PUBLIC LAWS-CH. 30-FEB. 16, 1938 Transfers restricted. Post, p. 202. Penalties. Marketing in excess of marketing quota for farm on which pro- duced; exceptions. Penalty. Payment of penalty. Proviso. Tobacco marketed directly to person out- side United States. Part II-Marketing quotas-Corn. Legislative finding. centum of the farm marketing quotas established pursuant to subsec- tion (b) of this section for farms which are similar with respect to the following: Land, labor, and equipment available for the pro- duction of tobacco, crop-rotation practices, and the soil and other physical factors affecting the production of tobacco. (d) Farm marketing quotas may be transferred only in such man- ner and subject to such conditions as the Secretary may prescribe by regulations. PENALTIES SEC. 314. The marketing of any tobacco in excess of the marketing quota for the farm on which the tobacco is produced, except the marketing of any such tobacco for nicotine or other byproduct uses, shall be subject to a penalty of 50 per centum of the market price of such tobacco on the date of such marketing, or, if the following rates are higher, 3 cents per pound in the case of flue-cured, Mary- land, or burley, and 2 cents per pound in the case of all other kinds of tobacco. Such penalty shall be paid by the person who acquires such tobacco from the producer but an amount equivalent to the penalty may be deducted by the buyer from the price paid to the producer in case such tobacco is marketed by sale; or, if the tobacco is marketed by the producer through a warehouseman or other agent, such penalty shall be paid by such warehouseman or agent who may deduct an amount equivalent to the penalty from the price paid to the producer: Provided, That in case any tobacco is marketed directly to any person outside the United States the penalty shall be paid and remitted by the producer. PART II-MARKETING QUOTAS-CORN LEGISLATIVE FINDING SEC. 321. Corn is a basic source of food for the Nation, and corn produced in the commercial corn-producing area moves almost wholly in interstate and foreign commerce in the form of corn, livestock, and livestock products. Abnormally excessive and abnormally deficient supplies of corn acutely and directly affect, burden, and obstruct interstate and foreign commerce in corn, livestock, and livestock products. When abnor- mally excessive supplies exist, transportation facilities in interstate and foreign commerce are overtaxed, and the handling and process- ing facilities through which the flow of interstate and foreign com- merce in corn, livestock, and livestock products is directed become acutely congested. Abnormally deficient supplies result in substan- tial decreases in livestock production and in an inadequate flow of livestock and livestock products in interstate and foreign commerce, with the consequence of unreasonably high prices to consumers. Violent fluctuations from year to year in the available supply of corn disrupt the balance between the supply of livestock and live- stock products moving in interstate and foreign commerce and the supply of corn available for feeding. When available supplies of corn are excessive, corn prices are low and farmers overexpand live- stock production in order to find outlets for corn. Such expansion, together with the relative scarcity and high price of corn, forces farmers to market abnormally excessive supplies of livestock in inter- state commerce at sacrifice prices, endangering the financial stability of producers, and overtaxing handling and processing facilities through which the flow of interstate and foreign commerce in live- stock and livestock products is directed. Such excessive marketings deplete livestock on farms, and livestock marketed in interstate and [52 STAT.
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