations

    Pub. L. 105-277, div. A, Sec. 101(a) [title VII, Sec. 718], Oct. 21, 
1998, 112 Stat. 2681, 2681-27, as amended by Pub. L. 106-31, title V, 
Sec. 5001(b), May 21, 1999, 113 Stat. 109, provided that: ``Hereafter, 
none of the funds made available in annual appropriations Acts may be 
used to provide assistance to, or to pay the salaries of personnel to 
carry out a market promotion/market access program pursuant to section 
203 of the Agricultural Trade Act of 1978 (7 U.S.C. 5623) that provides 
assistance to the United States Mink Export Development Council or any 
mink industry trade association.''


    Secretarial Actions To Achieve Savings in Market Access Program; 
                               Regulations

    Section 1302(b), (c) of Pub. L. 103-66, as amended by Pub. L. 104-
127, title II, Sec. 244(a)(2)(A)(ii), Apr. 4, 1996, 110 Stat. 968, 
provided that:
    ``(b) Secretarial Actions To Achieve Savings.--In order to enable 
the Secretary of Agriculture to achieve the savings required in the 
market access program established by section 203 of the Agricultural 
Trade Act of 1978 (7 U.S.C. 5623) as a result of the amendments made by 
this section [amending this section and section 5641 of this title]:
        ``(1) Unfair trade practices.--[Amended subsec. (c)(2) of this 
    section.]
        ``(2) Guidelines.--The Secretary of Agriculture should implement 
    changes in the market access program established by section 203 of 
    such Act, beginning with fiscal year 1994, in order to improve the 
    effectiveness of the program and to meet the following objectives:
            ``(A) Priority.--In providing assistance for branded 
        promotion, the Secretary should give priority to small-sized 
        entities.
            ``(B) Graduation.--The Secretary should not provide 
        assistance under the program to promote a specific branded 
        product in a single market for more than 5 years unless the 
        Secretary determines that further assistance is necessary in 
        order to meet the objectives of the program.
            ``(C) Contribution level.--
                ``(i) In general.--The Secretary should require a 
            minimum contribution level of 10 percent from an eligible 
            trade organization that receives assistance for nonbranded 
            promotion.
                ``(ii) Increases in contribution level.--The Secretary 
            may increase the contribution level in any subsequent year 
            that an eligible trade organization receives assistance for 
            nonbranded promotion.
            ``(D) Additionality.--The Secretary should require each 
        participant in the program to certify that any Federal funds 
        received supplement, but do not supplant, private or third party 
        participant funds or other contributions to program activities.
            ``(E) Independent audits.--If as a result of an evaluation 
        or audit of activities of a participant under the program, the 
        Secretary determines that a further review is justified in order 
        to ensure compliance with the requirements of the program, the 
        Secretary should require the participant to contract for an 
        independent audit of the program activities, including 
        activities of any subcontractor.
        ``(3) Tobacco.--No funds made available under the market access 
    program may be used for activities to develop, maintain, or expand 
    foreign markets for tobacco.
    ``(c) Regulations.--Not later than 90 days after the date of 
enactment of this Act [Aug. 10, 1993], the Secretary of Agriculture 
shall issue regulations to implement this section [amending this section 
and section 5641 of this title] and the amendments made by this 
section.''

                  Section Referred to in Other Sections

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