Page:United States Statutes at Large Volume 63 Part 1.djvu/1093

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63 STAT.] 81ST CONG., IST SESS.-CH. 792-OCT. 31, 1949 1055 authority of this Act unless such loan was obtained through fraudu- lent representations by the producer. This provision shall not Deficiencies in however, be construed to prevent the Commodity Credit Corporation or the Secretary from requiring producers to assume liability for deficiencies in the grade, quality, or quantity of commodities stored on the farm or delivered by them, for failure properly to care for and preserve commodities, or for failure or refusal to deliver commodities in accordance with the requirements of the program. SEC. 406. The Secretary shall, insofar as practicable, announce the Announcement of level of price support for field crops in advance of the planting season and for other agricultural commodities in advance of the beginning of the marketing year or season (January 1 in the case of commodities not marketed on a marketing year or season basis), but the level of price support so announced shall not exceed the estimated maximum level of price support specified in this Act, based upon the latest infor- mation and statistics available to the Secretary when such level of price support is announced; and the level of price support so announced shall not be reduced if the maximum level of price support when determined, is less than the level so announced. SEC. 407. The Commodity Credit Corporation may sell any farm scl of agrieultural commodities by Corn- commodity owned or controlled by it at any price not prohibited by modity Credit Corp this section. In determining sales policies for basic agricultural com- ra ton modities or storable nonbasic commodities, the Corporation should give consideration to the establishing of such policies with respect to prices, terms, and conditions as it determines will not discourage or deter manufacturers, processors, and dealers from acquiring and carrying normal inventories of the commodity of the current crop. The Corporation shall not sell any basic agricultural commodity or Retrction- storable nonbasic commodity at less than 5 per centum above the current support price for such commodity, plus reasonable carrying charges. The foregoing restrictions shall not apply to (A) sales for new or byproduct uses; (B) sales of peanuts and oilseeds for the extraction of oil; (C) sales for seed or feed if such sales will not substantially impair any price-support program; (D) sales of com- modities which have substantially deteriorated in quality or as to which there is a danger of loss or waste through deterioration or spoilage; (E) sales for the purpose of establishing claims arising out of contract or against persons who have committed fraud, misrepre- sentation, or other wrongful acts with respect to the commodity; (F) sales for export; (G) sales of wool; and (H) sales for other than primary uses. Sec. 408. For the purposes of this Act- (a) A commodity shall be considered storable upon determination Storable commod- by the Secretary that, in normal trade practice, it is stored for sub- lty' stantial periods of time and that it can be stored under the price- support program without excessive loss through deterioration or spoil- age or without excessive cost for storage for such periods as will per- mit its disposition without substantial impairment of the effectiveness of the price-support program. (b) A "cooperator" with respect to any basic agricultural com- "Cooperator." modity shall be a producer on whose farm the acreage planted to the commodity does not exceed the farm acreage allotment for the com- modity under title III of the Agricultural Adjustment Act of 1938. 52 Stat. 38. as amended, or in the case of price support for corn to a producer I13ss;upp. II, 1301 outside the commercial corn-producing area, a producer who corn- 'agq p 60; pst plies with conditions of eligibility prescribed by the Secretary. For PP. 10os1059, 1062. the purpose of this subsection, a producer shall not be deemed to have exceeded his farm acreage allotment unless such producer knowingly exceeded such allotment.